ZAMBIA’S decision to accept the Chinese Yuan for the payment of mining taxes and royalties marks a significant moment in the country’s economic management. As the first African nation to formalise such an arrangement, Zambia has stepped into a complex but increasingly relevant conversation about currency diversification, trade realism and geopolitical balance. At face value, the move appears pragmatic. China is Zambia’s single most important copper customer, and Chinese firms dominate large sections of the mining sector. Allowing taxes to be paid in the same currency in which revenues are earned is, in classical economic terms, a reduction in transaction costs. It eliminates unnecessary currency conversions, reduces exposure to exchange-rate volatility and improves operational efficiency for both the taxpayer and...