President defends Zamtel sale plans

10 Feb 2009

Zambia’s President Rupiah Banda has refuted claims that the planned sale of a stake in state-run Zambia Telecommunication Company (Zamtel) has been mishandled. The president said that Dora Siliya, Zambia’s communications and transport minister, will make a statement explaining the decision to award a USD2 million contract to a Cayman Islands-registered company to evaluate Zamtel’s assets ahead of a stake sale. The country’s Attorney General reportedly advised against the decision to award the contract without following standard government tendering procedures. In December 2008 Siliya announced that Zamtel would be part-privatised, in a move intended to prevent the operator from financial and operational collapse.

Zambia, Zambia Telecommunications Company (Zamtel)