During a scheduled meeting on November 18, 2014, the Monetary Policy Committee (MPC) discussed developments in the Zambian economy and the Bank of Zambia (BOZ) Governor Michael Gondwe, indicated that the targeted 6.5% Growth Domestic Product (GDP) for 2014 will likely be achieved.
According to Dr. Gondwe, increases in the stock, production, and generation of materials in the country’s agriculture, construction, manufacturing and energy sectors have contributed to the overall GDP.
Additionally, Dr. Gondwe indicated that arrivals from international passengers at the country’s four international airports increased by 10.3%, which helped to further booth the Zambian tourism sector in the third quarter.
While Dr. Gondwe did cite preliminary data showing decreased output in the Zambia mining sector than was originally projected, he explained that prospects remain strong for increased output over the medium term remain.
In the statement released by the MPC following their most recent meeting, Dr. Gondwe reiterated the commitment from the Bank of Zambia to maintaining Zambia’s macroeconomic stability and indicated that the country’s financial sector is well capitalized, profitable and stable.
“The fundamentals of the Zambian economy remain strong,” he said, “We are confident that the growth target of 6.5% will be met, with the possibility of an even higher growth rate being achieved in 2014.”
The next MPC is committed to the continuous monitoring of developments in the Zambian financial sector and in the broader economy until their next meeting, which is currently scheduled for February 8, 2015.