Kwacha Surpasses K23 Mark as Confidence Builds, Analyst Cautions
The Zambian Kwacha has appreciated notably, crossing the key psychological threshold of K23.00 to the US dollar, signaling growing confidence in the local currency.
Economic analyst Kelvin Chisanga attributes the rebound to strong forex inflows from mining and agriculture, a credible monetary stance by the Bank of Zambia, and a favorable global dollar environment.
“This development signals resilience and a cautiously optimistic recovery path, with positive implications for pricing on consumptive goods and services,” Chisanga said.
However, he warned that the Kwacha’s recent strength remains fragile and highly sensitive to fiscal discipline, debt restructuring timelines, and global copper prices.
“Any deviation from current stability conditions could swiftly reverse the gains,” he added.
To sustain momentum, Chisanga urged continued policy coherence and fiscal prudence, stressing that now is a strategic time for businesses and investors to review pricing frameworks for term deposits and essential commodities.
