Government continues to state that it has created a prevailing conducive business environment that has led to the establishment of manufacturing enterprises in various sectors and that these sectors are contributing to direct and indirect job creation.
Private Sector Development Association Chairperson Yusuf Dodia however notes that contrary to this, Zambia’s business environment is not conducive as observed from the high cost of energy and fuel which has increased the cost of production.
Mr. Dodia tells Flava News that the situation obtaining on the ground is quite different from government’s claims because fuel prices continue to go up every other month and electricity tariffs will continue going up each year for the next three years as prescribed by the Energy Regulation Board (ERB).
He adds that other factors affecting businesses include high inflation rate on the consumer pricing index, unstable exchange rate and a prohibitively high monetary policy rate which all point at an expensive environment to do business in.
Mr. Dodia states that government needs to avoid speaking academically and be more proactive and practical if they want to see the Zambian economy grow.
