Kwacha Holds Firm as Commercial Bank Exchange Rates Remain Stable

The Kwacha traded within a narrow range against the US dollar on Friday, January 2, 2026, as commercial bank exchange rates showed limited volatility across the market, reflecting stable foreign exchange conditions.

According to the Daily Commercial Banks Exchange Rates, the market average interbank buying rate stood at K22.0729 in the morning session at 09:30, with a selling rate of K22.1229. By midday at 12:30, the interbank average marginally eased to K22.0479 on the buy side and K22.0979 on the sell side, before closing the session at K21.9262 buying and K22.2965 selling in retail markets.

Most banks quoted interbank buying rates between K21.95 and K22.15, with selling rates clustered around K22.00 to K22.20, indicating steady liquidity conditions in the interbank market. Retail rates remained slightly wider, reflecting standard pricing for customer transactions.

Among the major players, Access Bank, ABSA, Stanbic, Standard Chartered and Zanaco maintained largely unchanged positions across the trading sessions, while marginal adjustments were observed at Ecobank and UBA as the day progressed. Overall, pricing movements were modest and did not signal any significant pressure on the local currency.

Market analysts attribute the stability to sustained foreign exchange inflows, disciplined fiscal management and improved market confidence at the start of the year. Continued support from export earnings, particularly from the mining sector, has also helped anchor the Kwacha.