Zambia’s Fx Reserves Hit Record-High but Currency Woes Persist

TLDR

• Zambia’s foreign-exchange reserves reached a record $4.31 billion at the end of 2024, equivalent to 4.6 months of import cover
• Despite this, the kwacha continued its decline, falling 0.2% to 28.83 against the dollar on Thursday
• The currency has become Africa’s fourth-worst performer this year, pressured by rising demand for dollars to pay for energy and food imports

Zambia’s foreign-exchange reserves reached a record $4.31 billion at the end of 2024, equivalent to 4.6 months of import cover….