The Zambian kwacha is expected to depreciate further against the US dollar in the coming week, according to market analysts. The scarcity of foreign currency, coupled with a surge in demand from importers in the energy sector, is contributing to the downward trend.
As of Thursday, commercial banks have reported the exchange rate for the kwacha against the dollar at 19.4600, marking a decline from 18.7000 recorded just a week ago. This weakening trend has caught the attention of financial experts and institutions.
“The local currency is expected to decline in value in the short run,” Access Bank said in a note.