• Experts in Government to clearly state how long the Zambian Kwacha will continue to show positive strength against the US Dollar.
• Sharing information regarding the cause of foreign exchange rate movements will enable the business community to make informed decisions.
• It is it important to understand the underlying cause for the foreign currency fluctuations.

A Political Party says one-off interventions will not sustain the exchange rate at an adequately low level.
New Heritage Party President Chishala Kateka told Money FM News that this is because the rate will trend upwards again as soon as the effects of the intervention wear off.
Ms. Kateka called on experts in Government to clearly state how long the Zambian Kwacha will continue to show positive strength against the US Dollar, adding that sharing information regarding the cause of foreign exchange rate movements will enable the business community to make informed decisions.
Ms. Kateka stated that “It is it important to understand the underlying cause for the foreign currency fluctuations because for the business community, it helps with planning. If the reason for the movement of the rate is known, either way, it will then be possible to know whether that movement will be sustained over a long period or not. For a business dealing with large volumes of foreign exchange, a difference of say, K6 in the rate, can result in large foreign exchange losses. This is why, for a business, a stable exchange rate is preferable,” Ms. Kateka explained.
She said what will sustain the rate and what as a nation should be pushing for is embarking on economic activities that can generate adequate foreign exchange for the country.
“After a seeming free fall, the Kwacha has rallied strongly against major currencies and moved from about K22:$1 down to K17.4:$1 and all this within a week. This is to be greatly appreciated considering the high cost of imported goods to an ordinary Zambian. Having said that, as the public, we have not received an explanation of what is happening to our exchange rate,” she said.
Ms. Kateka observed that in the last few months, the country has seen the Kwacha go into free fall, and then rallying against major currencies rather rapidly.
She noted that the cause of the loss and the rapid exchange rate gain, has not been explained to the public by those that should and as a result, the cause of the losses and gains are left to conjecture.
The local unit is currently trading between K17. 42 Ngwee and selling at K17.77 Ngwee per US Dollar