By Amb Emmanuel Mwamba
K22.7
● BOZ has spent US$215million on the foreign exchange market
● The Monetray Policy Rate has been raised by 150 basis points from 11.0 percent to 12.5 percent.
● to moderate volatility and broadly support the importation of critical commodities, Bank of Zambia has offloaded $215.5 million on the foreign exchange market.
● the Statutory Reserve Ratio was raised by 900 basis points from 17.0 percent to 26.0 percent with effective from 5th February 2024.
●$461million(K12billion) mopped to BOZ-Government introduced the ZERO-BASED BALANCE accountsbfor Ministries, Provinces and Government Agencies (MPAs). To this effect, government moved funds totalling K12billion ($461million) from commercial banks to Bank of Zambia. All funds in Commercial Bank Accounts to the Credit of MPAs was mopped to the Mopping Account at Bank of Zambia.
● All funds in Commercial Bank Accounts to the Credit of Ministries, Provinces and Government Agencies mopped and repatriated to the Mopping Account at Bank of Zambia.
● Turn-over in the interbank foreign exchange market reduced significantly to $14.4million from $185million in the previous quarter due to low supply.
● In the fourth quarter alone of 2023, the Kwacha depreciated by 17.5% against the US dollar and the depreciation continued to 4.6 percent as at 13th February 2024.
The Bank of Zambia (BoZ) has formulated and implemented these monetary and supervisory measures that should achieve and maintain price stability and promote financial system stability.
But all these measures remain temporal and not sustainable;
● The ultimate solution lie in economic activities and boosting export trade that should earn the country foreign exchange and the subsequent retention of export proceeds in local banks.
● abandon the tax and other incentives that have been given to the mining sector.
This is just another chigamba. It will not last. We need solid policies, not short term patches.
Emmanuel Mwamba you are really a novice and good for nothing overzealous person. You should grow up and behave like a well informed adult and addressing you as Ambassador is bringing shame to the noble title of Ambassador.
The more you talk the more you make people angry. In trying to be relevant to the public and gaining political mileage you found yourself exposing your ignorance and lack of understanding of critical political and economic issues. Even the platform you have created on the ‘Conversation’ is a political rhetoric platform with evil intentions to downplay all the good things the new dawn government is doing but to his surprise it is not making any impact but exposing his desperation and hatred towards president Hikainde Hichilema. Things don’t work that way for a long time Emmanuel Mwamba has been surviving on politics of chancing and manipulation.
There is no way Emmanuel Mwamba could be committing on any issue even on things he doesn’t know and understanding that clearly shows how unwise and naive Emmanuel Mwamba is.