The Central Bank of Zambia lowered its key policy rate by 75 basis points to 13.5% at its meeting on February 11, 2026, marking the second consecutive cut. The annual inflation slowed sharply to 9.4% in January 2026 from 11.2% in the previous month. Governor Denny Kalyalya said consumer prices are expected to fall faster than projected last November, moving toward the central bank’s 6-8% target band. The central bank’s decision comes as Zambia continues to stabilize its public finances amid a slower-than-planned debt-restructuring process. The rate cut is expected to ease borrowing costs, boost domestic credit, and reinforce investor confidence. Currency gains have been supported by tighter controls on foreign-currency transactions and higher copper prices.