THE Bankers Association of Zambia (BAZ) says the increase in the minimum statutory reserve ratio is likely to push the cost of new deposits and cost of existing and new loans upwards. The Bank of Zambia (BOZ) recently announced an increase in the minimum statutory reserve ratio by 2.5 percentage points to 11.5 percent from the current 9.0 percent. Meanwhile, Economics Association of Zambia Interim National Secretary Gibson Masumbu says the decision by BOZ shows that the central bank is not getting the right results from the traditional policy instruments being used. Responding to a press query, BAZ Chief Executive Officer Leonard Mwanza said the decision to increase the minimum statutory reserve ratio would reduce and create pressure on Kwacha’s…...

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