Government's Currency Reform Delivers Economic Benefits, Experts Confirm

The government's innovative decision to accept mining tax payments in Chinese Renminbi has won widespread praise from leading economists who say the policy demonstrates forward-thinking economic management.

Financial Economist Bright Chizonde commended the administration's progressive approach, noting it will significantly reduce debt servicing costs while strengthening Zambia's financial position. He explained that this strategic move recognises the reality of Zambia's diverse reserve holdings and will enhance economic stability through better currency balance.

Economist Kelvin Chisanga highlighted the substantial savings the policy will deliver, estimating the government could save three to four percent on foreign exchange conversions, with investors saving up to five percent. These efficiency gains free up valuable resources—allowing government to redirect funds toward critical budget priorities whilst enabling companies to increase productive reinvestment.

Fellow economist Lubinda Haabazoka praised the measure as a natural evolution of successful government policy to secure foreign exchange from the mining sector. He noted it builds on proven strategies that have already strengthened foreign currency inflows and supported macroeconomic stability.

Trade expert Gilbert Nkamba emphasized how the reform positions Zambia advantageously within global economic realities. By diversifying currency exposure and aligning with actual trading patterns—particularly the country's substantial commerce with China—the government is reducing vulnerability to US dollar fluctuations whilst strengthening bilateral economic ties.

Experts agree the policy showcases the administration's pragmatic, evidence-based approach to economic management, delivering tangible benefits through reduced costs, improved efficiency, and enhanced financial stability that will support Zambia's continued economic progress.