UK Stakes K660bn for 3-Year Poverty Reduction

from All Africa
The Times of Zambia (Ndola)

THE United Kingdom (UK) will provide K660 billion to the Zambian Government for poverty reduction in the country for the next three years.

Head of department for International Development (DFID), Joy Hutcheon, said in a statement yesterday that the UK would provide up to K660 billion toward poverty reduction budget support (PRBS) to the Zambian Government's 2008, 2009 and 2010 annual budgets.

Ms Hutcheon said K140 billion would be disbursed to the Government this month.

"We are pleased to confirm that the UK will provide up to K660 billion to directly support the Government's 2008, 2009 and 2010 annual budgets. This is consistent with our long-term commitment to Zambia's development agenda, as outlined in the 10-year partnership arrangement signed between the UK and the Zambian Government in June 2007," she said.

Ms Hutcheon said the UK's decision to increase its budget support followed a period of good performance of the Zambian economy.

The support also coincides with increased allocations to the health and education sectors under the 2008 national Budget.

She said Zambia had made good progress since DFID commenced budget support in 2005.

DFID was, therefore, pleased to continue supporting the country's Fifth National Development Plan (FNDP).

The Zambian Government and DFID, along with other cooperating partners providing budget support, Ms Hutcheon said, had agreed on a framework to monitor the benefits of budget support.

The framework includes monitoring indicators on FNDP priority sectors such as agriculture, private sector development, health and education.

Ms Hutcheon said DFID encouraged the Zambian Government to continue making progress in the priority sectors, which underpinned the UK's budget support.

Ms Hutcheon stated that the budget support funds would be transferred directly to the national budget and not channelled through individual programmes.

She said Zambia would, therefore, be able to determine how best to use the funds to tackle poverty in line with its FNDP.