ECONOMIST Trevor Hambayi says government should adopt long-term measures to stabilise the exchange rate as artificial methods do not guarantee GDP growth. Vice-President Mutale Nalumango recently confirmed in Parliament that the Bank of Zambia had been releasing dollars on the market to help stabilise the exchange rate, describing it as a normal practice. But in an interview, Hambayi argued that government had always been using artificial methods to stabilise the exchange rate. “In terms of creating stability in our exchange rate, [it] has always been [the] artificial route that we have taken. The first one is limiting liquidity in the market, limiting that liquidity has come through the Monetary Policy Rate. What you have seen is that the Monetary Policy…...

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