PRESIDENT Hakainde Hichilema’s directive on Sunday evening to all the three arms of our defence forces to practise ‘positive discrimination’ in procurement by ensuring that goods and services are bought from local producers and suppliers as long as they are of quality and at the right price and delivered timeously is commendable.
The empowerment of local businesses is crucial in the sustainable economic development and poverty reduction efforts of any country. Zambia’s empowerment drive has seen the establishment of thousands of local companies and cooperatives seeking to participate in the country’s economic affairs.
Supporting local suppliers through the award of procurement contracts holds immense promise for stimulating economic growth. When Government contracts favour local businesses, it not only injects capital directly into the local economy but also nurtures a favourable environment for entrepreneurship and innovation. This, in turn, can lead to the creation of new jobs and the development of specialised skills.
This is why we believe that the President’s directive to the defence forces to proritise local suppliers will yield economic benefits for the country and set the stage for an industrious and prosperous Zambia.
One of the significant outcomes of prioritising local suppliers for procurement contracts is the retention and circulation of wealth within Zambia. When contracts are awarded to local businesses, the revenue generated stays within the country, amplifying its economic impact. As local suppliers receive payments for their goods and services, they in turn re-invest in their businesses, support local employment, pay taxes, and engage in community development initiatives.
This cycle contributes to a more robust and sustainable economy.
In addition to its immediate economic benefits, promoting local procurement contracts fosters self-reliance. When Government invests in local businesses, it conveys a clear message of confidence in their capabilities and this confidence can spur local suppliers to innovate and improve their products and services further, thereby enhancing their capacities and ability to compete even on the international market.
Speaking at the same event, Mr Hichilema called on the defence forces to get involved in the fight against corruption and “to stay away from corrupt activities especially in the procurement value chain”.
The President further called on the defence forces to adhere to the three principles governing the procurement of goods and services under the New Dawn government, which are that goods must be procured at the right price,
should be of good quality and be delivered on time.
The importance of fostering a competitive and transparent procurement process and ensuring that local suppliers are selected based on their capacity, quality, and efficiency cannot be overstated. Embracing local procurement should not compromise the standards of excellence, transparency and accountability, which are integral to effective governance and economic development. Rather, it should be a strategic means of leveraging the nation’s resources to achieve sustainable growth and prosperity.
It is gratifying that in addition to prioritising local suppliers for procurement contracts, Government has in place various skills development programmes which will enhance the capacities of local suppliers.
We believe that the empowerment and skills development programmes under Constituency Development Fund can help fill whatever financing and skills gap may exist in local suppliers.
Providing access to financing, technical support, training, and mentoring programmes, such as those under Constituency Development Fund and Citizens Economic Empowerment Commission, can equip local suppliers with the tools and knowledge needed to excel and ensure their long-term success and contribution to Zambia’s economic vibrancy. Well managed, local procurement is a powerful tool that can drive economic development and prosperity for all Zambians.
Local procurement can spur economic growth
PRESIDENT Hakainde Hichilema’s directive on Sunday evening to all the three arms of our defence forces to practise ‘positive discrimination’ in procurement by ensuring that goods and services are bought from local producers and suppliers as long as they are of quality and at the right price and delivered timeously is commendable.
The empowerment of local businesses is crucial in the sustainable economic development and poverty reduction efforts of any country. Zambia’s empowerment drive has seen the establishment of thousands of local companies and cooperatives seeking to participate in the country’s economic affairs.
Supporting local suppliers through the award of procurement contracts holds immense promise for stimulating economic growth. When Government contracts favour local businesses, it not only injects capital directly into the local economy but also nurtures a favourable environment for entrepreneurship and innovation. This, in turn, can lead to the creation of new jobs and the development of specialised skills.
This is why we believe that the President’s directive to the defence forces to proritise local suppliers will yield economic benefits for the country and set the stage for an industrious and prosperous Zambia.
One of the significant outcomes of prioritising local suppliers for procurement contracts is the retention and circulation of wealth within Zambia. When contracts are awarded to local businesses, the revenue generated stays within the country, amplifying its economic impact. As local suppliers receive payments for their goods and services, they in turn re-invest in their businesses, support local employment, pay taxes, and engage in community development initiatives.
This cycle contributes to a more robust and sustainable economy.
In addition to its immediate economic benefits, promoting local procurement contracts fosters self-reliance. When Government invests in local businesses, it conveys a clear message of confidence in their capabilities and this confidence can spur local suppliers to innovate and improve their products and services further, thereby enhancing their capacities and ability to compete even on the international market.
Speaking at the same event, Mr Hichilema called on the defence forces to get involved in the fight against corruption and “to stay away from corrupt activities especially in the procurement value chain”.
The President further called on the defence forces to adhere to the three principles governing the procurement of goods and services under the New Dawn government, which are that goods must be procured at the right price,
should be of good quality and be delivered on time.
The importance of fostering a competitive and transparent procurement process and ensuring that local suppliers are selected based on their capacity, quality, and efficiency cannot be overstated. Embracing local procurement should not compromise the standards of excellence, transparency and accountability, which are integral to effective governance and economic development. Rather, it should be a strategic means of leveraging the nation’s resources to achieve sustainable growth and prosperity.
It is gratifying that in addition to prioritising local suppliers for procurement contracts, Government has in place various skills development programmes which will enhance the capacities of local suppliers.
We believe that the empowerment and skills development programmes under Constituency Development Fund can help fill whatever financing and skills gap may exist in local suppliers.
Providing access to financing, technical support, training, and mentoring programmes, such as those under Constituency Development Fund and Citizens Economic Empowerment Commission, can equip local suppliers with the tools and knowledge needed to excel and ensure their long-term success and contribution to Zambia’s economic vibrancy. Well managed, local procurement is a powerful tool that can drive economic development and prosperity for all Zambians.