<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-820x547.jpg" alt="" class="wp-image-529685" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington, U.S., April 8, 2019. REUTERS/Yuri Gripas/File Photo</figcaption></figure>



KAMPALA, Sept 12 (Reuters) &#8211; The start of commercial crude oil production in Uganda is expected to propel economic growth into double digits in the next financial year, the International Monetary Fund (IMF) said.



Uganda&#8217;s economy would race to 10.8% growth in the 2025/2026 fiscal year which starts in July, up from a projection of 6.2% in the previous period, the IMF said in a report published late on Wednesday.



&#8220;Growth is expected to strengthen, boosted by the start of oil production, which will make (a) lasting improvement (to) the fiscal and current account balances,&#8221; the IMF said in the report.



After nearly 20 years of delay, the east African country is finally expected to commence production and export of crude oil next year from fields in its west.



Commercial reserves were discovered in 2006 but a range of factors including disputes with oil firms over development strategy and lack of requisite infrastructure had delayed production.



At peak Uganda is seen pumping 240,000 barrels of oil per day from its reserves, which are estimated at 6.5 billion barrels.



The IMF said Uganda&#8217;s foreign exchange (FX) reserves had continued to decline, and urged intervention by the central bank including a &#8220;reduction in government imports, along with stepped up FX purchases and greater exchange rate flexibility.&#8221;



The country&#8217;s FX reserves fell to $3.2 billion in June, down from $3.7 billion in December 2023, because of the high cost of servicing debt, the government&#8217;s inability to secure cheap credit, and limited hard currency purchases, the IMF said.



(Reporting by Elias Biryabarema; Editing by Hereward Holland and Lincoln Feast.)

FILE PHOTO: The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington

Crude oil production to thrust Uganda’s economic growth into double digits – IMF

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ-820x547.jpg" alt="" class="wp-image-529427" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ-768x513.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NFMNXYOFQBOCDPJ4CHX7OU26YQ.jpg 1200w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Uganda&#8217;s Minister of Finance Matia Kasaija displays a briefcase carrying National Budget 2024/25 before presenting it to the nation during a budget speech at Kololo airstrip in Kampala, Uganda, June 13, 2024. REUTERS/Michael Muhati/File Photo</figcaption></figure>



KAMPALA, Sept 11 (Reuters)&nbsp;&#8211;&nbsp;Uganda plans to issue new oil and gas exploration licences in the 2025/2026 (July-June) fiscal year to help boost investments in the sector and overall economic growth, the finance minister said on Wednesday.



The east African country&#8217;s last licensing round, launched in 2019 concluded early last year. It handed out the last two of five blocks on offer.



&#8220;Accelerating investments in oil and gas will be instrumental in contributing to faster growth of Uganda next financial year,&#8221; Matia Kasaija said in a speech laying out priorities for the country in the 2025/2026 financial year.



To achieve higher investments in the petroleum sector and overall growth, the government would issue additional exploration licences to increase production volumes, he said.



Uganda plans to start commercial production of oil next year from existing fields in the Albertine Graben basin in the country&#8217;s west.



The government says only about 40% of the Graben has been explored so far, where an estimated 6.5 billion barrels of oil have been found.



France&#8217;s TotalEnergies, with 56.7% equity is majority owner of the fields and its other partners include China&#8217;s CNOOC 0883.HK and state-run Uganda National Oil Company UNOC.



Kasaija also said Uganda&#8217;s debt load remained &#8220;sustainable,&#8221; despite credit downgrades by ratings agencies. He said the country was committed maintaining its debt to GDP ratio below 50%.



In late August, Fitch cut Uganda&#8217;s rating to B from B+, citing its &#8220;reduced access to concessional financing, high domestic borrowing costs and a decline in foreign-exchange reserves.&#8221;



Fitch&#8217;s move followed Moody&#8217;s that also downgraded Uganda&#8217;s rating to B3 from B2 in May, citing Uganda&#8217;s &#8220;diminished debt affordability.&#8221;



(Reporting by Elias Biryabarema; Editing by George Obulutsa; Editing by Ros Russell)

NFMNXYOFQBOCDPJ4CHX7OU26YQ

Uganda say it will offer new oil exploration licences next fiscal year

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="429" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY-820x429.jpg" alt="" class="wp-image-506011" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY-820x429.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY-300x157.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY-160x84.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY-768x402.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/HCVRNAVJRJMOJBUK4XOB7PEJGY.jpg 1200w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A teller serves a client with Kenya shilling notes at the cashier&#8217;s booth of a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 11 (Reuters) &#8211; The Kenyan shilling was unchanged against the U.S. dollar on Wednesday, LSEG data showed, extending a recent period of stability that has lasted about a month.



