Couple Kwacha gain with increased productivity- Texila don

Lusaka (20-04-2023-Zambia23) – Texila American University Zambia dean of School of Business, Dr Alick Gumbo says the gain in the kwacha can only be sustained with increased economic activities and productivity that results in amplified exports.
The Kwacha has experienced a sharp increase against major convertibles including the dollar.
Dr Gumbo said for the country to continue enjoying benefits coming out of the gain of the Kwacha against the dollar, there is need to initiate economic activity that will back up the level of gain.
He said the country should now be looking at upscaling exports.
“Now that the Kwacha has gained, lets couple it with economic activity. Let’s look at what types of exports we can do. We should be looking at exporting so that we cab be able to sustain this level of gain. The farming marketing season is coming, I would want to see a situation where we already identify crops that are in abundance within Zambia,” Dr Gumbo said.
Dr Gumbo said Zambia had cash crops such as Soya Beans, Tobacco, Sunflower and other which can be floated on the market for export.
He said without taking such interventions, it might be harder for the country to sustain the gain recently experienced, and the effects might be very adverse.
Dr Gumbo said the sharper the Kwacha has gained, the sharper it might fall without increased productivity.
He emphasized that a stable exchange rate can be sustained when coupled with exports when the gain is likely based on the quantity of dollars floated on the market.
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