Kwacha Gains and Fuel Cuts Justify Commodity Price Reductions, Says Economic Expert
Economic expert Kelvin Chisanga has called on businesses across Zambia to adjust commodity prices downward, following the recent appreciation of the Kwacha and a significant reduction in fuel prices.
He says these positive macroeconomic developments provide a strong foundation for lowering the cost of essential goods and services.
“The recent gains in the Kwacha and the decline in fuel prices offer a real opportunity to reduce commodity prices across the country,” Mr. Chisanga said in a statement. “These shifts should not only benefit producers and businesses but must also be reflected in fairer prices for consumers.”
He noted that the stronger Kwacha has helped reduce the cost of some imported goods and raw materials, while the drop in fuel prices has lowered transportation and production expenses.
These factors, he explained, particularly impact key sectors such as food, retail, manufacturing, and logistics, where lower input costs should translate into more affordable products.
Mr. Chisanga urged businesses to act responsibly by passing these benefits on to the public, warning that failure to adjust prices could deepen the disconnect between macroeconomic recovery and everyday consumer experiences.
“This is a moment that calls for shared responsibility. If managed well, it can restore consumer confidence, promote fairness in the marketplace, and support our broader goals of economic stability and inclusive growth,” he stated.
He also emphasized the need for regulatory agencies to remain vigilant in monitoring price behaviors to prevent unjustified price rigidity, ensuring that market adjustments are timely and transparent.