At 1040 GMT the shilling was quoted at 128.50/129.50 to the dollar, the same as Tuesday&#8217;s closing level.



The currency rallied strongly in the first half of 2024 as concerns eased that the East African country would default on a $2 billion Eurobond that matured in June, but it lost momentum from April onwards.



(Reporting by Hereward Holland; Editing by Alexander Winning)

HCVRNAVJRJMOJBUK4XOB7PEJGY

Kenyan shilling unchanged against dollar, LSEG data shows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UGANDA-SHILLING.jpg" alt="" class="wp-image-524644" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UGANDA-SHILLING.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UGANDA-SHILLING-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UGANDA-SHILLING-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UGANDA-SHILLING-768x512.jpg 768w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Uganda shillings. Uganda. (Photo by: Godong/Universal Images Group via Getty Images)</figcaption></figure>



KAMPALA, Sept 11 (Reuters) &#8211; The Ugandan shilling was stable on Wednesday, supported by muted demand for dollars as some players held onto their local currency to meet pending mid-month tax payments, traders said.



At 0933 GMT commercial banks quoted the shilling at 3,710/3,720, same level as Tuesday&#8217;s close.



(Reporting by Elias Biryabarema; Editing by Hereward Holland)

UGANDA SHILLING

Ugandan shilling stable as pending taxes offer support

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="448" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/VZR7ERWAWBPMBAR7E4PB4GBYGY.jpg" alt="" class="wp-image-421144" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/VZR7ERWAWBPMBAR7E4PB4GBYGY.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/VZR7ERWAWBPMBAR7E4PB4GBYGY-300x185.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/VZR7ERWAWBPMBAR7E4PB4GBYGY-146x90.jpg 146w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">Kenya Airways planes are seen through a window as the Jomo Kenyatta international airport reopens after flights were suspended following the coronavirus disease (COVID-19) outbreak in Nairobi, Kenya August 1, 2020. REUTERS/Njeri Mwangi/File Photo</figcaption></figure>



NAIROBI, Sept 11 (Reuters) &#8211; Workers at Kenya&#8217;s main international airport began a strike on Wednesday, blowing plastic trumpets and scuffling with police in a protest against an Indian company that caused flight cancellations and delays for hundreds of passengers.



Dozens of workers at Nairobi&#8217;s Jomo Kenyatta International Airport chanted &#8220;Adani must go&#8221; in reference to a proposed deal for the Adani Group to lease it for 30 years in exchange for $1.85 billion investment in expansion.



Outside the terminals, passengers sat on curbs and luggage trolleys waiting for updates on flights as departure and arrival boards were shut off.



&#8220;It&#8217;s very poor,&#8221; said one passenger, Ahmed Abdulrahman, recounting a six-hour wait.



&#8220;Nobody is coming out to tell us anything, whether we should leave or look for a hotel or something. I have a little child here waiting hungrily,&#8221; added Warda Omar, standing next to her child.



TV footage showed one police officer hitting a protester with a baton. By midday, lines were moving again, as police conducted security checks instead of airport staff.



It was unclear how many workers were taking part in the strike, which has been declared indefinite, or how much disruption had been caused.



Major regional carriers Kenya Airways, Ethiopian Airlines and RwandAir reported flight cancellations and delays.



<h2 class="wp-block-heading" id="h-job-losses">JOB LOSSES</h2>



The Kenya Aviation Workers Union argues that a deal with Adani would lead to job losses and bring in non-Kenyan workers.



Kenya&#8217;s government has said the airport is operating above capacity and needs modernising but that it is not for sale. It says no decision has been made on what it calls a proposed public-private partnership to upgrade the site.



The Kenya Airports Authority, which is responsible for managing the airport, said minimal operations at Jomo Kenyatta had resumed by 7 a.m. (0400 GMT) and it was engaging with relevant parties to normalise the situation.



