However, it is significant that inflation often peaks in election years, hitting a recent high of 17.9% in 2016. This suggests that a further peak is likely approaching during the 2021 general elections. The value of the kwacha against the dollar has been relatively consistent for the past two years and has yet to return to the recent high of almost 0.2 kwacha to the dollar in 2013. Nonetheless, the real effective exchange rate of the kwacha against a weighted average of foreign currencies improved from 88.5 in 2016 to 96.4 in 2017. The kwacha lost value against the dollar in September 2018 but has remained fairly consistent at 0.08 to the dollar in November to December, though further instability remains likely due to both political and economic uncertainty.
however it is significant that inflation often peaks in election years hitting a recent high of 179% in 2016 this suggests that a further peak is likely approaching during the 2021 general elections the value of the kwacha against the dollar has been relatively consistent for the past two years and has yet to return to the recent high of almost 02 kwacha to the dollar in 2013 nonetheless the real effective exchange rate of the kwacha against a weighted average of foreign currencies improved from 885 in 2016 to 964 in 2017 the kwacha lost value against the dollar in september 2018 but has remained fairly consistent at 008 to the dollar in november to december though further instability remains likely due to both political and economic uncertainty