ZANESWA startled over parastatal fiscal decay, demands immediate accountability and financial recovery
ZANESWA startled over parastatal fiscal decay, demands immediate accountability and financial recovery
ZANESWA startled over parastatal fiscal decay, demands immediate accountability and financial recovery
Sunday 4th January, 2026, Lusaka, Zambia
The Zambia National Economic and Social Welfare Association (ZANESWA) is alarmed by the latest Auditor General reports on Parastatal Bodies and Other Statutory Institutions.
Following a high-level technical review of the findings disclosed by Acting Auditor General, Dr. Ron Mwambwa, ZANESWA asserts that the widespread financial leakages and governance failures revealed in the report constitute an unacceptable “Institutional Decay” that directly undermines the economic sovereignty of the Zambian people.
ZANESWA is a high-integrity, compliance-driven association established to actively monitor, examine, and evaluate the national governance framework.
Our mandate remains clear: to fight corruption at every level and ensure that by 2030 Zambia is corruption-free.
We believe that social welfare cannot exist where public resources are being siphoned through mismanagement.
In a bid to ensure absolute accountability, ZANESWA stands as an independent monitor, bridging the gap between high-level audit findings and the socio-economic welfare of the common citizen.
The findings in the latest audit report point to a dangerous erosion of integrity that ZANESWA refuses to ignore.
Firstly, The K22.5 million in unrecovered advance payments at the Rural Electrification Authority (REA) is a hindrance to development.
This failure prevents the expansion of power to rural clinics and schools, directly stalling the progress of Zambian communities and the youth.
These leaks are at the same time diminishing funders confidence, Because of lack stronger measures to curb financial misuses.
These continued financial leaks are depriving close to 10 million Zambians access to electricity.
Secondly, the payment of US$521,857 (K11.7million) for materials that were never delivered at Indeni Energy represents a catastrophic failure of internal controls. ZANESWA views this as a direct drain on national liquidity that artificially inflates the cost of living for every Zambian household.
Finally, the staggering K50.42 billion funding gap and the failure to remit K96.56 million in contributions to the Public Service Pension Fund (PSPF) is a social welfare emergency.
We are witnessing the systematic depletion of the safety net intended to protect our workers and retirees. We cannot allow parastatal boards to be used as a cover for economic mismanagement.
ZANESWA demands the following:
Enforcement of Financial Surcharges: Under Sections 51 and 52 of the Public Finance Management Act No. 1 of 2018, we demand that the Ministry of Finance immediately surcharge all cited Controlling Officers and CEOs. If public funds have been lost due to negligence, the responsible officers must be held personally and financially liable.
We recommend that, any board that has presided over three consecutive year operating losses or failed to provide audited financial statements must be dissolved.
We cannot continue to fund the board fees of directors who oversee the destruction of public wealth.
The government must publish a clear, time-bound schedule for the recovery of all uncollected revenues, fines, and rental incomes identified in the report. Transparency is the only cure for institutional neglect.
ZANESWA will not accept the “culture of silence.” Every kwacha lost in a parastatal is a clinic not stocked, a school not built, and a youth cooperative not funded. We are activating our team of economic experts to monitor these recoveries and ensure that the vision of a Corrupt-Free Zambia by 2030 is defended.
As a country we must strive for better and functioning institutions.
Signed,
Anthony Lupiya
Executive Director / Public Relations Manager
Zambia National Economic and Social Welfare Association (ZANESWA)
+2607769654454/0974095544
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