IMF says Uganda's foreign reserves will decline


Ugandan President, Yoweri Museveni

President of Uganda, Yoweri Museveni

The International Monetary Fund (IMF) has said that Uganda’s foreign exchange reserves will decline without external help.

In a statement issued on Friday, IMF said that the reserves will fall to under two months of import cover in 2020/21 and leave the country in a vulnerable position.

“Absent external support, the expected deterioration in the current, capital and financial accounts would result in a sharp decline of the Bank of Uganda’s (BoU) reserve buffer,” the IMF said.

“This would be below the adequate level of reserves for Uganda, and would leave the country in a vulnerable position,” it added.

Load more