A Friendly Guide to the Zambian Kwacha for Visitors and New Residents

When you first arrive in Zambia, one of the first things you'll notice is the unique currency. The Zambian Kwacha is more than just money—it’s a symbol of the country’s identity and economy. Whether you’re planning to explore Lusaka or settle down for a while, understanding the local currency will make your experience smoother and more enjoyable. Let’s dive into everything you need to know about the Zambian Kwacha.

Getting to Grips with the Kwacha: An Everyday Guide

Getting to know the Zambian Kwacha is easier than you might think. The currency is abbreviated as ZMW and comes in both banknotes and coins.

A major update for 2025 is the introduction of a new "Heritage Series" of currency, which was launched by the Bank of Zambia on March 31, 2025. This new family of notes and coins circulates alongside the older 2013 series, and both are legal tender.

• Banknotes: The new Heritage Series includes notes in denominations of K10, K20, K50, K100, K200, and a new K500 note. You will still frequently receive the older series (which includes K2, K5, K10, K20, K50, and K100) as change.

• Coins: The coin denominations are 5 Ngwee, 10 Ngwee, 50 Ngwee, K1, K2, and K5.  In practice, the small Ngwee coins have very little value and are rarely used in transactions. The K1, K2, and K5 coins, however, are very common and useful.

  

  Heritage Series Bank notes | Credit: Eugene Hangoma

You’ll find prices in markets, shops, and restaurants displayed in Kwacha. To give you a realistic idea, a simple meal at a local eatery (like a nshima restaurant) might cost around K100 to K150, while a ride-hailing service across Lusaka could be between K70 and K150, depending on the distance and traffic.

One tip we’ve found useful is to carry smaller denominations (K20, K50, and K100 notes) for everyday purchases. It makes transactions quicker and avoids the hassle of waiting for change.

Why is it ZMW and not ZMK?

You might wonder why the currency code is ZMW, especially if you’ve come across older references using ZMK. The answer lies in a currency revaluation that took place in 2013.

Before then, the Zambian Kwacha (ZMK) had been affected by significant inflation. To stabilise the currency and simplify transactions, the government introduced the new Kwacha (ZMW).

The revaluation meant that 1 new Kwacha (ZMW) was equal to 1,000 old Kwacha (ZMK). This change helped restore confidence in the currency. So, when you see ZMW, you’re dealing with the current and official currency in Zambia. This is crucial to know, especially if you’re looking at older travel guides.

How to Exchange and Use the Zambian Kwacha

Exchanging your money for the local currency is straightforward. Banks, official exchange bureaus (found in malls like Manda Hill or East Park), and some hotels in Lusaka offer currency exchange services. It’s best to avoid street money changers to stay safe and get a fair rate.

• ATMs: These are widely available in Lusaka and accept international cards (Visa and Mastercard are the most common), making it easy to withdraw Kwacha as needed. Just be aware of any fees your bank might charge for international withdrawals.

• Cash vs. Card: Cash is king in many places, especially at local markets, small shops, and for taxi fares. However, credit and debit cards are increasingly accepted in larger supermarkets (like Shoprite or Pick n Pay), hotels, and upmarket restaurants. It’s always a good idea to carry some cash for smaller purchases or in case card machines are down.

• Mobile Money: You will also notice that Mobile Money (like Airtel Money or MTN MoMo) is extremely popular and used for everything. While it's primarily for residents with a local SIM card, it's good to be aware of as it's a major part of the local economy.

Tips for Handling the Zambian Kwacha

Handling money in a new country can sometimes feel tricky, but a few simple tips can make it easier:

• Keep your notes clean: Some smaller vendors might be hesitant to accept notes that are badly torn or dirty.

• Count your change: Mistakes can happen, especially in busy markets.

• Use official exchange points: This is the best way to avoid counterfeit notes.

• Be aware of the two series: Since both the new 2025 "Heritage" notes and the 2013 notes are in circulation, take a moment to familiarise yourself with both.

• Carry a mix of coins and notes: The K1, K2, and K5 coins are very handy for small purchases, paying for parking, or tipping.

Making the Most of Your Money in Lusaka

Using the Zambian Kwacha wisely can stretch your budget and enhance your experience. Here are some final practical tips:

• Plan your budget in Kwacha: This helps avoid surprises when paying.

• Use local markets: For fresh produce and crafts, prices are often much better than in supermarkets.

• Negotiate politely: Bargaining is common and expected in informal markets, but always keep it friendly and respectful.

• Check for updated exchange rates: Rates can fluctuate, so stay informed.

Exploring Lusaka is a wonderful adventure, and understanding the local currency is a key part of that journey. With this guide, you’re well-equipped to handle the Zambian Kwacha confidently and make the most of your time in this vibrant city. Happy exploring!