aspect that, therefore, needs to be addressed, in relation to the theme of the book fair, is the availability of appropriate reading materials. achieving a sustainable economic future requires the active participation of a dynamic private sector. such dynamism requires the availability of relevant and specialised reading materials. the agricultural sector, for example, is an important part of the zambian economy whose success holds the key to the rapid reduction in poverty that must be achieved if zambia is to take its place amongst the community of progressive nations. higher literacy levels in the rural areas will help to propagate better farming methods and conservation techniques. these are methods that contribute to sustained economic growth and protect the environment. master of ceremonies, ladies and gentlemen, the development of a reading culture in our nation should be placed high on the national agenda if we are to achieve a sustainable economic future as a country. i am aware of the initiatives that the government through the ministry of education has come up with to encourage reading at an early stage. the primary reading programme and the concept of reading tent by the zambia library service are some of the initiatives aimed at inculcating the habit of reading at an early age. other partners in development such as the private sector and our cooperating partners have also been active. important examples include the introduction of a reading bus by the british council. all of these initiatives will contribute positively to the development of the reading culture. they certainly are encouraging, but more needs to be done. particularly, the other key stakeholders who are parents and guardians of our school going children who should take interest in ensuring that children develop a culture of reading and writing. ladies and gentlemen, in closing my opening remarks, i wish to point out that currently most zambian publishers are pre - occupied with the development and publication of core school textbooks where the market is readily available. i wish to challenge publishers to invest some of the profits in the publication of more diverse reading materials including braille, music and physical education books. as you may be aware, a literate citizenry is a key prerequisite for a sustainable economic future. it is now my honour and privilege to declare the 2008 zambia book fair officially open. i thank you all for your kind attention.

would opt to hedge against inflation. ultimately, this leads to a reduction in the availability of loanable funds and investments. in addition, high inflation is normally associated with high interest rates and high interest rates inhibit borrowing for investment purposes, thereby slowing down economic growth and the development process ; 2. rising prices erode the public and investors ’ confidence in the economy and contribute to rapid exchange rate depreciation. this leads to currency substitution or dollarisation, which in turn, reduces the effectiveness of monetary policy ; 3. rising prices also undermine the country ’ s external competitiveness, which may lead to a decline in export earnings, thus, worsening the balance of payments position of the country ; and 4. rising prices entrench poverty through the erosion of peoples ’ incomes, particularly those on fixed incomes. therefore, high inflation is a major source of concern to the central bank as it poses a threat to general economic development. with regard to the real estate sector, high inflation will affect the cost of property. in the case of the low income group, high inflation will make real estate prices unaffordable. apart from inflation, there are other financial prices which are of great concern to the bank of zambia, especially in our efforts to stabilise the macro - economy. one such financial price is the level of interest rates. interest rates, being the cost of funds, can inhibit borrowing for investment in real estate if they are too high. inflation also affects the level of interest rates. to this effect, lowering of interest rates requires that all key stakeholders play their respective roles effectively and consistently. the government, by reducing domestic borrowing, contributes to the lowering of yield rates on government securities, which are often used as anchors by commercial banks in setting their interest rates. commercial banks are, on their part, also expected to respond favourably to improving macroeconomic conditions consistent with low interest rates, while borrowers need to improve their credit culture. as for the bank of zambia, the greatest contribution we can make to the lowering of interest rates is reduction of inflation to single digit levels. in this regard, the bank will continue monitoring financial conditions and take appropriate actions to contribute to the lowering of lending interest rates. exchange rates are yet another financial price that should be stabilised to effectively contribute to the promotion of the growth of the real estate industry, particularly that a substantial amount of building materials, such as, steel are imported. an unpredictable behaviour of the exchange rate can make investment in real estate unatt