ECONOMIST Highvie Hamududu has advised the government to review the fiscal mining regime, as a way of resuscitating the economy.
Hamududu is the president of the Party for National Unity and Progress (PNUP).
He was Bweengwa member of parliament from 2006 to 2016.
He was speaking on Frank on Capital programme, hosted by Frank Mutubila on Capital FM radio this morning.
Hamududu, who chaired the budget committee in Parliament for seven years, explained that once mining comes to life, the whole economy of Zambia would be restored.
“We call upon government to review the mining fiscal regime as a step towards increasing investments in mining. Mining is an enabler; it has the biggest multiplier effect,” he said.
“Once mining comes to life, the whole economy comes to life. The key mines already have about $4 billion they want to invest in this country.” [But] that money has been withheld because of the bad fiscal regime.”
He added that mining wad expensive, risky and long-term and that before people started mining, they did their cash-flows for 15 to 20 years.
Meanwhile, Hamududu said the PNUP stood ready to work with anyone, in future, who was clear on their policies.
“I have been offered to be a minister many times. President Mwanawasa offered me to be minister, President Sata sent late Mulongoti [but] I refused. Why? You can’t cross the floor [in Parliament]…. But we are ready in future to work with those who share our values,” Hamududu explained.
Asked about the current state of the economy, Hamududu said its indicators show sickness.
“Therefore, there are some things we should do in a sick status, than when we are well. If we were well, we could have had a different approach, in terms of taking ownership of our resources,” he said.
“Our policy framework as a PNUP it’s still a win-win situation. I stand on a 50-50 joint ventures in most of these companies that are exploiting our resources, so that we benefit from the expertise of people who have been in that industry for a long time.”
He also cautioned people, at the moment, to be insinuating of full nationalisation of State firms.
“We should not have the luxury to say ‘let’s take over’ because the economy will collapse,” advised Hamududu.