The strike spread to workers at regional airports in the cities of Kisumu and Mombasa, the Nation newspaper reported.



Kenya&#8217;s high court on Monday temporarily blocked the Adani proposal, in which it would build a new runway and upgrade the passenger terminal, to allow time for a judicial review.



(Reporting by Hereward Holland, Humphrey Malalo and Edwin Waita; editing by Elaine Hardcastle and Andrew Cawthorne)

VZR7ERWAWBPMBAR7E4PB4GBYGY

Protest against India’s Adani causes chaos at Kenya’s main airport

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg" alt="" class="wp-image-510212" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A worker at a foreign exchange currency bureau counts 1000 Ugandan shilling banknotes in Kampala, Uganda, on Wednesday, Aug. 16, 2023. Uganda&#8217;s central bank said it stands ready to act if the World Bank&#8217;s decision to halt new funding over the country&#8217;s passage of anti-LGBTQ legislation impacts the currency further. Photographer: Luke Dray/Bloomberg via Getty Images</figcaption></figure>



KAMPALA, Sept 10 (Reuters) &#8211; The Ugandan shilling was a notch firmer on Tuesday, with appetite for hard currency muted across both commercial banks and merchandise importers, traders said.



At 0930 GMT commercial banks quoted the shilling at 3,710/3,720, compared to Monday&#8217;s close of 3,714/3,724.



(Reporting by Elias Biryabarema; Editing by Hereward Holland)

Ugandan Economy Following Rate Cut

Ugandan shilling trades slightly firmer on muted demand

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg" alt="" class="wp-image-498541" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-300x177.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-152x90.jpg 152w" sizes="auto, (max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Kenya shilling coins and notes are pictured inside a cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 10 (Reuters) &#8211; The Kenyan shilling was broadly steady against the U.S. dollar on Tuesday, with the supply of foreign exchange matched by demand from all sectors in a muted session, traders said.



As of 0849 GMT, data from London Stock Exchange Group (LSEG) indicated the shilling trading at 128.30/129.30 to the dollar, slightly different from Monday&#8217;s close of 128.25/129.25.



&#8220;There&#8217;s not much activity happening. There&#8217;s just enough demand for the supply,&#8221; a trader at a commercial bank said.



The shilling has been relatively stable for several months, after a strong rally in the first half of 2024 as concerns eased that the East African country would default on a $2 billion Eurobond that matured in June.



(Reporting by Hereward Holland; Editing by Bate Felix)

ANCK25OQIFMHTJYACOM5XU5T24

Kenyan shilling broadly steady in balanced market

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="528" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-820x528.jpg" alt="" class="wp-image-528940" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-820x528.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-300x193.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-140x90.jpg 140w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-768x494.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-1536x989.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/AXA5KIAGZVICZP4VWXIIUYZFF4-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A Kenya Airports Authority worker inspects planes during an auction after previous owners abandoned them at the Jomo Kenyatta International Airport in Nairobi, Kenya, November 17, 2021. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 10 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s high court has temporarily blocked a proposed deal for India&#8217;s Adani Group to lease the country&#8217;s main airport for 30 years in exchange for expanding it, court documents showed.



In a joint application, the Law Society of Kenya (LSK), the country&#8217;s main bar association, and the Kenya Human Rights Commission (KHRC) told the court on Monday that the country could independently raise the $1.85 billion required to upgrade the airport in the capital Nairobi.



LSK and KHRC said the alleged 30-year lease of Jomo Kenyatta International Airport (JKIA), East Africa&#8217;s largest aviation hub, was unaffordable, threatened job losses, was a fiscal risk and did not offer taxpayers value for money, court documents published by the KHRC on their website showed.



The high court granted the request for leave to file a judicial review to challenge the possible lease of JKIA to Adani, LSK President Faith Odhiambo wrote on the social media platform X late on Monday.



&#8220;The court has meanwhile issued a stay prohibiting any person from implementing or acting on the privately initiated Adani proposal over JKIA pending the conclusion of the court case,&#8221; Odhiambo said.



