Former Bank of Zambia (BoZ) Governor Caleb Fundanga has dismissed assertions that the Kwacha recent appreciation is artificial.
Dr. Fundanga says contrary to such suggestions, the gains the Kwacha is making are in fact real.
Zambia’s Central Bank Governor Caleb Fundanga gives a briefing on monetary policy implementation and its outcomes in the first quarter of 2010 in Lusaka May 13, 2010. REUTERS/Mackson Wasamunu
He says the strengthening of the Kwacha is as a result of the rise in the price of copper on the international market and measures the central bank has put in place.
In an interview with QTV News, Dr. Fundanga has wondered how therefore anyone can say that the strengthening of the Kwacha is artificial when measures the Bank of Zambia has put in place are real.
Dr. Fundanga who is also Executive Director at the Macroeconomic and Financial Management Institute of Eastern and Southern African says critics should be fair to the people at the Central Bank who are working over night to correct things.
He says he personally congratulates the Central Bank for the measures put in place which are now contributing to the stability of the Country’s money market.
And Dr. Fundanga notes that the strengthening of the Kwacha cannot overnight translate into the reduction of commodities prices.