5.2. Economic Environment During the period under review, the economic environment posted some relatively positive gains, a continued improvement from the previous quarters in which a less positive picture was observed. For example, the Kwacha performed fairly well against the Dollar (despite fluctuations), selling at K16.99 for one USD at the end of the period under review on 30th June. DOLLAR-KWACHA EXCHANGE RATES 19.00 18.50 18.00 17.50 17.00 16.50 16.00 15.50 03-Jan-22 03-Feb-22 03-Mar-22 03-Apr-22 Buying 03-May-22 03-Jun-22 Selling Above: Kwacha-Dollar exchange rates during the period under review26 In like manner, the annual inflation rate posted significant improvement, closing (in June) at a single digit figure of 9.7% from 15.1% in January. The decrease was attributed to favourable price movements in food and non-food items as well as a base effect of both food and non-food items. 26 Based on data in the BOZ Historical Series of daily exchange rates. Data available at https://www.boz.zm/historical-series-of-daily-zmw-usd-exchange-rates-zmw.htm 31