The Adani Group did not immediately respond to a Reuters request for comment.&nbsp;A spokesperson for the Kenya Airports Authority told Reuters: &#8220;We are not going to comment on matters in court.&#8221;



Last month, the Kenya Aviation Workers Union called for a strike over the proposed deal, saying that it would lead to job losses and bring in non-Kenyan workers.



Kenya&#8217;s government has said the airport is operating above capacity and needs modernising but that it is not for sale and that no decision has been made on whether to proceed with what it calls a proposed public-private partnership to upgrade the&nbsp;site.



It said in July that Adani&#8217;s offer was being reviewed. If a deal is agreed, the government said there would be safeguards to ensure Kenya&#8217;s national interests are protected.



(Reporting by Maria Ponnezhath in Bengaluru; Editing by Sherry Jacob-Phillips, Mrigank Dhaniwala, Michael Perry and Jason Neely)

A Kenya Airports Authority worker inspects planes during an auction after previous owners abandoned them at the Jomo Kenyatta International Airport in Nairobi

Kenyan court halts proposed Adani lease of country’s main airport

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="521" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg" alt="" class="wp-image-516586" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-300x191.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-142x90.jpg 142w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-768x488.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-1536x976.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A teller handles U.S. dollar banknotes and Kenya shilling banknotes inside the cashier&#8217;s booth at a forex exchange bureau in downtown Nairobi, Kenya, February 16, 2024. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 9 (Reuters) &#8211; Kenya&#8217;s shilling was unchanged against the dollar on Monday, although it was seen under pressure from renewed hard currency demand by manufacturers and fuel importers, traders said.



Commercial banks quoted the shilling at 128.25/129.25 per dollar at 0936 GMT, compared with Friday&#8217;s closing rate.



(Reporting by Hereward Holland; Editing by Bate Felix)

RLVCCF47LVIWPJR4O2PPITYMVI

Kenyan shilling unchanged versus dollar

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-820x547.jpg" alt="" class="wp-image-422955" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Uganda shillings. Uganda. (Photo by: Godong/Universal Images Group via Getty Images)</figcaption></figure>



KAMPALA, Sept 9 (Reuters) &#8211; The Ugandan shilling traded in the same position on Monday from the previous session as hard currency inflows from remittance provided some support, traders said.



At 0830 GMT commercial banks quoted the shilling at 3,710/3,720, compared to Friday&#8217;s close.



(Reporting by Elias Biryabarema; Editing by Hereward Holland)

GettyImages-924883576-1

Ugandan shilling flat as remittance inflows lend support

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-820x547.jpg" alt="" class="wp-image-510612" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">President of Kenya William Ruto during the United Nations Climate Change Conference COP28 High Level Segment meeting in Dubai, United Arab Emirates on December 1, 2023. (Photo by Jakub Porzycki/NurPhoto via Getty Images)</figcaption></figure>



NAIROBI, Sept 9 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s finance ministry will seek suggestions from the public on new legislation to boost revenue and tackle other challenges, Finance Minister John Mbadi said on Monday, after protesters forced the government to withdraw its financing law.



President William Ruto discarded tax hikes worth more than 346 billion shillings ($2.7 bln) in June after protests that killed more than 50 people.



The move left the heavily indebted government with a bigger budget deficit for this financial year, mounting pending bills, and a delay in funding from the International Monetary Fund.



&#8220;We are barely managing. This is not where we wanted to be, but we are here,&#8221; Mbadi told a budget preparation meeting. He was appointed from the opposition last month as Ruto sought to stabilise his government.



The minister initially said he would revive some tax hikes in the abandoned finance bill, before rowing back after a public outcry and threat of more protests.



&#8220;I will be issuing a circular tomorrow, inviting the public&#8217;s participation to submit proposals on some legislative reforms to improve our current economic situation,&#8221; he said.



Kenyans will have until Sept. 20 to submit views.



Mbadi said the country had no choice but to keep servicing its debt, which stands at above the optimum level recommended by the World Bank and the International Monetary Fund, after years&nbsp;of borrowing driven by&nbsp;infrastructure construction.



&#8220;We have no two ways about it. There is no debt restructuring in this country. We will not accept it. We will not do it. We will manage our debts and pay and remain afloat,&#8221; he said.



Once the situation improves, the government will consider tax cuts in the medium term, Mbadi said, including reducing the value added tax on goods and services to 14% from 16%, and slashing the corporate income tax by 500 basis points to 25%.



