The Centre for trade policy and Development (CTPD) has called upon government to implement debt management strategies in order to avoid complete drain of foreign reserves and to save the integrity of the Kwacha.
CTPD Researcher Bright Chizonde says the current reserves of about US$ 1.4 billion is not sustainable for an import based economy like Zambia.
Mr. Chizonde says it is clear that the debt position of the country is high for its capacity and will need restructuring if the country is to be brought back on a path of recovery.
He said that Amid the planned austerity which the country must indeed undergo, government needs to observe discipline and restrain itself from borrowing further at high interest rates as this will constrain prudent debt management while worsening the economic situation.
