Zambia launches new rebased currency

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Finance Minister Alexander Chikwanda
Finance Minister Alexander ChikwandaFinance Minister Alexander Chikwanda

The new Zambian currency, Kwacha and Ngwee, has been launched with a call on the business community to keep the prices of goods and services unchanged.

Minister of Finance Alexander Chikwanda unveiled the new currency at a colourful ceremony held in Lusaka at the new Government Complex yesterday.

The new currency comprises of six notes with features such as the African Fish Eagle, coat of arms, freedom statue, trees and animals while there are four coins minted with a coat of arms, a bird and animals representing the abundant wildlife and tourism potential of the country.

The new currency becomes legal tender on 1st January 2013 and will circulate side by side with the old currency for six months to allow the public to completely switch to the new currency.

In his key note address, the Finance Minister observed that the steps taken by the Bank of Zambia to prepare the country for the currency change will proceed with minimal or preferably no hitches.

Mr Chikwanda noted that the rebasing of the kwacha was aimed at addressing the inflationary spirals which over the years caused the currency to depreciate to intolerable levels which were not cost neutral in terms of the economy.

The Minister further stated that decision to rebase was premised on government’s conviction to restore the intrinsic value of the currency as a medium of exchange by bringing normalcy to the numeration of the local currency.

He said it is an internationally accepted practice to rebase a currency during the periods of low and stable inflation stating that in the last five years, inflation has generally taken a downward trend in Zambia.

The Finance Minister dispelled assertions and misconceptions by some circles of society that the rebasing was a gimmick by the new government to nab unscrupulous members of society adding that it will instead lead to greater confidence in the currency and also simplify book keeping, accounting records and facilitate easier business transactions.

Mr Chikwanda however noted that the rebasing of the currency will neither cause revaluation nor devaluation of the kwacha meaning that prices of goods and services will not change and encouraged the general public to accept the new notes and coins.

And Bank of Zambia (BOZ) Governor Michael Gondwe announced that following the launch of the new family of notes and coins, the Bank of Zambia has made available the currency in all commercial banks and agencies throughout the country.

Dr Gondwe assured the public that sufficient security features have been embedded into the new high value K100 notes to make them sufficiently different from the current K100.

He noted that the BOZ team discovered during sensitization campaigns that many people were of the view that the introduction of the new high value K100 note would be confused with the current K100 note.

The launch was attended by senior government officials, diplomats accredited to Zambia, officials from both the notes printing company, G&D of German and South African mining company and CEOs of Banks and Public and Private Institutions.

ZANIS

50 COMMENTS

  1. vote

    interesting..waiting to hear what em Economists at EAZ gotto say…im sure em villagers in Shang’ombo & all villagers at large will b as confused for a few days to come…but 6 months should b enuff for em to adjust…

    • vote

      these morons think they are blind folding everyone. literally there are more cons than pros to this rebasing. i have only heard of one advantage which is beneficial to accountants.

  2. vote

    Good tactic to make people think everything has become cheap ..am sure the villagers and the Kaponyas will believe that prices have come down. Nice one PF

    • vote

      ba #2 Cant u read simple english? The Minister himself has stated that “this will not cause revaluation or devaluation of the currency.” Can we be rational in out criticism

  3. +1
    0
    vote

    Finally the PF government starting to archive some things they promised, i support this move and am humbly waiting to see how the new notes will impact our economy in few months to come.

  4. vote

    As long as inflationary spirals contunue to characterise the economy, just how in this world would rebasing a currency stop it from depreciating all over again to intolerable levels? I think even Idi Amin understoon economics better than this fools masquarading for govt in your country.

  5. vote

    Somebody is going to get cheated here and it ain’t the Party and its government!! This is a ploy from the pits of Hell. Banks will make money out of this and so will the government. You and I will not. AAAAhhhh Zambians, stop being so dull. Over the next year keep track of what happens. Always convert to the old currency & Analyse. You will see the exchange rate even slip lower. It is a trick of the devil… A vomit of the pit!!

