74 Views

Bank of Zambia (BoZ) has elevated the Monetary Policy Rate (MPR) from 13.5% within the third quarter to 14.0% within the fourth quarter of 2024.

BoZ Governor, Denny Kalyalya, has attributed the transfer to extend the Monetary Policy Rates to continued enhance within the precise and projected inflation, away from the focused 6 to eight% band.

Speaking through the fourth quarter Monetary Policy Committee (MPC) media briefing in Lusaka right this moment, Dr. Kalyalya mentioned the rise in MPR is geared toward steering inflation again in direction of the goal band of 6 to eight%.

He mentioned the continued rise within the Inflation price shouldn’t be fascinating for the economic system.

Dr. Kalyalya mentioned the MPC took into consideration complementary liquidity administration measures , international alternate market and fragility of economic system on account of extreme influence of drought, when growing MPR.

He mentioned low Maize provide, fish and greens, elevated demand for stable fuels on account of sustained electrical energy load administration and depreciation of the Kwacha are key measures pushing the inflation upwards.

Dr. Kalyalya mentioned the elevated MPR is focused at managing demand pressures.

He additional mentioned the drought has resulted in actual GDP development projection for 2024 being considerably revised downwards to 1.2 % from the two.3 % in July.