The appreciation of the kwacha against major convertibles will continue because of the following reasons:
1. Mopani mine has released $80m in paying suppliers and contractors. This money is being paid in dollars and not kwacha. Meaning what the owed supplier is circulating are dollars not kwacha. The total amount to be released is $250m over the coming days/months
2. KCM has also released $25m for paying of workers and other costs. Vedanta has managed to raise the required $1.3bn for reinvestment meaning more $ are expected to flow into the economy.
3.More than K2bn dormant government money has been mopped up from commercial banks to BoZ. This is the money that Commercial banks were giving businessmen who would then keep in their $ accounts for future use. Instead of using their dollars which had accrued to $3.3 bn, investors kept on getting kwacha which became scarce. The move by government has now forced dollar account holders to start spending the dollars which they were hoarding thus releasing and increasing the dollars in circulation.
4. The big mining investors such as FQM, Lumwana, Luanshya mine will this year start to reinvest billions of dollars in their mines.
The Kwacha is safe. Coupled with sustained investor confidence, Zambia is the land of work and joy
We will believe it when we see it. Politicians talk too much. How can you have more money without producing goods and services. Musokotwane should be telling us about things we can see and believe. At the moment his statements do make sense because he doesn’t explain how things will change for the better. He is Dr in Economics but he talking as if he is a Witchdoctor which is so shameful.
Please just tie kwacha to gold – commodity. Many countries are doing that to avoid these dollar challenges. Bricks route seems better than this current arrangement
From, Zambia’s independence 1964,Dr Musokotwane,remains, the only Highly qualified, Finance Minister, Zambia has had, (cv)..in 2011,under RB,(MMD),He left a very healthy balance sheet,for this country..and I know & very much convinced,,He will once again,,guide & propel Zambia into a very prosperous Nation, his record is there for every one, to see,& check,,unless, one is just a critic of Dr Musokotwane..
Nonsense. You have no memory at all. We are not talking about paper qualification because even Dr
Bwalya Ngandu is better academically qualified than Situmbeko.
In professional qualifications, even Margaret Mwanakatwe and Felix Mutati both as Fellows of ACCA in addition to their Degrees (Academics) are better qualified than Musokotwane who has no professional qualification.
We are talking about delivery and performance here and Ngandu Magande is known as the longest serving and Best Finance Minister Zambia has ever had.
You should learn to speak with facts not your misleading Beer Hall talk.
Is this a govt plan surely? Govt needs a plan, not this FOREIGN investor this, FOREIGN investor that as a basis for running government programs.
So what happens next year, is another FOREIGN investor going to come to the rescue? And after that?? Sad. No plan. Chipante panted this
Ironically, you have your sight but cannot see. This is no accident. It is planned and infact the kwacha will appreciate further after debt restructuring is complete. Good things take long to actualise.
Chilyata,we know you, we read yo posts, all the time,,All demeanour against good people, All the people you’ve mentioned, here, I know them all, and I know their qualifications & achievements,,,you, mentioned, bwalya ngandu, ask ! His PHD, is industrial psychology, he’s an ex ZCCM, employee,,,plse, just ask those who, know, ask the people, who worked under Mwanawasa,& RB, who ? Musokotwane is ,both, at,BOZ, State House, World Bank, etc..,,The Secretary to the Treasury, at Finance ministry, was created for Him,& he became the first ST, and check,the recognition awards, the man, has been receiving, from,very world class institutions,abroad, ,stop being petty..not everyone,is like you
The author of this article doesn’t want his name attached as he has no faith on what he writes as he knows it will backfire on him when kwacha starts to depreciate