EconPapers    
Economics at your fingertips  
 

Potential Impact of the Kwacha Appreciation on Zambia Agriculture

John Fynn and Steven Haggblade ()

No 54617, Food Security Collaborative Policy Briefs from Michigan State University, Department of Agricultural, Food, and Resource Economics

Abstract: The rapid recent appreciation of the Kwacha has placed these gains at risk. The sudden strengthening of the Kwacha since November 2005 has reduced the Kwacha value of agricultural exports by 30%, forcing reductions in farmgate prices and eroding exporter profit margins. As in a classic case of Dutch Disease, large inflows of foreign exchange–whether from surging international copper prices, foreign aid or speculative financial inflows–have contributed to the strengthening Kwacha. The subsequent rapid appreciation of the Kwacha risks making much of Zambia’s export agriculture uncompetitive on world markets.

Keywords: Farm; Management (search for similar items in EconPapers)
Pages: 6
Date: 2006
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
http://ageconsearch.umn.edu/record/54617/files/ps13.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:midcpb:54617

DOI: 10.22004/ag.econ.54617

Access Statistics for this paper

More papers in Food Security Collaborative Policy Briefs from Michigan State University, Department of Agricultural, Food, and Resource Economics Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().

 
Page updated 2020-09-04
Handle: RePEc:ags:midcpb:54617