Zambia’s 2014 economic prospects still strong – BoZ

The Bank of Zambia (BoZ) has maintained that the country’s economic prospects for 2014 still remain strong despite the Kwacha’s decline in strength in the last few weeks.

Zambia’s economic growth for the 2014 has been projected to go way over seven percent this year.

BoZ Governor Michael Gondwe says growth is expected to be mainly driven by agriculture, manufacturing, construction and mining.

Dr. Gondwe says manufacturing and mining are expected to benefit from increased capital imports which he says should increase capacity utilization particularly among most mines.

Dr. Gondwe says high construction activities are expected to be sustainable this year mainly in roads, commercial structures and housing estate.

The BoZ Chief also notes that with increased output in the growth sectors, Zambia’s external sector is projected to improve supported by continued non-traditional exports and that inflation is expected to be as low as 6.5 percent at the end of 2014.

He adds that the country is expected to continue attracting Foreign Direct Investment inflows as it grows.

Dr. Gondwe was speaking this morning when he opened a media seminar organized by the Central Bank in Siavonga.

The media seminar seeks to emphasize the role of monetary policy in the economy, financial sector reforms as well as key aspects of financial inclusiveness in Zambia.