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South African Rand, Zambian Kwacha Fall To All Time Low-BBC
South Africa’s currency has fallen to an all-time low against the US dollar.
It briefly hit a rate of 14 to the dollar amid concerns about the strength of the Chinese economy, reports the Reuters news agency.
Economies that rely on the sale of commodities – such as South Africa’s – have been hit by the slowdown in growth in China, a major source of demand.
The problem was compounded when China unexpectedly devalued its currency earlier this month.
BBC Africa Live: News updates
The rand is particularly vulnerable because it is one of the globe’s most highly traded emerging market currencies, South African economist Martyn Davies told the BBC.
He added that South Africa’s central bank will find it hard to defend the currency against a slide in value, instead the government needs to address some of the fundamental economic issues such as the problems in the power sector.
Impact felt elsewhere
Several other African currencies have been under pressure in recent weeks over fears of a Chinese economic slowdown.
With oil currently hovering around $40 (£25) a barrel, there are concerns about the prospects for oil-based economies, especially Nigeria and Angola.
The relative strength of the US dollar has also had an affect on – among others – the Zambian kwacha and the Ugandan shilling, which have both hit record lows in the past week.
Posted by Kunda
on August 25, 2015. Filed under BUSINESS, LATEST NEWS.
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Euros & Cents
August 25, 2015 at 7:42 am
You need 9.83675 Zambian Kwacha to buy £1.
Euros & Cents
August 25, 2015 at 7:45 am
You need 9.83675 Zambian Kwacha to buy 1 Euro
Euros & Cents
August 25, 2015 at 7:47 am
You need 13.4189 Zambian Kwacha to buy 1 British Pound
Oh yoyoyoyoyoyoyoyoyo!!
August 25, 2015 at 8:21 am
1.00 British Pound = 723.730 Malawian Kwacha
1.00 British Pound = 13.4189 Zambian Kwacha
1.00 Euro = 531.258 MWK
1.00 Euro = 9.83675 ZMK
1.00 US Dollar = 459.230 MWK
1.00 US Dollar = 8.50999 ZMW
Ewa
August 25, 2015 at 11:59 am
1.00 US Dollar = 13.2355 South African Rand
New Educated Zambia©❤√
August 25, 2015 at 7:54 am
Interesting the article says south Africa will need to address issues to deal with the economic slump. The BBC realises that under the pf no one addresses the economy. They realise that lungus concern is addressing people on his perceived dressing.
Zick
August 25, 2015 at 10:07 am
walitumpa iwe, tell HH to resolve this now, he has money,
New Educated Zambia©❤√
August 25, 2015 at 10:11 am
you want change? you know what to do in 2016.
Gone West
August 25, 2015 at 8:02 am
The whole continent is a joke!
Hello Haters
August 25, 2015 at 8:07 am
If it’s happening in South Africa then it’s fine with us as well, says your minister the government spokesperson chigumugumu.
Dorika Ndaifulila
August 25, 2015 at 8:04 am
I’m now a Kwacha Millionaire!!!!!!!!!!!!!!
Lundalunda
August 25, 2015 at 8:31 am
Our currency isn’t Kwacha’s and ngwees. It is debt.
Hello Haters
August 25, 2015 at 8:21 am
I know there is a landfall or sole Rand fall in SA, but a kwachafall doesn’t sound nice,with the high poverty levels,where people have resorted to consuming cyanide through not so well processed cassava and can’t even wait for it to processed throughly ,only cassava no other food supplements, end result is konzo or break dance if you from luapula, someone please work on this economy before some European or American artist compose a song soliciting for bwafwilisho.
