I would like to begin my presentation this evening by sharing with you some of the recent significant developments in our economy: 1. Positive and significant real GDP Growth rates over the last 7 years. 2. Continuous and significant drop in overall annual inflation rate to levels below 10%. As at end 2006, overall annual inflation was 8.2% compared with 15.9% at end 2005. But I must hasten to add here that the impact of increases in petroleum products and anticipated millers upward adjustment of maize prices in line with FRA maize prices pose significant threats to overall inflation. 3. A fall in commercial banks lending interest rates. In line with falling inflation and yield rates on Government securities, the average commercial bank lending rate declined to 27.8% in December 2006 from 33.9% in December 2005. Although the trend is in the right direction, the Bank of Zambia considers the levels of lending rates to be still too high and I urge commercial banks to reduce their lending rates further to stimulate growth. 4. In 2006, the exchange rate recorded depreciation. Against the US dollar, the Kwacha depreciated by 21.1 percent compared to an appreciation of 26.4 percent in 2005.
To all the prize winners for 2006, I extend my sincere and heartfelt congratulations for well deserved awards. Please remember that it is not enough to only enjoy the glory of the moment, but also to take the responsibility to act as mentors to emergent writers. I believe that what the journalist fraternity needs is not individuals who excel alone, but a cadre of responsible reporters that leave an outstanding legacy. Let me also take this opportunity to thank ACCA, the sponsors of this event and prizes for their continuing support to economic, business and financial journalism. In conclusion, allow me to encourage our journalists to compete for international media awards as well. This will be the true barometer of where you stand as Zambian journalists because you will be judged against international best practice which is, in turn, the true barometer in global economy. As your patron, I wish you all the best in this and future endeavors that seek to raise the standards of journalism in the country. I thank you. 2  BIS Review 10/2007