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ESTABLISHMENT OF EXTERNAL REVENUE SERVICE BY TRUMP ADMINISTRATION LIKELY TO NEGATIVELY AFFECT ZAMBIA

By Lukundo Nankamba

Financial Analyst Patrick Mwape says most African countries including Zambia will suffer external shocks that will disrupt international trade due to the establishment of an external revenue service by the US government.

In a move aimed at reshaping the landscape of international trade, US President Donald Trump has announced the creation of a new government agency, the external revenue service, which is designed to collect tariffs and other duties from foreign nations.

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Mr Mwape tells Phoenix News in an interview that this will have a serious effect because the volume of trade between the US and African countries is high.

He says Zambia is already in a bad position and cannot withstand economic pressures such as this due to the poor exchange rate and inflation which will only worsen the current situation.

Mr Mwape is concerned that this will disadvantage the local economy and affect its growth this year.

PHOENIX NEWS

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