($1 = 128.2500 Kenyan shillings)



(Reporting by Duncan Miriri; editing by George Obulutsa and Andrew Cawthorne)

COP28 In Dubai High Level Segment

Kenya asks public for help with economic fix laws after protests

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="485" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/LYNXMPED080GF.jpg" alt="" class="wp-image-527491" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/LYNXMPED080GF.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/LYNXMPED080GF-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/LYNXMPED080GF-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">A utility pole supporting wires for electricity distribution is seen in Nairobi, Kenya, November 11, 2015. REUTERS/Siegfried Modola</figcaption></figure>



NAIROBI, Sept 6 (Reuters)&nbsp;&#8211;&nbsp;A power outage hit most parts of Kenya on Friday, Kenya Power&nbsp;KPLC.NR&nbsp;said, the second major blackout in a week.



The national distributor did not give any details on the cause. Large areas were affected, apart from parts of the North Rift and Western regions, it said in a statement.



Kenya has suffered a number of blackouts over the past year including one that lasted for several hours on the evening of Friday last week.



One that Kenya Power said was caused by a system disturbance affected most of the country in May.



In August last year, the transport minister apologised after another widespread blackout plunged Nairobi&#8217;s main airport into darkness.



(Reporting by George Obulutsa and Humphrey Malalo; Editing by Andrew Heavens)

LYNXMPED080GF

Power blackout hits most of Kenya, utility says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="550" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-820x550.jpg" alt="" class="wp-image-527482" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-820x550.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-134x90.jpg 134w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-768x515.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-1536x1030.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/NAE5BQB57NNCZEMRT4TCKAKPXA-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: People gather as volunteers search to retrieve the bodies of residents killed by a landslide due to heavy rainfall in a landfill known as Kiteezi that serves as garbage dumping site, in the Lusanja village, outside Kampala, Uganda August 10, 2024. REUTERS/Abubaker Lubowa//File Photo</figcaption></figure>



KAMPALA, Sept 5 (Reuters)&nbsp;&#8211;&nbsp;The World Bank and French Development Agency (AFD) have given Uganda more than $600 million to fund infrastructure development and manage waste in the capital Kampala, the government and World Bank said on Thursday.



Ugandans have complained about waste management and the poor state of the roads in Kampala, which suffers chronic underfunding from the central government.



Last month a garbage landslide at a landfill site on Kampala&#8217;s outskirts buried houses as residents slept, killing at least 35 people.



A total of $566 million worth in funding, much of it credit, will come from the World Bank, and $42.7 million will be provided by ADF, the statements said.



&#8220;Rapid urban expansion has exposed significant gaps in infrastructure&#8221; the World Bank said.



Last year, the World Bank said it would stop lending to Uganda after the east African country passed a harsh anti-gay law.



In an emailed response to a Reuters&#8217; query the World Bank said the ban was still in effect but that the latest credit extended to Uganda was approved before the ban.



(Reporting by Elias Biryabarema; Editing by Hereward Holland and Barbara Lewis)

FILE PHOTO: Aftermath of a landslide due to heavy rainfall, in Kampala

World Bank, French Development Agency give Uganda aid of over $600 mln

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="551" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-820x551.jpg" alt="" class="wp-image-526756" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-820x551.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-300x202.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-134x90.jpg 134w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-768x516.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-1536x1032.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/WH675YVHBZPIZNYJUJB4CMI73E-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A view shows a toll station on the Expressway undertaken by the China Road and Bridge Corporation (CRBC) on a public-private partnership (PPP) basis, in Nairobi, Kenya May 8, 2022. REUTERS/Thomas Mukoya</figcaption></figure>



NAIROBI, Sept 4 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s private sector activity picked up in August as firms recovered from disruption caused by anti-government protests the previous month, a survey showed on Wednesday.



The Stanbic Bank Kenya Purchasing Managers&#8217; Index rose to 50.6 in August from 43.1 a month earlier. Readings below 50.0 signal a contraction in activity, while those above 50.0 indicate expansion.



&#8220;The Stanbic Bank Kenya PMI indicated a mild recovery in business conditions during August as the impact of protests faded, allowing firms to broadly resume normal operations,&#8221; Stanbic Bank Kenya said in comments accompanying the survey.



