NEWS! NEWS! NEWS!

Third public opinion pool launched

National conference on HIPC

World Bank HIV/AIDS Loans

Update for May 2002

Between April 8 and April 12, Jubilee-Zambia Co-ordinator, Charity Musamba participated in a workshop organized by the Catholic Relief Services entitled “Africa Rising:  Overcoming Debt, Poverty and HIV/AIDS.”  This workshop was held in Entebbe, Uganda.  Jubilee-Zambia was requested to share with the workshop participants on the ‘The Church’s Role in Zambia’s HIPC and PRSP.”  The main points brought out in this discussion were:

• Church leadership support is crucial in activities such as HIV/AIDS, Debt and Poverty.
• The importance of employing and maintaining qualified staff to implement programmes
• The need to develop good network strategies – the church must link up with other key stakeholders
• The approach to issues of HIV/AIDS, Debt and Poverty is key – church should be concerned with both the spiritual and material needs

Some immediate follow-ups of the workshop were that:

• Monitoring of the PRSP and Debt Relief resources
• To review our advocacy activities
• Review of the PRSP – on the HIV/AIDS component

The Catholic Relief Services is one of Jubilee-Zambia’s major supporters in terms of funding and morally.

Jubilee-Zambia was this year on 13^th April awarded a prize of 4500 Euros for outstanding performance in mobilising grassroots participation in the debt cancellation campaign.  Receiving the award, Jubilee-Zambia Policy Analyst Jack Jones Zulu thanked the people of Netherlands for recognizing Jubilee-Zambia’s contribution to the cause of debt cancellation.

Mr. Zulu informed the audience that the theme “Total Debt Cancellation for Poverty Eradication” is very key because majority of the Zambians are living in abject poverty today.  Debt has been identified as one of the major impediments to people’s development.  Zambia pays out huge amounts of money as debt service at the expense of the people.  The conditionality attached to loans such as privatization, liberalization and retrenchment have caused untold suffering to majority Zambians.  So the fight against debt is a fight against poverty and is also a fight that all Zambians should participate in as well as all the people in this world.

On 18^th April 2002, Jubilee-Zambia launched its third Public Opinion Poll in Lusaka, Zambia.  The poll had two major focuses 1) public perception on the debt problem 2) The HIPC Debt Relief Resources in Zambia.  According to the poll, majority of the respondents had heard about the “cancel the debt campaign.”  Majority of respondents thought that Zambia was justified in supporting the liberation movement in Southern Africa.  Majority of the respondents thought that Zambia should not continue servicing its debts.

On the issue of HIPC, majority of the respondents have heard about it and majority did not think that debt relief resources would reach the poor.  Most of the respondents wanted the NGOs and the Church to monitor the relief resources.

This launch was attend by people from various backgrounds namely, NGOs, students’ movements, labour unions, international community, community based organizations and private sector.  The following were some of the main issues raised:

Importance of monitoring the HIPC relief resources to ensure that the poor benefit.

• Need to ensure that the women, children and youth are sensitized about the debt problem.
• Urgency of coming up with a lasting solution to Zambia’s debt problem
• Ensuring that the HIPC initiative is transformed into a tool that truly assists Zambia overcome the debt and poverty problems.

Like the two other polls, this opinion poll is important to Jubilee-Zambia for evaluation and strategic planning processes.  The findings and recommendations of the report are critical for targeting and developing indicators.

We are encouraging you to read this document and send us your comments

In the effort to strengthen Jubilee-Zambia activities locally, nationally and internationally, Jubilee-Zambia embarked on a process of recruiting more members to the steering committee.  The JSC will now also include people from the Provincial Jubilee-Zambia Steering Committee teams.  Part of the revitalizing process included drawing up of Terms of Reference (TOR) for the team.  The new TORs aim at making this committee more actively involved in the movement.  The main expectations of this team are to advise, monitor and represent Jubilee-Zambia at different forums.  The first introductory meeting of the JSC was held on 18^th April 2002 at Fairview Hotel, Lusaka, Zambia.  We will circulate the names of the Jubilee-Zambia Steering Committee after the next extraordinary meeting coming on 7^th May 2002.  At this meeting, we expect that the team will select the chairperson.

