Donors Offer
Zambia Over 200 Million Dollars Budget Aid
Zambia
is to receive about $215 million as budget aid from the
African Development Bank and Western donors.
The money will
support health sector improvements and represents a lifting of
aid freeze after Lusaka agreed on measures to fight corruption.
The country’s
Finance Minister, Situmbeko Musokotwane said on Wednesday, that
the AfDB, the European Commission, the UK's development agency
DFID, the World Bank, Finland, Germany, the Netherlands, Norway
and Sweden would sign the funding agreement with Zambia this
week.
The amount
represents a substantial increase from the initial commitment of
$194 million by donors in September, after progress made
in curbing corruption among government officials eased donors
concerns.
Donors, who have
traditionally financed 20-30 percent of Zambia's budget,
initially offered smaller financial support for Year 2010
spending, following concerns that authorities have been slow to
implement public sector wage reforms and strengthen financial
management systems to curb graft.
The Netherlands
and Sweden would also release an additional $33 million
frozen over corruption concerns; after the government admitted
in May that senior officials at the ministry of health had
stolen $5 million given to Zambia for health programmes.
"This week we
expect to sign an agreement for the resumption of funding to the
health sector,"
Musokotwane
said, adding, this would help improve health services after
Zambia was forced to suspend some programmes when donors froze
aid.
REUTERS/Yinka
