Zambia’s Finance Minister, Magaret Mwanakatwe said Britain, Finland, Ireland and Sweden are withholding nearly $34 million in budget support to Zambia’s welfare and education sectors due to concerns over financial mismanagement.
President Edgar Lungu fired a cabinet minister in charge of social welfare over suspicion that $4 million was misused. Mwanakatwe said the Zambian government is confident that it will address donors concerns, so that the aid can resume.
Mwanakatwe noted that “the impact of withholding support is to the extent of the committed funds for 2018, which amount to $20 million for social cash transfer and $13.9 million for the education sector”. She told the parliament that in June 2018, the donors suspended support to the Social Cash Transfer Programme, an initiative which enables government to relay money to vulnerable rural households.
She revealed that Britain is the only country offering support to the education sector and the country also froze its support over concerns of mismanagement in June 2018.