Secretary to the Treasury Fredson Yamba says the Kwacha is on course to regaining its stability and resilience.
Mr Yamba disclosed in a statement issued to ZANIS that the Kwacha has posted a 1.3% gain week-on-week performance.
He hinted that in the past few weeks there has been a pocket of pressure on the local currency due to the strong international performance of the dollar, and poor copper price outlook on the world market.
“With the presidential by-elections behind us, we hope to see the speculative tendencies of the private sector fizzle; and that’s positive for the currency market,” said Mr. Yamba.
The Secretary to the Treasury revealed that the increased supply of the US dollar on the market contributed to the Kwacha to appreciate against the US dollar by 1.33 %.
The Bank of Zambia has continued to be watchful and to make interventions aimed at smoothing out the volatility in the forex market.
Meanwhile, the Ministry of Finance is on high alert in monitoring global economic events as they affect Zambia as well.
The Ministry of Finance noted that on the global front, most commodity prices have continued to be fragile as the global economy weakened.
Like other commodities, the price of copper has continued to relapse.
The price of Copper on the London Metal Exchange has declined by 2.61 % to US dollar 5,760.50 per MT (US cents 2.56 per pound) from US$5,915.00 (US cents 2.64 per pound) registered week-on-week.
The continued decline in copper prices is largely attributed to the weak demand for the metal in the Chinese and European markets.
And the price of crude oil has remained below 50 US dollars per barrel due to the global oversupply, compounded by the resistance of OPEC to calls to reduce supply.
According to the statement positive developments in China and the USA, when sustained, have the impact of raising demand for Zambian exports for copper and copper related products.
Latest information shows that Real GDP for the USA for the fourth quarter was positive at 6% compared to 5% and 4.6% in the 3rd and 2nd Quarter of 2014, respectively.
On account of a strengthening job market and lower fuel costs, consumer sentiment in the USA surged to an 11-Year High of 98.2 from 93.6 in December, 2014.
Meanwhile, China’s economic growth slowed down to its weakest in 24 years at 7.4 % in 2014 compared to 7.7 % in 2013.
Investment in China’s property market slowed down to a five year low of 10.5 % in 2014 compared to 19.8 % in 2013.
Further, China’s Central Bank has granted US$ 8.1 billion of relending quotas as support for businesses and the agricultural industry, and a government commission approved a plan to build urban rail networks.
The building of urban networks project has kept the outlook on copper prices positive, as the project will enhance demand for copper products.
GIVE US A BREAK YOU SWINES WETHER IT OVERSHOOTS HHHH WILL COME AND CONTROL IT NOT PIPO DRUNKEN WITH LUTUKU .
SO KALABA AND DARLINGTON MWAPE WITH LISTS OF NAMES FOR CABINET ,BA KALABA NABO THINKS HES A SOMEBODY IN SOCIETY NO BUKOPO BULAMONEKA PA MENSO .DEAR OH DEAR .
BA DARLINGTON MWAPE NABO RESURRECTED FROM THE GRAVE .
SO THIS EDGAR THINKS ATI PANTU NIBA JUSTICE MINISTER,DEFENCE EVEN GIVEN SECURITY FOR WHAT PLEASE .
ECZ BE NEUTRAL THE LIVES OF ZAMBIAN PIPO SHOULD NOT BE PUT AT RISK .LOOK AT THE UGLY WOMEN THUG THEIR BEHAVIOUR LUO AND KAPATA IFIKANWA KWATI NI PA MUSULA PABO .
LEAVE MAMBILIMA ALONE PLEASE JUST FOR ONCE BE CIVILISED PF BE CIVILISED .NOT ALL OF US SUPPORT LUNGU AWE WE ARE NSENGAZ BUT WE SUPPORT A CIVILISED MAN .NOT CAKOLWA
UPND WATCH EVERY MOVE PF ARE TRYING TO DO
It has stabilised due to peaceful elections . Viva Lungu
Sara go jump off the bridge
I pray that when EL assumes office won’t avenge on these brothers of ours but take it as a lesson that “umuntu mubi”. I think this is the last chance UPND has now because all Zambians have now seen how tribal and regional this party can be.
In 2016 I won’t blame any tribe if they all decide to vote for the PF to show the Tongas how “foolish” their thinking is. It’s just not right morally. Eastern province has shown maturity and non tribal. Sinda was won by hh.
