Business

Fuel, debt servicing put pressure on Kwacha

BOZ

KALONDE NYATI, Lusaka
THE continued deprecation of the Kwacha against the dollar could be attributed to Government’s demand for the greenback to meet fuel importation costs and Eurobond servicing, among other obligations.
University of Zambia Graduate School of Business director Lubinda Habazoka says the depreciation of the local unit could be triggered by many factors including increased Government participation in the foreign exchange market.
“Metal [Copper] prices on the international market are favourable…The depreciation of the Kwacha could be due to Government activity on the foreign exchange market to secure fuel payments and debt services, particularly for the Eurobonds,” Dr Habazoka said in an interview yesterday.
The Kwacha-greenback pair has seen a gradual drop since the start of last week to breach the K10 mark although expectations are that it will remain range-bound http://epaper.daily-mail.co.zm/

Facebook Feed

Ad1