Business
Shilling strengthens slightly in Monday’s session
The local currency opened the week at 3740 / 3750 and appreciated to an intraday high of 3725 / 3735.
Shilling strengthens slightly in Monday’s session
By: Ali Twaha, Journalist @New Vision
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The Uganda shilling strengthened against the US dollar in Monday’s trading session, supported by optimism surrounding the de-escalation of political tensions in the Middle East.
The local currency opened the week at 3740 / 3750 and appreciated to an intraday high of 3725 / 3735. However, traders said renewed corporate demand for dollars later in the session pared some of the gains, with the shilling closing at 3735 / 3745.
In the money markets, liquidity conditions continued to improve, according to an Absa report, with overnight and one-week funding rates averaging 9.75% and 9.85%, respectively.
The Bank of Uganda remained active in liquidity management operations, Absa said, mopping up sh233b from the market through a 3-day repo.
In the debt market, the Bank of Uganda returns to the primary market on August 5 to conduct a Treasury Bill auction where a total of sh350b is on offer. Sh15b will be sought on the 91-Day, sh35b on the 182-Day and sh300b on the 364-Day.
The Bank of Uganda remained active in liquidity management operations, Absa said, mopping up sh233b from the market through a 3-day repo.
In the debt market, the Bank of Uganda returns to the primary market on August 5 to conduct a Treasury Bill auction where a total of sh350b is on offer. Sh15b will be sought on the 91-Day, sh35b on the 182-Day and sh300b on the 364-Day.