By GRACE CHAILE THE Bank of Zambia (BoZ) has raised the monetary policy rate (MPC) by 50 basis points to 14 percent to guide the inflation rate towards its target range of six to eight percent. BoZ Governor Dr. Denny Kalyalya has stated that the increase was necessary due to actual and projected inflation rates remaining above this target. Speaking at the quarterly monetary policy briefing yesterday, Dr. Kalyalya stated that the Monetary Policy Committee considered complementary liquidity management measures, foreign exchange market reforms, the economic fragility following a recent severe drought, and the stability of the financial system. In the third quarter of 2024, annual inflation continued to climb, averaging 15.5 percent, up from 14.6 percent in the previous quarter. In October, inflation rose to 15.7 percent from 15.6 percent in September, driven by low supplies of maize, fish, and vegetables, increased demand for solid fuels amid ongoing electricity load management, and depreciation of […]
BoZ raises monetary policy rate to 14%
