ECONOMIST Trevor Hambayi says Zambia’s macroeconomic stability, particularly the exchange rate, will not be disturbed if tensions in the Middle East do not last longer than a month. However, Hambayi warns that the conflict will impact the cost of doing business and transportation in the country, as fuel prices are expected to rise. On February 28, the United States and Israel launched a large-scale offensive against Iran following weeks of military build-up. The war has since spread across the Middle East and beyond. Commenting on how this will affect trade and foreign exchange in the country, Hambayi said the balance between supply and demand would determine whether Zambia would maintain exchange rate stability. “Generally speaking, what you do have is...
