Kwacha to continue depreciating – ANDD

By NATION REPORTER

THE Kwacha will continue depreciating due to low copper production output which has consequently led to low copper export volumes that has resulted in the country generating less foreign exchange earnings which is negatively impacting the performance of our domestic economy, Advocates for National Development and Democracy (ANDD) has said.

ANDD Executive Director, Samuel Banda, has analysed that Zambia is having less copper production output because the two national strategic mines Konkola Copper Mines and Mopani Copper Mines are not operating at optimum level due to financial constraints and operational challenges.

“Due to low copper production output and low copper export volumes, the Kwacha is now trading at K24.32 against the dollar and unfortunately, this is shrinking our domestic economy further, its triggering the cost of doing business and living standards will continue to go up. Every day the prices of basic commodities are increasing.

“Sadly, a majority Zambians are failing to cope up with this continued trend of increasing in prices of basic commodities. Our recommendation is that the UPND government should stop playing politics at the expense of development and welfare of our people and focus on implementation of policies that will help address economic challenges such as the continued depreciation of Kwacha, high cost of living and doing business,” Mr Banda said.

Mr Banda feels the UPND government should focus on ensuring that copper production output in increased to better the economy.

He said this will come to fruition if the government expedites the Vedanta – KCM transition process.

He said Government should quickly address this issue this month so that by January, 2024, the investor should have taken over the mining firm.

“We only hope that this transition period can be concluded this December so that Vedanta can start operating KCM by January, inject the US$1 billion for mining recapitalisation and development, increase copper production output and create the much-needed employment and business opportunities,” Mr Banda added.