Ugandan shilling weakens on low inflows, demand from banks

KAMPALA: The Ugandan shilling weakened on Tuesday, undermined by a scarcity of dollars and strong end-of-month demand from commercial banks and manufacturers.

At 1152 GMT commercial banks quoted the shilling, which has lost 18.5 percent of its value against the greenback since the start of the year, at 3,382/3,392, weaker than Monday's close of 3,370/3,380.

"Most exporters are still closed for the holidays, we're not seeing any inflows," said Ali Abbas, trader at Crane Bank.

"On the demand side, there's significant appetite from commercial banks squaring their positions before end of month and also from manufacturers."