Zambia Central Bank Holds Lending Rate at 9% as Inflation Eases

By Nicholas Bariyo

Zambia's central bank on Wednesday held its key lending rate at 9% for the second time in a row this year, citing easing inflationary pressure in Africa's second-largest copper and cobalt producer.

Central Bank Governor Denny Kalyalya told reporters that Zambia's recovering currency, aided by improved metal prices and better domestic food production, have helped slow down inflation.

"It was appropriate for us to maintain the policy rate at 9% due to the sharp decline of inflation that may tend toward 6-8% toward the end of the year" Mr. Kalyalya said.

Write to Nicholas Bariyo at [e-mail]

(END) Dow Jones Newswires

05-18-22 0538ET