Prepare for higher interest rates, says BoU  

Bank of Uganda’s June Monetary Policy Report shows money market rates continued to steadily increase due to tight financial conditions, signaling an increase in interest rates.  

Data from Bank of Uganda indicates that overnight interest rates rose to 11.8 percent in May compared to 10.4 percent in February, while seven-day interbank average rates rose to 12 percent from 10.8 percent in the period.  

Similarly, the uptake of security lending rose to Shs26.2 trillion in May from Shs19 trillion in February, while yields in the primary and secondary markets in government securities…