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The short-term outlook is expected see a steady Kwacha on the back of consistent United States (US) dollar supply.
The projection comes after the local currency maintained a strong position against the US dollar fuelled by a steady supply from corporates converting for their end of the month payroll needs.
This is contained in the daily market update issued by Absa Bank Zambia.
“The market opened with the local currency quoted at K27.950/28.000 on the interbank, and by the end of the session, it had strengthened by 2 ngwee, closing at K27.750/27.800 on the bid and offer, respectively.
“The short-term outlook is expected see a steady Kwacha on the back of consistent USD supply,” according to the update.
Read more: Kwacha ranked among Africa’s best-performing currencies —Bloomberg reports
Access Bank, also in its daily market update, however indicated that pressure on the Zambian Kwacha was set to persist next week as hard-currency demand remains strong and inflows weak.
Elsewhere, South Africa’s rand slipped on Thursday as investors continued to look for a steer on US President Donald Trump’s trade policies and an interest rate decision by the South African Reserve Bank next week.
The rand traded at 18.5675 against the US dollar, about 0.3 percent lower than its previous close.
Meanwhile, most base metals traded in narrow ranges yesterday as investors looked for clarity on President Trump’s tariff and policy plans.
Three-month copper on the London Metal Exchange gained 0.1 percent to US$9,238 a metric tonne.
Oil prices fell one percent on Wednesday after President Trump urged Saudi Arabia and OPEC to lower prices in a speech to the World Economic Forum.
Uncertainty over how Trump’s proposed tariffs and energy policies would affect global economic growth and energy demand also weighed on oil prices.
Brent crude futures closed 71 cents lower, or 0.9 percent, at US$78.29 a barrel.
US West Texas Intermediate light sweet crude futures closed 82 short cents, or 1.09 percent, at US$74.62.
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