Fix the Economy, Not the Ink on the Kwacha, President. Hakainde Hichilema!

Fix the Economy, Not the Ink on the Kwacha, President. Hakainde Hichilema!

By Thandiwe Ketis Ngoma

Not too long ago, President Hakainde Hichilema ridiculed the previous administration, blaming the kwacha’s depreciation on weak leadership at the Bank of Zambia. He confidently assured Zambians that under his “superior” economic management, the currency would stabilize, investor confidence would return, and the country’s financial standing would improve.

Fast forward to today, and the kwacha is tumbling toward K30 to the US dollar—one of its worst performances in history. Businesses are suffocating, inflation is crushing households, and the average Zambian is struggling to afford even basic necessities.

And what is President Hichilema’s grand solution to this economic disaster? Printing new notes and minting new coins! Instead of addressing the root causes of the kwacha’s decline, his administration is attempting to distract the nation with a superficial currency redesign.

A Misguided Distraction from Economic Realities

Currency redesigns are typically undertaken to enhance security features or reflect economic changes, but in this case, it appears to be nothing more than a political gimmick. A new family of banknotes and coins will not:

✅ Strengthen the kwacha’s value
✅ Lower fuel prices
✅ Reduce the cost of mealie meal
✅ Boost employment opportunities
✅ Ease the cost of doing business

Instead, it raises serious concerns about unnecessary government spending and potential inflationary risks. If anything, this move only diverts resources away from the real economic solutions that Zambia desperately needs.

What Happened to the Promised Economic Recovery?

Hichilema and the UPND government came into power on the back of promises to fix the economy, tackle corruption, and revive investor confidence. But two and a half years later, the situation is worse than ever:

1. The Kwacha Is in Freefall

The currency has lost significant value, approaching K30 to the dollar, despite promises of stability. Under the previous administration, Hichilema attacked the depreciation of the kwacha—yet under his leadership, the situation has deteriorated even further.

2. The Cost of Living Has Skyrocketed

Basic commodities such as mealie meal, fuel, and electricity have become luxuries for many Zambians. Inflation is eroding purchasing power, making it harder for families to survive.

3. Investor Confidence Remains Weak

Foreign direct investment (FDI) has not improved under this government. Instead of creating a stable and predictable business environment, policy inconsistencies and a weakening kwacha have scared away investors.

4. Zambia’s Debt Crisis Remains Unresolved

Despite grand speeches about debt restructuring, Zambia’s debt burden continues to cripple the economy. There is no clear path to resolving it, and economic growth remains sluggish.

Instead of implementing meaningful reforms, the government is printing new money as a smokescreen, hoping Zambians will be distracted from their economic hardship.

Is This Just a Political Gimmick?

With no clear justification for a new currency design, many Zambians suspect ulterior motives. Is this move meant to:

1. Divert attention from the kwacha’s collapse and the government’s economic failures?
2. Destroy cash reserves held by political opponents and business figures by forcing them to convert their money under unfavorable terms?
3. Create lucrative contracts for politically connected individuals involved in printing and distributing the new currency?

If this currency change was truly for the benefit of the people, why wasn’t there broad stakeholder consultation? Why was it announced at a time when the economy is struggling the most?

Fix the Economy, Not the Currency Design!

Zambia doesn’t need new ink on the kwacha; it needs real economic policies that will restore confidence in the currency and improve people’s lives. To fix the kwacha and stabilize the economy, the government should:

1. Strengthen Local Production

Reduce dependence on imports by boosting agriculture, manufacturing, and local industries. A strong productive sector will help stabilize the kwacha and reduce pressure on foreign exchange reserves.

2. Restore Investor Confidence

Attracting foreign investment requires a stable business environment, consistent policies, and an independent central bank that is not politically compromised. Investors will not commit capital to a country where the currency is constantly depreciating.

3. Address Inflation and Debt Head-On

The government must implement responsible fiscal policies, reduce unnecessary borrowing, and properly manage inflation. Printing new currency does not solve economic instability—it often makes it worse.

4. Cut Wasteful Government Spending

Instead of wasting taxpayer money on new currency designs, the government should focus on policies that will generate jobs, reduce poverty, and revive the economy.

Conclusion: Leadership, Not Ink, Will Save the Kwacha

President Hichilema once ridiculed his predecessor for failing to stabilize the kwacha. Today, under his administration, the situation has gone from bad to worse. Instead of accepting responsibility and implementing real solutions, his government is playing tricks with currency redesigns.

Printing new money will not fix Zambia’s economy—only strong leadership and sound economic policies will. The people of Zambia deserve a thriving economy, not just a fresh coat of ink on their currency.

It’s time for the government to stop the distractions and deliver on its promises. Fix the economy, not the ink on the kwacha, Mr. Hakainde Hichilema!