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East Africa

Uganda central bank cuts lending rate to 10 percent

PUBLISHED: Mon, 19 Jun 2017 12:40:23 GMT

KAMPALA (Reuters) – Uganda’s central bank lowered its key lending rate to 10.0 percent on Monday from 11.0 percent, saying a stable exchange rate for the shilling and subdued domestic demand had contributed to an easing of core inflationary pressures.

Bank of Uganda Governor Emmanuel Tumusiime-Mutebile told a news conference the economy expanded by 3.9 percent in 2016/17 (July-June), down from a growth rate of 4.7 percent in the previous year, due to drought and slow implementation of public investment projects.

(Reporting by Elias Biryabarema; Writing by George Obulutsa; Editing by Gareth Jones)


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