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Uganda's Central Bank Responds to Shilling's Record Decline with Unscheduled Meeting
Louis Buyisiwe
Wednesday, March 6, 2024


In a swift reaction to the Ugandan shilling's unprecedented slump, the Bank of Uganda has announced an unexpected convening of its Monetary Policy Committee (MPC) this Wednesday. The emergency session, prompted by the local currency's fall to a historic low, is set to be addressed by Deputy Governor Michael Atingi-Ego at 1 p.m. in the nation's capital.
The central bank's decision comes in the wake of the shilling's significant depreciation, which hit a record nadir of 3,957.50 against the dollar on February 26, per Bloomberg's compiled data.
This financial downturn marks an approximate 8% devaluation of the Ugandan currency following the World Bank's August announcement to halt funding to the country due to newly legislated anti-homosexuality laws.

The abrupt meeting's details remain scant, with the Bank of Uganda maintaining silence on the specific agenda. Efforts to reach Bank of Uganda spokesperson Kenneth Egesa were futile as his phone remained unavailable for comments.
This pivotal monetary policy meeting underscores the urgent measures being contemplated by Ugandan financial authorities to stabilize the shilling and address the economic repercussions stemming from international funding disruptions.