.Chikwanda

By SAM PHIRI –

FINANCE Minister Alexander Chikwanda says the key to addressing fiscal challenges being faced by COMESA member states is hinges on economic diversification, poverty alleviation and macro-economic stability.
Mr Chikwanda said there was need for enhancement of capacity of the private sector to effectively participate in the economy and take full advantage of the diverse regional market of over 480 million people.
The minister was speaking in Lusaka yesterday during the official opening of the inaugural convergence and 11th meeting of the COMESA fund ministerial committee.
Mr Chikwanda said the Zambian Government had embarked on key private-public partnership in the road and energy sectors to increase infrastructure development and address the growing energy demands faced by the country.
“We as a region cannot continue to rely on the external solutions and markets to resolve some of the challenges we are faced with. Zambia has, therefore, the initiative to draw faster links regionally,” he said.
Mr Chikwanda also commended the COMESA Adjustment Facility (CAF) which he said played a major role in prioritising diversification as a major solution to the challenges in the member states.
“Zambia is looking towards enhancing the implementation of value-addition activities in leather, handloom, cotton and clothing sector in order to fast-track the diversification  of exports in Zambia as well as maximising the regional value chain to foster economic transformation,” he said.
And European Union representative to COMESA Alessandro Mariani pledged EU’s continued support towards economic integration in the COMESA region.
Mr Mariani said the RISM project, with 110 million Euros, was the biggest project the EU was currently supporting in the COMESA region.
He said the project was also the most innovative as it was embedded into a regionally owned mechanism, the CAF, while providing support directly directly to COMESA.
Meanwhile, COMESA secretary general Sindiso Ngwenya warned member states against the single income source dependence.
Mr Ngwenya said COMESA countries should now move from the single-based economy and embrace diversification in trade and industrialisation.