Economist
August 25, 2015 at 10:03 am
The problem with Tumfweko is posting only news articles that are pro Lungu and nothing else. The sole aim of this article is to try to hoodwink Zambians into believing that the collapse of currencies is global and that Lungu can’t be blamed for the demise of the kwacha. Looking closely at the article, it clearly says the Rant briefly hit a rate of 14 to the dollar amid concerns about the strength of the Chinese economy. The rand briefly…do you get this you Tumfweko illiterates? Nothing to compare with our kwacha which has been on the decline since 2011!!! The article further clarifies that this is a problem of countries which depend on the sale of commodities. Zambia is not in the category of countries that sale commodities. Zambia is a net importer of commodities. For your schooling, the kwacha is collapsing largely due to 1. Over dependency on imports that has resulted in poor Balance of Payments 2. The lack of proper policy direction by the Govt that has eroded investor confidence 3. Over borrowing which has crowded out private investment as Govt spends more and more….I can go on and on but knowing you Tumfweko, I won’t waste my time schooling political cadres.
Vizungu
August 25, 2015 at 12:54 pm
Copper is a commodity naimwe ba Economist, just like sugar, tobacco, oil and logs! (Whether Z is a net importer or exporter is another topic). Instead of berating Tumfweko, grab yourself an Economics textbook and actually READ it, to the end…
Economist
August 25, 2015 at 1:27 pm
At Vizungu I won’t waste my time schooling PF cadres and your Tumfweko who are already decided on defending Lungu no matter the amount of torture. Sad that you are lost on the issue of net importer and even on the simple issue of commodity. What a disgrace! You are the one who needs to grab an Economics text book sir. When a country has higher values of imported goods than it has for exported goods that country is a net importer. This is the opposite of a net exporter. Very unlike South Africa which is a net exporter in the African region, Zambia depends entirely on imports. And that’s exactly what I was talking about. The rand may fall in value for one or two weeks while our kwacha has continued losing value the past 4 years. Let’s not bury our heads in the sand and start blaming the world for problems we Zambia are creating. In August, 2011, the kwacha was trading at K4.78 to $1 and K6.00 to $1 in August 2013. Currently its K8.60 to $1. What does the Rand or China have to do with our failure to manage our currency since 2011 sir? Be objective in your debate sir. The fall of the kwacha is down to PF. From the date PF came to power, the kwacha has been under pressure. Its as simple as that sir.
Onyx power @vampiros
August 25, 2015 at 3:06 pm
Go and lecture Denny kalyalya of you are that smart
New Educated Zambia©❤√
August 25, 2015 at 10:28 pm
we thank you for that insight and we wish those with eyes and brains will read and learn from you.
Vizungu
August 26, 2015 at 3:15 pm
“..Zambia is not in the category of countries that sale commodities..” You words, not mine!
Commodity = {Copper, Sugar, logs, e.t.c.}
Get it..!?
Again, continued fall of Kwacha against USD is another topic. Awe sure..
ifintu ni Lungu
August 25, 2015 at 8:42 am
We told you that guy cannever rule Zambia. Imwe ati nyo nyo nyo ifintu ni Lungu. Keep suffering I’ll be off for a comference tommorow in Kenya
Isaac
August 25, 2015 at 2:44 pm
What is happening has nothing to do with Lungu.
Isaac
August 25, 2015 at 2:49 pm
What is happening has nothing to do with Lungu. Just like the plummeting economy of Chins has nothing to do with that country’s president. Its a global phenomena for example Botswana for the first time ever their pula is trading record high since 1966 against the us dollar 11 or 12 to us dollar.
virgin angel
August 25, 2015 at 8:43 am
When China sneeze, the whole world catches the cold! South African Rand is selling @ 1US to R14.8 Rand. The Kwacha is @ 1US to K8.5. 1Kwacha is equal to 0.61 South African cents, COMPARATIVELY The Kwacha turmoil is better than the Rand otherwise it would be 14.8 by 0.61 and it would have breached the K9 barrier. Nevertheless, the prospects are groomy. We need to turn the tables on trade deficit, energy crisis,diversification… same song!
virgin angel
August 25, 2015 at 8:44 am
By the way, 1Rand is 0.61 ngwee, the other way!
biko
August 25, 2015 at 9:20 am
Some pipo’s coments please you wonder if one is nomal or all what. Others cant spend a minute without toking PF! There thinking is so shalow that they cant know all andastand everything. They think Chikwanda is a finance min to all african. Our kwacha’s failing is global problem. When USA economy goes high, small africa sufers most. Imagine now even strong like China hav ben afected.
