Dollar demand continues to weaken shilling on Wednesday

KAMPALA - Continued interbank demand for hard currency during Wednesday’s session led to further shilling weakness during the day’s trading session.

The local currency touched lows of 3560/3570 from market opening levels of 3545/3555 per dollar.

Money markets were liquid during Wednesday’s session according to Absa as the Bank of Uganda mopped sh189b through an overnight repurchase.

The central bank held a sh205b treasury bill auction and yields in the 91-day, 182-day and 364-day tenors cleared at averages of 6.766%, 8.160% and 8.900% respectively.

Source: New Vision

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