  6. vote

    When a person is dirty the only solution is cleaning up and not applying lotion. The problem is not the last three zeros. Clean up the economy how ever long it takes and the there zeros will drop off. Rebasing is an expensive process and just covers the dirty and very soon the three zeros will be back.

    • vote

      My dear,
      Politicians don’t know how to work hard to archive any results. Expensive quick fixes are more appealing to them because they spend other peoples money.

    • vote

      My dear
      Politicians don’t know how to work hard to archive any results. Expensive quick fixes are more appealing to them because they spend other peoples money.

  7. vote

    The rebasing of the currency was never a promise by the PF government. This was a Bank of Zambia project. The BOZ guy , Director of Currency or something along those lines a Mr Mulomba confirmed said something to that effect.

  8. vote

    If there is any change from the rebasing please buy some roggaine for Minister chikwanda. That pate is scary!!

  9. vote

    Ba LT i personally i don’t like your new web page design for 2013, maybe am not used to it yet, kaya. Any way happy new year to LT staffs and All LT bloggers love you guys.

  10. vote

    No use to rebase when the underlying weaknesses like obsession with destroying opposition,high inflation and very clueless ill educated morons running GRZ are covered up.You can’t rebase stupidity and ignorance.

  11. vote

    LT HAD THE BEST WEB. THIS CURRENT ONE IS ABSOLUTE SH!T. I DON’T WHY ZAMBIANS HAVE A TENDENCY OF CHANGING FROM GOOD THINGS TO BAD ONES. THIS IS A COUNTRY WITH NO STANDARDS WHATSOEVER. I AM TALKING FROM PROFESSIONAL STAND-POINT. THE PREVIOUS WEB WAS SPOT-ON. THIS ONE IS ABSOLUTE RUBBISH.

    • vote

      the only thing that is constant in this day and age is change. cope cos change has alot of merits especially for progress and clarity.

    • vote

      From a professional standpoint, why is your keyboard CAPS LOCK forever turned ON?

    • vote

      It would help if you endeavoured to condemn others whilst remaining faultless yourself. But alas, your grammar and punctuation are sh!t:

      LT HAD THE BEST WEBsite. THIS CURRENT ONE IS ABSOLUTE SH!T. I DON’T know WHY ZAMBIANS HAVE A TENDENCY OF [to] CHANGING [change] FROM GOOD THINGS TO BAD ONES. THIS IS A COUNTRY WITH NO STANDARDS WHATSOEVER. I AM TALKING [writing] FROM a PROFESSIONAL STAND-POINT [your profession being?]. THE PREVIOUS WEBsite WAS SPOT-ON. THIS ONE IS ABSOLUTE RUBBISH.

  12. vote

    Finally. That doubting Thomas still continues to doubt. It is real, Kwacha rebased. Just wait for many more goodies. Thats why Sata is a good no 9 of the political football. Watch out defenders. He is certainly skipping by to give more goal. The winner is a winner. Wina azalila.

  13. vote

    The new K100 and the old K100?The crooks will have a field day!Watch out Zambians.A happy new year.GOD BLESS ZAMBIA.

    • vote

      Spot on…Bank of Zambia stated that they were going to introduce this domination later on in the year but have ignored their statement and decided to introduce the note now which is a wrong move.

  14. vote

    Thats the way to go Zedians. Let those who plan failure get favour from God to forgive and forget. Favour all the way

  15. vote

    hats off to lusaka times for the new web page. Even in our homes we do really change the arrangement of our furniture. If some people dont like the new page let them blog on shameless watchdog. Coming to the issue of the new currency no one is going to be crooked believe you me. People are very careful when it comes to money. They are not as dull as they are potrayed here. For a start everyone knows how the old currency looks like so people will be able to distinguish between old and new. Try to crook someone and you will land in jail!

  16. vote

    Finally. That doubting Thomas still continues to doubt. It is real, Kwacha rebased. Just wait for many more goodies. Thats why Sata is a good no 9 of the political football. Watch out defenders. He is certainly skipping by to give more goals. The winner is a winner. Wina azalila.