On 23^rd April 2002, Jubilee-Zambia held a National Partners Conference under the theme “Debt Relief Under HIPC:  The Experience of Zambia.”  This conference was attended by total of 104 delegates from civil society, church organizations, international community and students’ movements.  From this meeting, the position of civil society on the HIPC initiative in Zambia was shared in the Communiqué released on 25^th April 2002.  This document is also accessible on the JCTR Website.

The following were the main outcomes of the meeting

• The importance and urgency of monitoring HIPC debt relief resources to ensure that the poor people benefit
• The need for civil society to be availed with full information on the HIPC initiative in Zambia
• The people at the grassroot level must be involved in the monitoring process.
• Finally, that the Youth must be involved in the monitoring process

The follow-ups to this meeting are underway.  Firstly, we are in the process of preparing the report on this meeting.  So look out for it by post, e-mail and on our website.  Secondly the main challenge is how civil society can organize itself to monitor the debt relief resources effectively.  We will keep you informed with the progress on the issue.

According to the information reaching Jubilee-Zambia in the first week of May 2002, the World Bank and IMF report on Progress under the HIPC initiative released for the spring meeting has two glaring revelations:

1. Interim HIPC relief from IMF and the Paris Club has been suspended to Zambia since 2001 because Zambia has fallen “off-track” their economic reform programmes.
2. Countries will not reach “debt sustainability” of 150 percent the level of exports under the current Enhanced HIPC initiative.

When contacted on 3^rd May 2002 for comment, IMF Representative to Zambia Mr. Mark Ellyne explained that debt relief to Zambia has not been: “suspended” instead the debt relief to Zambia for the year 2002 has not been “granted.”  He added that this is just a procedural issue because HIPC debt relief to Zambia comes as part of the full IMF assistance package.

Mr. Ellyne told Jubilee-Zambia that debt relief in the interim period (between the decision and completion points) is given on a yearly basis.  This relief is granted after submission of the country’s economic programme for the year and approval of the IMF board.  Last year IMF gave Zambia total debt relief of US$150m. For this year, the Government of Zambia will be submitting its economic programme to the IMF Board meeting in May 2002.  He concluded by emphasizing that Zambia is not “off-track” on its economic programme.

Jubilee-Zambia would like to get the position of the Zambian Government on this matter.   The major flaw of the debt sustainability as designed by the creditors is that it is idealistic and simply impossible for debtor countries to attain.  The nature of the social and economic problems facing most heavily indebted countries makes it difficult to attain such levels.  As long as the most HIPC countries are heavily indebted, poverty and continue to have poor terms of trade, the creditors’ debt sustainability proposal will be in vain.

According reports received by Jubilee-Zambia, on 28^th April 2002, the World Bank and the Government of Zambia agreed to a loan of US$42m for HIV/AIDS. Some specific intervention areas mentioned are US$6m for antiretroviral drugs (ARVs) and awareness campaigns.  To be noted, the President of Zambia Mr. Mwanawasa announced that he had applied for US$19m from the Global Fund to fight AIDS/HIV.

A few weeks ago, the President and Vice-President of Zambia were also quoted calling for the cancellation of the country’s external debt because of its negative effects on the Zambian people and the economy.

The key message from Jubilee-Zambia to both World Bank and the Zambian Government is that using loans to finance the fight against HIV/AIDS is a dangerous route to take.  It is a common fact that most countries are failing to properly tackle the HIV/AIDS problems in their countries because of the poor socio-economic situation they find themselves.  To a great extend, debt has contributed to determining these situations.  By borrowing more, Zambia is simply perpetuating its HIV/AIDS and debt situations – a very harmful combination for a country that is very poor.

To all debt and HIV/AIDS campaigners, let us not support interventions that are throwing our countries in more debt and, not encouraging us to come up with better and sustainable ways of overcoming the problem of HIV/AIDS.

Jubilee-Zambia has requested further information on this matter from Government and the World Bank Office.

Starting from the 1^st Week of May to the end of June, the Jubilee-Zambia Secretariat will be visiting the Provincial Jubilee-Zambia Steering Teams in Mongu, Ndola, Kasama, Monze and Livingstone.  The main purpose of these visitations is to review and consolidate the national and provincial activities.  Part of the regional programme will be to discuss some programme issues such as PRSP, Debt Mechanism, HIPC Debt relief and Monitoring.  As you might have heard before, Jubilee-Zambia is determined to strengthen its activities at regional level as a way of taking the debt issue to the Zambian household doorstep.