As the economic challenges facing Zambia continues to increase, the president of the southern African country, Edgar Lungu, has taken a big step to straighten up the finances by cutting his salary and those of his cabinet members.
Zambian President Lungu has ordered that his salary and those of his ministers and selected government officials be reduced.
According to the President , the money realized from the move would be used to alleviate the cost of living of the masses as prices of fuel and electricity rise.
Price of electricity is set to rise to between 115% and 200% from January 2020 while the price of petrol and diesel have already risen by about 10%.
Reuters reports that higher electricity and fuel prices are taking a toll on the cost of living in the country.
President Lungu says funds gained from reducing salaries of himself, cabinet members and other non-unionised government workers would be used to cushion the effect of the increases on the people.
“The money realized from this decision will go towards ameliorating the impact that the increase would have brought on the masses,” a statement from Lungu’s office, signed by his spokesperson Isaac Chipampe, said on Friday, December 27.
According to the report, while the cost of electricity is set to rise by 115% from January 1, 2020, the price of petrol rose 10% to 17.62 kwacha ($1.27) per litre on Thursday, December 26 and diesel rose 9.6% to 15.59 kwacha.
Zambia’s Energy Regulation Board said on Friday, that it approved state-run firm Zesco’s increase in electricity tariffs by more than 200% for residential customers consuming the least amount of power in the bid to attract investment into power generation.