  17. vote

    Happy New Year Zambia!

    Finally, we have got the new currency in circulation.

    Thanks LT for your work, and congratulations on your new look website. Innovative and tech savvy.

  18. vote

    ITS NICE TO HAVE HAVE THE GOOD OLD DAYS WHEN WE HAD COINS THE NGWEES. WELL DONE BA SATA AND MR CHIKWANDA FOR THE CHANGE OF NEW CURRENCY.WE NO LONGER WILL BE CARRYING OUR KWACHAS IN BOXES TO THE BANK WHEN BANKING OR CASHING. HAPPY NEW YEAR TO LUSAKA TIMES AND ALL MY ZAMBIANS BROTHERS AND SISTER AT HOME. MISS ZAMBIA VERY MUCH

  19. vote

    money wasted.
    what was spent on this rebasing should have been used in providing health education and on improving our roads.
    A very poor planning.
    I suppose this was done in order for someones pocket to be filled.

  20. vote

    WELL DONE BOZ AND HON MR CHIKWANDA. WITH THE REBASED KWACHAS YOU HAD OLD DAYSVE BROUGHT BACK THE GOOD OLD DAYS, MY CHILDREN HAD NEVER SEEN NGWEES BEFORE BUT NOW THEY WILL BE SPENDING THE NGEWEES WHEN THEY BY SWEETS.LONG LIVE BA SATA AND PF.HAPPY NEW YEAR TO L.T AND MY FRIENDS BACK IN ZAMBIAN.ALSO WISH OUR FOUNDING FATHER OF THE NATION BA SUPER KEN A VERY HAPPY NEW YEAR AND GOOD HEALTH THROUGH OUT 2013

  21. vote

    I look forward to the rebased currency, Happy New Year to all Zambian compartriots and the followers of Lusaka Times.

  22. vote

    Let me personally thank the PF government and BOZ management for carrying a very very successful rebasing changeover. To all doomsayers pray harder next time and happy year chaps. Now I have to top up my ZANACO saving account as its got a very modest amount in it.
    I’m now going back to enjoy the rest of my holiday..

  23. vote

    Why should you always insult you haters and frustrated people. The rebasing is over and now you should move on guys. Insulting is for evil people but great people hope for the best. Thanks to BOZ and PF for the new money of same value as the old one.

    Peace and Prosperity to Mother Zambia.

  24. vote

    This LT website looks pathetic. Was it designed by a 7 year old? ‘Leave a Reply’ takes up the whole page!! LT just revert to the old site……Why are those icons for voting so large? Every thing looks out of proportion..

  25. vote

    Bafikala ba PF we have been changing money, everytime
    A different party comes to power, nothing good has come out of
    It, just different money same problems, this is just covering the problems
    With lipstick, the government has to pump money into the economy, and offer good incentives
    To indigenous Zambians not just foreigners

  26. vote

    Childish format, whose behind it? i have no quams with the rebursing of the currency, however, can you GRZ, invest in educating the other masses who wont understand your economics? like………, our uncles and aunties in the villages? you owe them an explaination, it’s sad to follow blindly dancing to the music when you dont know the words!

  27. vote

    Bank of Zambia stated last year that they were going to introduce K100 domination note later on in the year. They have ignored their statement and decided to introduce the note now which is a wrong move in my opinion as some unscrupulous people that might want to take advantage and confuse unwary people about the old K100 and new K100 banknotes.

    LT reduce the font size on your website – are you trying to reduce the number of pics on your site by reducing space? What’s with this fascination of the colour blue with Zambian sites?…look to Nyasatimes.com for ideas.

  28. vote

    when i opened to blog i thought something was wrong with my fonts,change indeed but we must all go for positive change,someone tell us whats good about this new format,relatively the other format was mature,brothers be real.Congratulations for rebursing successfully ba PF, BLOGGERS DONT BE CONSTANTLY NEGATIVE IN OPINON.

  29. vote

    The exercise has taken off very but there still needs to be more education and information given to the rural population to allow for more economic growth in Zambia.

Comments are closed.