Regulatory Alerts2018-01-01
Bank of Zambia Adjustments to Open Market Operations Rules and Guidelines
The Bank of Zambia has amended its Open Market Operations framework, effective May 2, 2018, to restrict borrowing bids and lending offers within a fifty basis point band of the Policy Rate. All open market transactions are now mandated as overnight instruments, with accrued interest covering public holidays and weekends payable on the next business day. These adjustments enhance monetary policy effectiveness by anchoring the Overnight Interbank Rate and providing a stable interest rate reference for market participants.
Share