{"id":12145,"date":"2012-07-06T00:14:21","date_gmt":"2012-07-05T22:14:21","guid":{"rendered":"http:\/\/www.myza.co.za\/07\/africa-fx-weekahead-more-gains-seen-for-zambia-kwacha\/"},"modified":"2012-07-06T00:14:21","modified_gmt":"2012-07-05T22:14:21","slug":"africa-fx-weekahead-more-gains-seen-for-zambia-kwacha","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/africa-fx-weekahead-more-gains-seen-for-zambia-kwacha\/","title":{"rendered":"AFRICA FX WEEKAHEAD-More gains seen for Zambia kwacha"},"content":{"rendered":"<p>\t\t<span><\/span><\/p>\n<p><span class=\"articleLocation\">JOHANNESBURG, July 5<\/span> (Reuters) &#8211; The Zambian kwacha, which<br \/>\nrose to a near two-month high this week, is expected to<br \/>\nstrengthen further ahead of the payment of corporate tax later<br \/>\nthis month, while Kenya&#8217;s shilling is seen under pressure after<br \/>\nthe central bank cut its key lending rate by 150 basis points.<span><\/span><\/p>\n<p><span><\/span><\/p>\n<p><span><\/span><\/p>\n<p>ZAMBIA<\/p>\n<p><span><\/span><\/p>\n<p>Zambia&#8217;s kwacha is expected to consolidate its gains<br \/>\nagainst the dollar next week as investors convert dollars into<br \/>\nlocal currency for the payment of corporate tax due on July 15.<\/p>\n<p><span><\/span><\/p>\n<p>The kwacha rallied to 4,920 on Thursday, its highest level<br \/>\nin nearly two months, compared to Friday&#8217;s close of 5,140,<br \/>\ndriven in part by a new regulation limiting the use of dollars<br \/>\nin Africa&#8217;s largest copper producer.<\/p>\n<p><span><\/span><\/p>\n<p>The regulation came into force on May 18 and prohibits the<br \/>\nuse of foreign currency to buy domestic goods and services.<br \/>\nPenalties include up to 10 years in jail.<\/p>\n<p><span><\/span><\/p>\n<p>&#8220;Dollar demand has evidently been outstripped by inflows and<br \/>\nthe trend is likely to continue in the short term,&#8221; one trader<br \/>\nsaid. &#8220;We believe kwacha is now poised to retest 4,800 levels<br \/>\nbefore we see any meaningful retracement.&#8221;<\/p>\n<p><span><\/span><\/p>\n<p>The kwacha has broken below all anticipated support levels,<br \/>\ngaining 7.5 percent in the last four trading sessions from<br \/>\naround 5,300 due to general dollar weakness and a surge in the<br \/>\nprice of copper, Zambia&#8217;s main export.<\/p>\n<p><span><\/span><\/p>\n<p>\n\u00a0 <span class=\"label\"><strong>Continued&#8230;<\/strong><\/span><\/p>\n<p><span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>JOHANNESBURG, July 5 (Reuters) &#8211; The Zambian kwacha, which rose to a near two-month high this week, is expected to strengthen further ahead of the payment of corporate tax later this month, while Kenya&#8217;s shilling is seen under pressure after the central bank cut its key lending rate by 150 basis points. ZAMBIA Zambia&#8217;s kwacha [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-12145","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/12145","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=12145"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/12145\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=12145"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=12145"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=12145"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}