JCTR urges govt to fulfil obligations to pro-poor policies
THE Jesuit Centre for Theological Reflection says human beings should live a dignified life due to the fact that they are created in the image and likeness of God. The JCTR says the government may need to review its taxation policy on crude oil so as to mitigate any possible adverse effects on the economy, especially if global oil prices continue to rise.
JCTR is also urging the government to fulfil its obligation to ensure that dignity of lives is upheld by promoting pro-poor policies that alleviate poverty and reduce vulnerability.
Releasing the Basic Needs Basket (BNB) for a family of five living in Lusaka for the month of October, JCTR stated that inflation increased by 0.4 percentage points from 7.9 per cent recorded in September to 8.3 per cent according to the Central Statistical Office.
It stated that the increase in the annual rate of inflation was attributed to the purchase of vehicles, fuels and lubricants.
JCTR stated that increased fuel prices had an adverse impact on transport costs and prices of basic foods like mealie-meal and bread.
JCTR BNB has noted that bus and taxi fares increased by 22 per cent across the board, mealie-meal prices increased from K73 to K79 and bread has increased from K7 to K8 from the month of September to October respectively. The effect of fuel hikes on inflation in Zambia is thus a reality that is likely to increase the incidence of vulnerability and inequality, it stated.
A look at the JCTR Basic Needs Basket (BNB) for a family of five living in Lusaka for the month of October however, revealed a reduction in the total BNB by K38 from K5,356.36 recorded in September to K5,317.95 in October. The October BNB did not keep pace with the national inflation because the price reduction recorded in selected items outweighed the price increases in other items.
JCTR stated that significant decreases for instance were noted in prices of Kapenta, which decreased by K18 from K188 in September to K170 in October per kilogramme; beans decreased by K5 from K34 in September to K29 in October per kilogramme; and tea bags decreased by K4 from K84 in September to K80 in October per kilogramme. It stated that dry bream fish however increased by K5 from K131 in September to K136 in October per kg. JCTR stated that despite the cost of living reduction in October, it still remained high and above incomes of many Zambians who continued to struggle to access the basic needs of life.
According to the living conditions monitoring survey, Zambias national poverty levels remained high at 54.4 per cent which means that more than half of the citizens were living in poverty. It stated that increases in inflation compounds the situation by widening the gap between household incomes and cost of living and deprives Zambians a chance of living the fullness of life because they fail to afford basic commodities.
JCTR is of a strong view that human beings should live a dignified life due to the fact that they are created in the image and likeness of God. Government is urged to thus fulfil its obligation to ensure that dignity of lives is upheld by promoting pro-poor policies that alleviate poverty and reduce vulnerability, JCTR stated.
It stated that as an oil importing country, Zambia continued to suffer due to the volatility of global oil prices.
It is thus recommended that the government look to promoting alternatives such as gas for industrial use. This could have an effect in lowering fuel dependability and reducing the impact of a fuel hike on locally manufactured commodities. Government may further need to review its taxation policy on crude oil so as to mitigate any possible adverse effects on the economy especially if global oil prices continue to rise, stated JCTR.