FX.co ★ Zambia Inflation Rate Down to Over 1-1/2-Year Low

Zambia experienced a decrease in its annual inflation rate for the third consecutive month, settling at 13% in July 2025. This marks the lowest inflation rate since November 2023; however, it still exceeds the central bank's upper target limit of 8%. As Africa's second-largest producer of copper, Zambia is capitalizing on the global surge in copper prices, leading to a significant appreciation of the kwacha by nearly 20% against the US dollar since the start of the year—ranking it among the strongest performing currencies worldwide. Food inflation slowed to 15.3% in July from 16.7% in June, while non-food inflation decreased to 9.7% from 10.3%. On a monthly basis, consumer prices rose slightly by 0.1%, following a 0.2% increase in the previous month.