Minister of Finance Margaret Mwanakatwe
Minister of Finance Margaret Mwanakatwe

Finance Minister Margaret Mwanakatwe says the Central bank has not used the foreign exchange reserves to stabilise the kwacha.

Mrs. Mwanakatwe says the current trading price for the Kwacha is market driven.

She said this in parliament today following a question from members of Parliament who include Chinsali MP Kalalwe Mukosa during the question for oral answer session.

The local currency has been trading slightly below 12 Kwacha against one U.S dollar.

And Mrs. Mwanakatwe said the current statutory reserves stand at one point seven billion United States dollars translating into two months of import cover.

She however said the government will next year grow the reserves to three months of import cover and further expand it in 2020 to four months of import cover.

Meanwhile, the Minister of Finance has stressed that government will continue encouraging exporting companies including the mines to be offloading some of their dollar earnings onto the local market and help strengthen the kwacha.

Mrs. Mwanakatwe however stated that government has no immediate plans of regulating the foreign exchange market saying Zambia is a free market economy.

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17 COMMENTS

    • Madam, this government needs to tell us how much Kwacha has been printed, and where it has ended up.

      They should tell us who has been buying up foreign currency, and where they got that Kwacha from, and why there have no alarms sounded to such practices.

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  1. Unless you show me a deposit slip/book balance, I will not believe you. Some people are so unbelievable that even if they told you the sun rises in the east, you have make efforts to verify

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  2. She is Correct The MPC minutes have not shown the Voting patterns on reserves effecting the rates down grade or upgrade effectively moving the rates in the desired direction at any time

    Next Time the committee gives a policy statement let them also give a comprehensive report on how members have voted to effect the reserve movements and the reasons for their voting in that manner so that we read it in view of the POLICY RATE adjustment and see

    The MPC is correctly being moderated but we need that more disclosure

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  3. probably drunk when making the statement, another PFoools trained lier who does not feel any thing for the Zambian people, these people are really trash

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  4. HH and GBM bought the forex and externalised to tax havens through their companies to harm the economy as usual so that they capitalise as a campaign issue. so cheap and unpatriotc

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  5. #freedomsikazweforpresident2026 a.k.a the smiler. But for now can we ensure he is Edgar Lungus running mate for 2021.
    #freedomsikazweforrunningmate2021

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  6. Honorable Minister, please revoke subsidies on electricity and fuel to the Mines, in addition to sticking to your proposed Taxes on them. They are huge profit making entities, why on earth should a poor nation still subsidize a mega multinational firm? There are enough people lining up to take over the mines if they want to leave, Copper is a depreciating resource, let’s maximize income from it while we can like Tanzania has done. let’s not be held to ransom by their threats of worker retrenchment. We need the money to pay down debts and repair our international reputation financially.

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