Ugandan shilling strengthens on inflows from NGOs

KAMPALA: The Ugandan shilling posted gains on Monday as inflows from non-governmental organisations (NGOs) met with flat dollar demand from corporate firms.

At 0834 GMT commercial banks quoted the shilling, which is 16.6 percent weaker against the greenback so far this year, at 3,320/3,330, stronger than Friday's close of 3,350/3,360.

"The market is receiving normal flows, mostly from NGOs," said Faisal Bukenya, head of market making at Barclays Bank.

"However, because corporate appetite (for dollars) is low, banks are being forced to sell all the dollars they're receiving for the local unit."