Shilling up ahead of debt auction results
Publish Date: Mar 26, 2014
Shilling up ahead of debt auction results
  • mail
  • img

THE Ugandan shilling gained slightly on Wednesday on anticipation that a local debt auction would draw money from abroad, and it was expected to strengthen further as exporters and charities converted funds towards the end of the month.

At 0847 GMT, commercial banks quoted the currency of east Africa's third-largest economy at 2,558/2,568, marginally stronger than Tuesday's close of 2,560/2,570.

"The shilling has climbed slightly up because we anticipate some appetite from offshore investors for the bonds being auctioned today," said Manohar Miryala, the head of treasury at Crane Bank.

Bank of Uganda was expected to release later on Wednesday the results of a Treasury bond auction of two- and five-year notes worth 180 billion shillings ($70.23 million).

"We'll probably be seeing an improvement in inflows from exporters of agricultural commodities like coffee in the last days of the month," Miryala added.

Uganda is Africa's largest coffee exporter, and earnings from the beans are a key support for the shilling currency.

A trader at a leading commercial bank said the usual end-month inflows from non-governmental organisations (NGOs) "will probably buoy the shilling further". 

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact

  • mail
  • img
blog comments powered by Disqus
Also In This Section
RVR adds 120 wagons to its fleet
Rift Valley Railways announces it will add new wagons to its fleet to augment its haulage capacity....
VW shares jump, sparking questions over
Volkswagen stock surged more than 8% despite the massive global pollution cheating scandal engulfing the group....
Mobile phones
The rapid spread of mobile phones across Sub-Saharan Africa is transforming the region, but record levels of growth are due to slow sharply, an industry report said this week....
Oil prices climb on weak dollar
Global oil prices hit multi-month peaks Friday on the back of the struggling US dollar and increasing geopolitical turmoil in the crude-rich Middle East, dealers said....
Uganda tipped on oil and gas
It is now close to a decade since the first commercially viable oil deposits were confirmed in Uganda. But the wait for the country’s first oil barrel is still on, much to the chagrin of oil companies on the local scene....
Uchumi Supermarkets closes some outlets in Kampala
Uchumi Supermarkets has closed two branches in Uganda as part of re-organisation to stabilize the business....
Should Makerere University fees policy be reviewed?
Can't Say
follow us
subscribe to our news letter