ZAMBIA’s gross international reserves rose by 10.9 percent to US$2,322.0 million in 2011, says Bank of Zambia (BoZ). The figure is in comparison to US$2,093.7 million recorded in 2010.
According to the latest Bank of Zambia Annual Report 2011 made available to the Daily Mail during the just-ended 86thAgricultural and Commercial Show in Lusaka the country’s international reserves performed well despite the gloomy global economic climate during the year.
The report indicates the growth in reserves emanated from inflows comprising mainly tax receipts from the mines amounting US$795.9 million, net purchases from the market amounting US $227.0 million and other receipts worth US $325.9 million.
The report states that a further US $165.0 million was received through balance of payments (BoP) support.
However, the Central Bank points out that the foreign exchange inflows were mitigated by foreign exchange outflows of US$685.2 million.
This was despite the BoZ‘s sales of foreign exchange amounting to US$685.2 million for procurement of oil imports and market support.
Meanwhile, Zambia recorded a substantial rise in BoP surplus amounting to US $243.8 million from US $83.3 million recorded in 2010.
The bank says the country continued to record favourable BoP performance in 2011 with preliminary data showing overrall figure exceeding US $243 million.
In line with this development, the bank indicate that gross international reserves accumulation nearly doubled to US$270.4 million compared with US$138.1 million recorded in 2010.
BoZ says the overall BoP surplus was largely driven by an improvement in the capital and financial account balance which more than compensated for the decline in the current account balance.
Meanwhile BoZ says non traditional exports (NTEs) grew by 35.1 percent to US $1,608.1 million in 2011 from US $1,190.0 million in 2010.
This was on account of higher earnings from the export of cane sugar, cotton lint, gasoil/petroleum products, maize seed, cement and lime and nickel.
The report says favourable exchange rate developments, improvement in international commodity prices and increased production for some products contributed to the favourable performance.
It, however, says export earnings for cobalt declined by 12.2 percent to US $266.7 million from US$303.8 million recorded the previous year.
This is due to a decline in export volumes and realised prices.
The export volumes for cobalt stood at 7,830.66 metric tonnes, lower than 8,640.91 metric tonnes recorded the previous year.
Similarly, the realised price of cobalt fell by 7.0 percent to US $32,693.17 per metric tonnes from US$35,160.39 per metric tonne in 2010.
[Zambia Daily Mail]
In 2012 it will be a different story!
Tell us in simple language how much is there in the Reserve Bank? Don’t cover up for Sata’s and Chikwanda’s misuse of the reserve bank money to creat districts and employment for their relatives.
okey
Cant wait for this same report next year! Well done Musokotwane!
All during MMD’s time. What has PFooters done with the reserves they inherited? They have gone on a spending spree in their tribal homelands, the Bembastans.
Dr musokotwane! Tau of Liuwa!
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