Currency update from Tuesday’s session

KAMPALA - The Uganda shilling traded in a tight range, opening and closing at 3555/3565 levels, underpinned by balanced activity from both the dollar buyers and sellers.

The local unit is steadily trading towards the 3550 psychological mark, supported by UGX positive sentiment and the anticipation of consistent dollar inflows that will sustain the shilling’s winning streak against the dollar.

Traders said the currency pair is still projected to trend lower, within a revised trading range of 3525-3600 in the near term.

Money markets were liquid on Monday, according to Absa, with the overnight and one-week funding trades averaging at 9.40% and 10.22%, respectively. 

In the debt market, Bank of Uganda has scheduled a treasury bill auction for August 13, 2025, with sh355b on offer.

The market also anticipates maturities of sh911.7b and sh359.5b in repos and treasury bills, respectively, on August 14.