Lundalunda
August 25, 2015 at 9:29 am
How come the Malawian Kwacha is not as useless as your Zambian Kwacha?
Ndanje Kahks
August 25, 2015 at 1:44 pm
It is not convertable
mupanda pwiti
August 25, 2015 at 9:21 am
N how muc is jameson to amarula???
FROST
August 25, 2015 at 9:57 am
mupanda pwiti you move from kwacha issue you thinking of beer,what reasoning is this? you are the people who sleep with a bottle you dream about beer all the time
Economist
August 25, 2015 at 10:03 am
The problem with Tumfweko is posting only news articles that are pro Lungu and nothing else. The sole aim of this article is to try to hoodwink Zambians into believing that the collapse of currencies is global and that Lungu can’t be blamed for the demise of the kwacha. Looking closely at the article, it clearly says the Rant briefly hit a rate of 14 to the dollar amid concerns about the strength of the Chinese economy. The rand briefly…do you get this you Tumfweko illiterates? Nothing to compare with our kwacha which has been on the decline since 2011!!! The article further clarifies that this is a problem of countries which depend on the sale of commodities. Zambia is not in the category of countries that sale commodities. Zambia is a net importer of commodities. For your schooling, the kwacha is collapsing largely due to 1. Over dependency on imports that has resulted in poor Balance of Payments 2. The lack of proper policy direction by the Govt that has eroded investor confidence 3. Over borrowing which has crowded out private investment as Govt spends more and more….I can go on and on but knowing you Tumfweko, I won’t waste my time schooling political cadres.
Mundetele
August 25, 2015 at 11:23 am
Iwee Chatile natufwa ifyo nau poster already above!
It is a fact that Chinese econimic decline implies commodities like copper prices are adversely affected. This is for you silly economist who doesn’t understand that Zambia though a net importer has a mono-economy that depends mainly on earnings from exporting copper.
Once the earnings from copper are on a decline the BOP is also negatively affected due to being a net importer. This is not Lungu’s faulty, it is a longterm structural deficience in the economy which started with the wrong implementation of the SAP in 1992.
You need not only study introduction to economics to bullshit around this blog!
Zick
August 25, 2015 at 10:11 am
world economy melt down is in most countries, NEZ u cant use this to ask people vote UPND, HH said he can resolve this in five years which is the same as having PF. No need to experiment, let ECL rule Zambia. Kateka ni Lungu
New Educated Zambia©❤√
August 25, 2015 at 10:15 am
Just like in every business and society there comes a time when people review whether the current leadership still has the capacity to function. That is why we have elections every so often. People will judge pf based on what they are experiencing and i can tell you so confidently that it does not look good. We need you Zick to help us to help you by voting upnd. we thank you
Mundetele
August 25, 2015 at 11:30 am
I am also not voting UPND, so it is not just a zicky thing. It is being realistic and factual about the current economic standing of Zambia which is not an island and the global economic situation
Bringing in a new government with no idea of how governments operate is a pure gambling decision that I very much doubt most Zambians are willing to take right now.
At a lunch break we bashed this subject around and by the end of lunch most UPND supporters were looking pretty shaken.
No one can just wave a magical wand and the Zambian economic problems will blow away, bufi ubwafita nafititi!
We will meet in June 2016 on the battle front, so long!
NAPACHEPA
August 25, 2015 at 11:40 am
Apapene walaumfwa ati NEZ Live in new york for UPND WORKSHOPS Kanshi the person is in kanyama
New Educated Zambia©❤√
August 25, 2015 at 10:30 pm
kiki i have no business in newyork or kanyama at the minute. But what is wrong if i do have business in kanyama? is it not the very places you pf chaps have failed to manage and are now lookng down upon them? Just to inform you i am currently in UK
Judge Joe Bidden
August 25, 2015 at 11:41 am
Zambians just put on your seat belts, our blind president Lungu is in control of the steering wheel…
Ndanje Kahks
August 25, 2015 at 12:08 pm
nez have you been to school? It appears you learnt your English at Kamwala station. It is all the media of what is happening. Ghana and Zambia were the first to be affected because they depend too much on exports whose world demand has declined. This situation is expected to reverse by March 2016.