Am still in shock and this I will tell my children when they grow up. I don’t see myself marrying a Tonga because I wouldn’t want such blood to run in my family.
EL all the way
i thank you
Bitter looser. You will die a bitter man…or are you a woman. Nelson zau Boko Haram. UlimuhubahubA maningI
Robin
Stay tuned,,,,,,,,,,good news coming your way……..
i thank you
@ Sara Goma… jumping off the bridge is in order …
Yours Sincerely,
Lee Habaponta Bsc,Msc,phd
Secretary to the Cabinet has released the following program for Inauguration of His Excellency President HH on 24.01.15
10.00 All invited Guests to be sited
10.10 Arrival of service chiefs and Diplomats
10.15 Arrival of Chief Justice 10.20 Arrival of Acting President Dr G.Scott
10.25 Arrival of President Elect- His Excellency Hichilema H.
10.26.30 National Athem 10.27 HH takes Oath of Office & Receives Instrument of Power fro G.Scott
10.30 Speech by His Excellency President Hichilema H.
11.00 21 Gun Salute & National Athem End of Program
14.00 President HH Announces his Cabinet and the Kwacha jumps to K2.5/$1 Zambia heads for massive economic, social development under HH for next 11 Years.!
You wish ayi. It won’t happen,, we can’t put a tribalist into state house to take care of 73 tribes Moreover a blood sucking satanist, this is a Christian country
A Christian country cannot have a Boko Haram drunkard jihadist with buck teeth for president.
Those 2 words are tri..ba..list and sa..t..a..n..i..s..t
WE CANT PUT A THIEF WHO SUCKS POOR WIDOWS OUT OF THEIR MONEY TO TAKE CARE OF HER FAMILY DUE TO SELFISHNESS .
@ Nandiwine, I don’t know to what level you have attained your education but your comments are pathetic to say the least. Two things:
1. Why do you call HH tribalist? Just because he is Tonga? Are Tongas tribalisms? Honestly?
2. You call him a satanist. Do you ahem evidence for this?
One can conclude that you are the worst tribalist ever by continuing to tag someone with tribalism. Be more than an educated fool!
Good numbers but we need to know and be worry about the rate of growth 6% rate of growth will take Zambia 12yrs assuming no slap to multiply or double its GDP in real towards potential from current figure of about 30 Billion Dollars to 60 Billion
That should be the worry to ensure the rate is matched to creation of value and assets on the Zambian balance sheet as it where to ensure rebalancing and restructure within 12 to 20 yrs. forecast Looking at the Planning circle that seems to be matched but its a number to pay particular attention
As for the rates longterm the trajectory follows alongside insulating the fundamentals for longterm to come for Zambia
Kachili…
At 6% growth rate the actual growth rate to double that GDP is about 7% in 12yrs and 1 yrs. respectively
Kachili Kasanya Good work You are doing Timalolana
sorry doubling in 12yrs and 11 yrs.
At 6% growth rate the actual growth rate to double that GDP is about 7% in 12yrs and 11 yrs. respectively
Lets get worried of the growth forecast and rebalance against the world outlook rebalancing to reflect the creation of value in the commodities we have as a principle driver of the Zambian kwacha we have in view of the downgrades in major countries projected forecast in growth and how it impacts assets in Zambia Lets see the share of contribution in world growth forecast in regions that Zambia trades in and the contribution to the world growth forecast and see
Kachili Kasanya Good work You are doing Timalolana
PFools have failed to run the economy. Expect the Kwacha to tank when Lumwana closes down, followed by KCM. We shall see where the Copperbelt PFools who voted for ChiLungu Chagwa Munjila will go.
With oil prices dropping and major concerns around the world and Zambia’s Kwacha is what? People are preparing for a second recession so who is this visionless person saying lies. Lungu has a big task and he needs to figure how he is going to pull us out of this slump called The Recession. Its nice to be president but can you manage the job of being the president of the republic of Zambia is the question you need to ask yourself Mr. Vodka -Chibuku President Kachasu Edgar Lungu. In 4 years we will find you mu Shabeen saying I used to be president. Then we’ll ask you what happened then you’ll say HH happened. Muleleka ukwiba ama results and let the rightful people win. Then just maybe… just maybe the nation can finally move forward.