Zambia’s central bank on Wednesday maintained its key lending rate on account of the continued decline in the inflation rate.
The Bank of Zambia (BoZ) kept the monetary policy rate at 9 percent as the inflation continues to decline, with projections showing further decline toward the target range of 6 to 8 percent.
Denny Kalyalya, the governor of the central bank, said the annual overall inflation rate has continued to fall in the first quarter of 2022, declining to 14.1 percent from 18.9 percent in the last quarter of 2021.
The central bank chief, however, told reporters during a press briefing that the increase in global energy and food prices, worsened by the Russia-Ukraine conflict as well as outbreaks of more infectious strains of COVID-19 poses risks to the inflation outlook. Enditem
