Economist Kelvin Chisanga says Zambia’s domestic debt market requires technical reprofiling to ensure stability.
In a statement, Thursday, Chisanga remarked that transparency in bond and treasury bill auctions is vital for investor confidence.
He observed that the structure of borrowing matters more than the sheer volume of issuance.
The Economist declared that non‑resident participation must be carefully monitored to avoid excessive foreign exposure.
Chisanga explained that concentrated maturities could place pressure on the Kwacha and foreign reserves.
He noted that comparing auction bids with allotments reveals whether borrowing aligns with fiscal discipline.
The Economist emphasised that enhanced disclosure strengthens market discipline and policy coordination.
Chisanga asserted that sustainable debt management depends on both transparency and structural balance.
He commented that strong foreign subscriptions may soften once participation ceilings are reached.
The Economist highlighted that capital repatriation risks can destabilise the secondary market.
Chisanga pointed out that resident versus non‑resident splits must be disclosed in regular reports.
He underlined that technical reprofiling is essential to safeguard long‑term market sustainability.