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Monetary policy rate increased from 9.5 percent to 10.0

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THE Bank of Zambia (BOZ) has raised the Monetary Policy Rate to 10.0 percent from 9.5 percent.

The decision is attributed to the movement of current and projected inflation away from the 6-8 percent target band and the need to contain inflation expectations.

Bank of Zambia Governor Dr Denny Kalyalya said the move is in recognition that inflation not only persisted above the six to eight percent target band during the second quarter, but moved further away from the target in July 2023.

Dr Kalyalya said if left unchecked, this will undermine the gains already made in restoring macroeconomic stability.

He said the Monetary Policy Committee recognises the significant structural reforms undertaken by the Government, which are reflected in lower fiscal deficits, debt restructuring, and broader efforts to promote investment and private sector led growth.

Dr Kalyalya noted that Monetary policy can best support the efforts by steering inflation back to the target band and anchoring inflation expectations.

“This is consistent with the Bank of Zambia mandate to achieve and maintain price and financial system stability,” he said.

He also outlined that inflation increases in the second quarter of 2023 as inflationary pressures persist.

Dr Kalyalya said inflationary pressures are expected to persist over the forecast horizon, with inflation projected to average 10.2 percent in 2023 and 9.3 percent in both 2024 and the first half of 2025, well above the 6-8 percent target band.

“Elevated maize grain prices and tight global financial conditions are the key drivers of the current inflation outlook. The foregoing factors as well as higher global food and energy prices due to the prolonged Russia-Ukraine war remain key upside risks. Whilst the Kwacha appreciated by 4.8 percent against the US dollar in the second quarter, it depreciated by 11.0 percent to K19.48 between end-June and August 22, 2023,” he said.

Dr Kalyalya noted that in the second quarter, US$300 million was provided to the market, largely from mining sector tax receipts.

He said also disclosed that the central bank support to the market, coupled with government uses of foreign exchange and external debt servicing led to the decline of gross international reserves to $2.7 billion, equivalent to 2.9 months of import cover at end of June, 2023.

(Mwebantu, Thursday, 24th August, 2023)

Business

Zambia recalls metformin tablets due to non-compliance

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THE Zambia Medicines Regulatory Authority (ZAMRA) has taken action to recall metformin tablets, a diabetes medication, after tests revealed non-compliance.

The Authority has since written to the director of Yash Pharmaceuticals Limited following the development.

In a letter written to the pharmaceutical company, the Authority has directed it to recall metformin tablets 500 milligrams batch number KBTO18 manufactured by Bliss GVS Pharma PVT limited of India.

“Following routine post marketing surveillance of medicines by the Authority, the above-mentioned product manufactured by Bliss GVS Pharma Limited, India was analysed at the National Drug Quality Control Laboratory.The product was found non-compliant with respect to Assay test,” reads the letter in parts.

The Authority said the pharmaceutical company should initiate a recall within 14 days of the receipt of the letter.

ZMRA further advised that the company is required to submit a detailed report of the recall process which should include all the relevant information.

(Mwebantu, Friday, 8th December, 2023)

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ZICTA directs Airtel to compensate subscribers for poor service

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FOLLOWING the recent poor Airtel service experienced, the Zambia Information and Communications Technology Authority (ZICTA) has directed the company to compensate it’s subscribers within five days.

The Authority has also directed the network provider to immediately engage the public regarding the recent network outages and provide assurance of their resolution.

In a statement, ZICTA Manager Corporate Communications Hanford Chaaba said the Authority is closely monitoring the service provider.

He said ZICTA is deeply concerned with the recent intermittent network and service outages on Airtel network.

“To this effect, the Authority has directed Airtel Networks Zambia Plc to compensate all subscribers in line with the approved compensation policy within five days from today December 8, 2023. The Authority has also directed the network provider to, using all available platforms, immediately engage the public regarding the recent network outages and provide assurance of their resolution,” he said.

Mr Chaaba said the network provider has further been directed to urgently put in place measures that will ensure that such outages are averted, and submit to the Authority a long- term plan to improve network resilience.

He added that the Authority will actively monitor network performances of all services providers to ensure that the Quality of Service (QoS) guidelines are strictly adhered to.

“We encourage members of the public to continue reporting any issues related to unavailability and quality of network or service,” he said.

(Mwebantu, Friday, 8th December, 2023)

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Trade Kings Foundation donates over Two million kwacha to local farmers

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As the year draws to a close the Trade Kings Foundation not only looks at the year that was, but also looks to the future by donating over two million Kwacha, in the form of seed and fertilizers to 500 local farmers from the Nampundwe and Chaminuka communities.

The Trade Kings Foundation recognises the crucial role that small-scale farmers play in Zambia’s agricultural sector. In strengthening their capacity, one significantly contributes to food security in and around these communities. With this in mind, the Trade Kings Foundation continuously strives to support the sector, whether in the form of building structures, laying irrigation for water reticulation, drilling of boreholes and now – the donation of seeds and fertilizers.

As part of the donation, the farmers will attend several workshops to upskill them on topics such as soil health, crop rotation, water management, and pest and disease. The program will also focus on crop ustilisation: how to sell, give back to the local community and plan for the next crop.

During the handover of the donation, Trade Kings Group’s Public Relations Manager, Bridget Kambobe, said, “Small-scale and family farmers play a major role in food production of Zambia. Faced with numerous challenges that include everchanging weather patterns, competition from large industrial farms and a lack of access to reliable, up-to-date information and farming inputs, the drive to support local farmers forms part of the Trade Kings Foundation’s ethos of “Improving Lives” and in so doing we assist in ensuring much-needed food security.”

She concluded, “Our role as Trade Kings Group and Trade Kings Foundation is not only to serve our customers, but to instill hope during the economically uncertain times that we find ourselves in.”

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