We recently shared this post on Facebook which has gone viral. it has been wonderfully exciting to see it re-shared countless times. Most importantly it has generated interesting discussions about how to tackle the changelings ahead .
There are essentially nine big economic policy challenges facing GRZ :You can comment and read the Facebook contributions on this topic here.
(1) Very weak copper prices (lowest in 5 years)
(2) Rising debt levels (Highest since HIPC)
(3) High fiscal deficit (likely to get even larger soon)
(4) High youth unemployment
(5) Power deficit (possible blackout in October)
(6) Volatile and falling Kwacha ($1 per K10)
(7) Poor policy credibility
(8) High and rising cost of private borrowing
(9) High poverty levels (80% poverty in some areas)
To these we can add six more "risks" which may soon materialise :
(a) Mining closures (with job losses)
(b) High inflation (due to Kwacha depreciation)
(c) Credit downgrade (Highly likely)
(d) Reduced FDI (particularly from China)
(e) Sovereign default
(f) Political instability
Which of these policy and risks do you think is the most important to deal with, and why?
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