Bank of Zambia Orders Reduced Money Supply

By Kalata News,

 

LUSAKA –  The Bank of Zambia (BoZ) has ordered that commercial banks to restrict money in supply in an effort to arrest the rising costs of things.

In a circular number 31 of 2023 dated November 21 and signed by Deputy Governor Francis Chipimo, the Central Bank announced that the Statutory Reserve Ratio will be increased to 17 per cent from 14.5 per cent with effect from Monday November 27.

Dr. Chipimo says inflationary pressure caused by exchange rate fluctuations are leading to high inflation.

The Kwacha –Dollar relation has seen the Kwacha lose value every week as the demand for dollar keeps on rising.

This week the dollar is trading between K22 to K24 to a dollar.

kalata

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