Judge Joe Bidden
August 25, 2015 at 12:18 pm
…Copper prices and Nickel were the only Market commodities today that remained in the positive the rest were in red (downfall), so stop looking for scapepigs or goats! These other countries are just responding to the the devalued Chinese currency but Zambian Kwacha has been falling for months now since January 2015, is it a coincidence thats when Eddie the Pimp came into power?
Ndanje Kahks
August 25, 2015 at 1:59 pm
Levy’s supporters blamed world turn down and low copper prices for the poor economy & retrenchment of miners while the opposition blamed it Levy’s “poor governance”. My friend it the usual story so no need to insult the president.
Judge Joe Bidden
August 25, 2015 at 2:23 pm
Levy is dead!…and so is his policies, Chiluba is dead and there went his policies too, Sata is dead together with his policies, Eddie is……loading
MERCY
August 25, 2015 at 2:44 pm
Am out tomorrow for a holiday in Carribean.Remain with your poverty
Chaona
August 25, 2015 at 2:58 pm
The solution is find what to export and at what value to bring in foreign exchange. We have the capacity this year in particular to export 1.maize to the whole SADC region which has been more affected by low-rainfall but as a country we should not give it as relief like we did with oil to Malawi. 2. Zambia has the capacity to export beef and beef-product and I do not know how many realize this. 3.Tourism etc apart from the copper whose price is low.
Ndanje Kahks
August 25, 2015 at 3:01 pm
You are right– there is just too much talking. Personally I respect a person not for what he knows but he can do with what he knows.
KARODS
August 25, 2015 at 7:05 pm
kwacha nimbama bane tuletasha imwe tu NEZ.
Israeli
August 25, 2015 at 9:26 pm
Foolish! Hw do u compare Levy to lungu.munzi nverako nsuni pabantu
Israeli
August 25, 2015 at 9:29 pm
Foolish! Hw do u compare Levy to lungu.munzi nverako nsuni pabantu.levy wz by far a better leader
eddy
August 25, 2015 at 11:24 pm
How i wish HH and his blind followers have read this article!!if powerful african economies like South Africa,Nigeria,Angola are going through this trying moment,what of a poor country like Zambia?the problem with tribal UPND cadres is that the consider HH to be their god!for them HH is the man who can turn Zambia into paradise-shocking!!THE BEAUTY IS THAT MAJORITY VOTERS KNOW WHO MEANS WELL FOR ZAMBIA!!RIGHT NOW EDGAR LUNGU IS THE PEOPLE’S CHOICE!!COME 2016 UPND CADRES WILL BE IN TEARS AND FOR HH A 5TH STRAIGHT DEFEAT IS LIKELY TO RETIRE HIM FROM LOCAL POLITICS!!if unknown Edgar Lungu defeated HH on 20/01/2015,what will stop the now well known Edgar Lungu from defeating this Kachema in 2016?I CANT WAIT FOR 2016!! MASSES WALKED AND DANCED NAKED ON STREETS AFTER ECL WON,DO U THINK ALL THOSE WILL JUST HATE LUNGU SO SOON!!hey HH followers please control your hopes bcoz you’ll collapse in 2016 after losing to Mighty PF!!
Sir George
August 26, 2015 at 2:50 am
Eddy keep consoling yourself because you will be shown the exit in 2016. Gana, china, angola south Africa nonsense is a recent upset. The kwacha was k4700(k4.7) in 2011 when pf took over power and since then its been the trend. Why do you always look at your neighbour and confort yourself by your neighbour’s failure? The pf have failed to control the kwacha since they came in. Besides we voted in pf to give us solutions and not excuses and even blaming God for rains.