The July figure was a drop from 47.2 in June and reflected the effects of protests against the government during both months which disrupted some business activity.



In June, President William Ruto discarded the government&#8217;s finance bill for the year, which contained tax hikes worth 346 billion shillings ($2.69 billion), following deadly street protests.



&#8220;Output increased across three of the five broad sectors covered by the survey, with renewed growth in services, wholesale &amp; retail and construction,&#8221; Stanbic Bank Kenya said.



&#8220;By contrast, there were declines in activity across manufacturing and agriculture.&#8221;



The survey painted a gloomy outlook, with most of those polled expressing pessimism over economic prospects for the next 12 months, and only 5% of companies saying they expected growth.



&#8220;Business expectations worsened in August, implying firms as less hopeful about output over the next 12 months,&#8221; Christopher Legilisho, an economist at Stanbic Bank, said.



(Reporting by George Obulutsa; Editing by Christina Fincher)

FILE PHOTO: Shadow of Kenya’s borrowing binge to hang over next president

Kenya private sector activity picks up in August, PMI shows

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="521" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg" alt="" class="wp-image-516586" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-300x191.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-142x90.jpg 142w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-768x488.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-1536x976.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A teller handles U.S. dollar banknotes and Kenya shilling banknotes inside the cashier&#8217;s booth at a forex exchange bureau in downtown Nairobi, Kenya, February 16, 2024. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 4 (Reuters) &#8211; Kenya&#8217;s shilling firmed slightly against the dollar on Wednesday, LSEG data showed.



At 0720 GMT, the shilling traded at 128.25/129.25 to the U.S. currency, compared with Tuesday&#8217;s closing rate of 128.50/129.50.



Traders had said earlier this week that the shilling was expected to gain ground, helped by dollar inflows from the agriculture and tourism sectors.



(Reporting by George Obulutsa; Editing by Alexander Winning)

Kenyan shilling gains ground against the dollar – LSEG data

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg" alt="" class="wp-image-510212" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A worker at a foreign exchange currency bureau counts 1000 Ugandan shilling banknotes in Kampala, Uganda, on Wednesday, Aug. 16, 2023. Uganda&#8217;s central bank said it stands ready to act if the World Bank&#8217;s decision to halt new funding over the country&#8217;s passage of anti-LGBTQ legislation impacts the currency further. Photographer: Luke Dray/Bloomberg via Getty Images</figcaption></figure>



KAMPALA, Sept 3 (Reuters) &#8211; The Ugandan shilling was broadly stable on Tuesday, although it was expected to weaken due to increased demand for dollars from general merchandise importers, traders said.



At 0740 GMT, commercial banks quoted the shilling at 3,720/3,730, compared with Monday&#8217;s closing rate of 3,718/3,728.



(Reporting by Elias Biryabarema; Editing by George Obulutsa)

Ugandan shilling broadly stable, to ease due to importer FX demand

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg" alt="" class="wp-image-498541" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-300x177.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-152x90.jpg 152w" sizes="auto, (max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Kenya shilling coins and notes are pictured inside a cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Sept 3 (Reuters) &#8211; Kenya&#8217;s shilling was unchanged on Tuesday, and traders said it was expected to strengthen, helped by tea export dollar inflows.



At 0731 GMT, commercial banks quoted the shilling at 128.25/129.25 per dollar, the same level as Monday&#8217;s closing.



(Reporting by George Obulutsa; Editing by)

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East Africa

Crude oil production to thrust Uganda’s economic growth into double digits – IMF

Uganda say it will offer new oil exploration licences next fiscal year

Kenyan shilling unchanged against dollar, LSEG data shows

Ugandan shilling stable as pending taxes offer support

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Ugandan shilling trades slightly firmer on muted demand

Kenyan shilling broadly steady in balanced market

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Ugandan shilling flat as remittance inflows lend support

Kenya asks public for help with economic fix laws after protests

Power blackout hits most of Kenya, utility says

World Bank, French Development Agency give Uganda aid of over $600 mln

Kenya private sector activity picks up in August, PMI shows

Kenyan shilling gains ground against the dollar – LSEG data

Ugandan shilling broadly stable, to ease due to importer FX demand

Kenyan shilling stable, agriculture exports boost eyed

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