INCREASED COPPER PRODUCTION SPURS KWACHA GAINS
….as ANDD applauds KCM for prioritizing local contractors and suppliers in doing business on the Copperbelt
Lusaka… Tuesday May 13, 2025 (SMART EAGLES)
The Advocates for National Development and Democracy (ANDD) says the revamping of the mining sector has started impacting positively on the economy as seen with the appreciation of the kwacha against major convertible currencies.
ANDD Executive Director Samuel Banda says this means that even the cost of doing business in the country will reduce following this development.
Mr Banda was of the view that when the kwacha appreciates against major convertible currencies, even the prices of commodities will eventually reduce.
The ANDD Executive Director was speaking when he featured on Prime Television’s “On the Lunch Table” programme in Lusaka.
“The kwacha is trading around K26 against the major convertible currency US dollar due to increased copper production in the country. Previously, we advocated for revamping of the mining sector such as taking Vedanta Resources back to Konkola Copper Mines, which was done by the government. We are happy to see positive results at the mine as we see that they are also supporting local contractors and suppliers,” he said.
“You know that Zambia is an import driven country, when the kwacha appreciates it means the cost of doing business will reduce, and we are actually expecting that this will consequently have a cost effect on prices of goods and services.”
Mr Banda further said the UPND administration promised to revamp two copper strategic mines in the name of KCM and Mopani Copper Mines.
“The UPND were voted into power because they promised to unlock the mining sector. They promised to revamp KCM and Mopani even Kansenseli Gold Mine in North Western Province. As we are talking today, ANDD is happy, the people of Zambia are happy, stakeholders are happy, SMEs (suppliers and contractors) are happy that Konkola Copper Mines is now operating well. And we are happy that the investor, Vedanta Resources managing KCM is implementing good mining policies at KCM. Just two months ago, Chingola Chambers of Commerce and Industry indicated that 50% of small businesses which had closed, are now running as they have been reopened. What that means is that KCM is directly and indirectly providing employment for Zambians. Those businesses are also contributing to our national treasury,” he added.
Mr Banda said his organisation is happy that KCM is prioritizing local contractors and suppliers which is helping small holder companies to survive in their businesses.
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