Growth in the Agriculture, Copper and Tourism Industries Has Appreciated the Kwacha

The Economics Association of Zambia (EAZ) says the sustained appreciation of the Kwacha against foreign currencies, combined with disinflation, isn't due to the election campaigns.

Dr Mainza, EAZ National Secretary, says the country is recording improved agricultural production. This has contributed to a reduction in the fluctuation of the Kwacha.

The increasingly stable Kwacha has enabled businesses to plan better, whilst individuals are more likely to save.

Furthermore, the increase in copper production is also contributing to the availability of foreign exchange through increased copper exports.

Dr Mainza commented that increased tourist inflows are another factor supporting the Kwacha, as tourists bring foreign currency into the country.

These three factors have combined to contribute to the appreciation of the Kwacha. The inflation rate for June 2026 reduced to 6.5% from 6.6% in May, while the Kwacha has continued to trade below K19.