Zambia on Saturday urged the rich countries to take "decisive actions" to curb the current financial crisis, and to increase financial resources to Africa as the continent was hurt badly by the impact of the global economic recession.

"The financial crisis was created here in the United States, we urge those rich countries to take decisive actions to solve the crisis as soon as possible," Zambia's Finance Minister Stitumbeko Musokotwane said on Saturday at the IMF-World Bank Spring Meeting in Washington.

The impact of the global economic meltdown has led to a drastic drop in Zambia's export earnings and household incomes, and increased unemployment in the East African country, especially in the mining sector, said the minister.

"There are more than 12,000 workers (who) have been laid off in the mining sector," he noted. "Zambia's currency, the Kwacha, has also depreciated sharply because of the slowdown in financial direct investment."

"Demand for African exports has weakened and prices for most commodity exports have fallen," said Antoinette Sayeh, director of the IMF's African department, at a press briefing on Friday. "Tighter global credit and investor risk aversion have led to a reversal of portfolio inflows, are discouraging foreign investment, and have made trade finance more costly."

Due to the impact of the global economic recession, growth in sub-Saharan Africa is projected to decline from just under 5.5 percent in 2008 to 1.5 percent in 2009 before recovering to about 3.75 percent in 2010 -- still below its pre-crisis level, the IMF said in its latest regional outlook.

Zambia has taken various measures, including tax changes, to mitigate the impact of the global financial crunch.

"Steps have been taken to boost the performance of non-traditional exports on the international market as a way of raising money for the country," the Zambian minister said.

In his speech, Musokotwane also appealed for increased allocation of financial resources to support critical social expenditure and long-term investment necessary for economic diversification.

"We are not the only one appealing for assistance from the external world," Musokotwane argued when an African reporter challenged him on the assistance issue.

"Rich countries, like the United States, also ask for help from the outside world, they borrow money from China, Saudi (Arabia) and other countries," he noted.

(Xinhua News Agency April 26, 2009)