A few months later, the British Chancellor of the Exchequer Anthony Barber, announced the demise of the Sterling area, and flotation of the sterling pound, causing Zambia to renounce the monetary privileges once enjoyed as a member state.

[2] The value of Zambian currency dropped following redenomination; the exchange rate was 22 kwacha to one U.S. dollar in April 2021.

After the 2021 Zambian general election saw a defeat for Edgar Lungu, the currency's depreciation was reversed; as of 27 August 2021[update] one U.S. dollar was exchanged for about 16 kwacha.

These coins all depicted president Kenneth Kaunda on the obverse and flora and fauna on the reverse.

The reverse showed different activity based themes reflecting life in Zambia.

The banknotes were printed by Thomas De La Rue & Co. Limited, and bore the signature of Dr Justin B. Zulu, Bank of Zambia's second governor.

Watermark: President Kenneth Kaunda Reverse: Victoria Falls on the Zambezi River at center.

Watermark: President Kenneth Kaunda Reverse: National Assembly building in Lusaka at center.

Initially, the emission comprised the same five banknotes of the first emission, and all five denominations bore the signatures of Dr Justin B. Zulu, Mr Valentine S. Musakanya, and that of Mr Bitwell R. Kuwani, the second, third, and forth governors of the Bank of Zambia, respectively, except for the 50 ngwee bills that never existed with Dr Zulu's signature, as well as the 1 kwacha bills that never showed Mr Kuwani's signature.

Watermark: President Kenneth Kaunda Reverse: Farmer plowing field with tractor.

Watermark: President Kenneth Kaunda Reverse: Victoria Falls on the Zambezi River at center.

Watermark: President Kenneth Kaunda Reverse: National Assembly building in Lusaka at center.

During the second emission period, a commemorative banknote of 1 kwacha was issued in celebration of the declaration of One-party state on December 13, 1972.

A new black and lilac on multicolor underprint was used for easy recognition, nevertheless, this was the last issue of the 50 ngwee banknotes as it was replaced later by a coin.

The two new banknotes bore the signature of Mr Bitwell R. Kuwani, and were printed by Thomas De La Rue & Co. Limited.

Watermark: President Kenneth Kaunda Reverse: Child painting and children in class at center.

Banknotes with all denominations were reproduced, except for the twenty kwacha bill, which was never issued in spite of being redesigned.

Watermark: President Kenneth Kaunda Reverse: Child painting and children in class at center.

Watermark: President Kenneth Kaunda Reverse: Victoria Falls on the Zambezi River at center.

Watermark: President Kenneth Kaunda Reverse: National Assembly building in Lusaka at center.

[8] Such recommendations were initially approved by the government, being one of the measures required to address costs associated with the continuous devaluation of the national currency, due to depreciation throughout time, as a direct result of several years of high inflation rates that characterized the national economy during the late decades of the 20th century, and the early years of the 21st century.

On the other hand, the preexisting K20 banknote was removed from circulation due to its extremely low purchasing power.

Each banknote features a unique indigenous tree from the abundant forests covering the country.

[14] The reverse features the Freedom Statue in Lusaka, the issuing authority of legal tenders in Zambia, Bank of Zambia, in the middle at the top, the face value of the banknote in words in the lower left corner, and in numerals in the other three corners.

There is also a unique depiction of wildlife in Zambia, together with an activity based theme on each reverse of the six banknotes.

Anti-counterfeiting measures used included holograms, multi-colored bills, embedded devices such as strips, microprinting, watermarks and different types of optically variable inks, and the use of design features which prevent counterfeiting by photocopying or scanning.

[17] Reverse: President Kenneth Kaunda signing the declaration of the One-party state on the left, crowd in the middle.

Commemorative Text: THE BIRTH OF THE SECOND REPUBLIC December 13, 1972 Watermark: President Kenneth Kaunda Reverse: President Kenneth Kaunda signing the declaration of the One-party state on the left, crowd in the middle.

Commemorative Text: THE BIRTH OF THE SECOND REPUBLIC December 13, 1972 Watermark: President Kenneth Kaunda Reverse: Portraits of the presidents of Zambia since independence in 1964 and until 2014, clockwise from top: Kenneth Kaunda, Levy Mwanawasa, Michael Sata, Rupiah Banda, and Frederick Chiluba.

Commemorative Text: 50th INDEPENDENCE ANNIVERSARY Watermark: African fish eagle head *Running Average as of 13 January 2023