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Sunday, 26 April 2009

MoFNP Press Release : Infrastructure Spending

Press Release by the Ministry of Finance and National Planning :

Capital Expenditure Budget on Course
Press Release : 26 April 2009

Government has, among other resources, so far released K440.8 Billion for capital expenditure towards infrastructure development and rehabilitation programmes approved by Parliament as part of the 2009 budget. The release of K440.8 Billion represents 24.7% percent release out of the K1. 781 Trillion Total capital expenditure budget planned for 2009.

Among the institutions which have received significant resources is the Ministry of Works and Supply which has received K165.2 Billion as proceeds from fuel levy for use towards road maintenance activities by the Road Development Agency. K6 Billion has also been released for construction of new office blocks in Lusaka and Chongwe and an additional K6 Billion for boarder facilities at Katima-Mulilo Bridge of which K2 Billion is for construction of houses and K4 Billion for other boarder infrastructure. K7.6 Billion has been released for the Chirundu Boarder Infrastructure towards completion of works related to the flight terminal, the passenger control building, the sewerage disposal system, installation of street lighting and construction of the drug enforcement dog kernels all of which are being executed in line with the FNDP goal of having well developed and properly maintained quality infrastructure for sustainable national development by 2030.

The Ministry of Works and Supply has also received K10 Billion for construction of housing units for the Zambia Army, Zambia National Service in Makeni and the Zambia Air Force at Twin Palm in Lusaka while the Central Statistical Office has received K2 Billion to speed up completion of the office block along Nationalist road in Lusaka.

Out of the capital expenditure releases for the period under review, K29.3 Billion is for construction and procurement of housing units and, construction of a forensic laboratory and hospital infrastructure under the Ministry of Home Affairs. Among other resources released to the same Ministry is K2.3 Billion for prisons infrastructure development at Mwembeshi, Livingstone, Luwingu, and Kalabo. In addition, K2.7 Billion has been released for construction of immigration headquarters offices and boarder control posts at Kamapanda, Kilwa Island, Kambimbi, Namafulo, Sindamisale, Kanyala and Imusho.

K2 Billion has been released for the rural electrification fund under the Ministry of Energy and Water Development of which K300 Million is for the Nansanga Farm Block and K1.7 Billion for the Kasaba Bay Electrification Project, while among other resources, the Ministry of Local Government and Housing has received K2.9 Billion for water supply and sanitation and K1.78 Billion for construction of low cost houses.

In line with the long term goal of life-long education and training accessible to all by 2030, the Ministry of Education has received, among other resources, K18 Billion for construction of High Schools, K23.4 Billion for construction of Basic Schools, K4 Billion for infrastructure development at the Mulungushi University, K2 Billion infrastructure development at the University of Zambia and K1 Billion for infrastructure development at the Copperbelt University whereas among other resources, the Ministry of Science Technology and Vocational Training has received K1.75 Billion for rehabilitation of the Choma Trades Training Institute and K1.5 Billion for construction of Ukwimi Trades Training Institute. 

Among other resources, the Ministry of Agriculture and Cooperatives has received, K1.6 Billion for the Bangweulu Research Station, K1 Billion for rehabilitation of camp and block houses, among other things, in Mpongwe District.

The release of 24.7% of infrastructure funds for 2009 is clearly consistent with our fiscal policy focus for 2009 which is geared towards increasing expenditure on infrastructure and social services. It is also in line with the Government’s objectives of encouraging diversification and enhancing competitiveness.

The Ministry of Finance and National Planning urges members of the public to take greater interest in Government financed public works and projects being implemented in their localities to ensure that tax-payers resources are applied for intended purposes. In this way, we will then be participating in the development of the country and ensuring that optimum socio-economic benefits of these public works and projects accrue to the people of Zambia and the communities in which the infrastructure rehabilitation and development programmes are being implemented.

Chileshe Kandeta
Public Relations Officer
Ministry of Finance and National Planning

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