Bank cuts key rate to 13%

Uganda’s central bank cut its key lending rate for the fifth consecutive month yesterday to 13 percent from 15 percent previously, but expected smaller cuts if any for the rest of the year, bank governor Emmanuel TumusiimeMutebile said. “The main upside risks to the inflation forecasts are domestic supply shocks, particularly to food production, higher global commodity prices and exchange rate depreciation as a result of the external current account,” he said. – Reuters