By BUUMBA CHIMBULU in Kabwe THE benchmark of lending money for the first half of this year is focussing on containing escalating inflationary pressures and anchoring its expectations, the Bank of Zambia (BoZ) has said.In February 2021, BoZ signalled its intentions to progressively tighten the monetary policy stance to bring inflation back to its six to eight percent target range over the medium-term.Zambia’s annual inflation currently stands at 23.2 percent while the monetary policy rate is at 8.5 percent.Over the first half of this year, monetary policy was focusing on containing escalating inflationary pressures and anchoring inflation expectations, says BoZ Deputy Governor-Operations, Francis Chipimo.Dr Chipimo stressed that ensuring that inflation remained well anchored in the medium-term was essential to moderate fragilities in the financial sector and support economic recovery.He indicated that the shift in the monetary policy stance followed almost a one-year period of monetary easing to support financial system stability and economic growth in the […]
BOZ FOCUSES ON INFLATION
