Uganda Raises Benchmark Rate to 16% to Halt Currency Slump
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Uganda’s central bank raised its benchmark interest rate for a fourth consecutive time to halt the currency’s depreciation and curb inflation.
The Bank of Uganda increased the key lending rate by 150 basis points, or 1.5 percentage point, to 16 percent, Governor Emmanuel Tumusiime-Mutebile told reporters on Monday in the capital, Kampala. One of the three economists surveyed by Bloomberg forecast the rate would stay unchanged, while the rest predicted increases of 50 basis points to 100 basis points.