KAMPALA, Feb 27 (Reuters) - Uganda’s central bank was back in the market on Thursday for a second straight day selling an undisclosed amount of dollars to support the depreciating shilling, traders said.
Traders said Bank of Uganda intervened when the shilling weakened to 2,520/2,530. The intervention sent it back briefly to Wednesday’s level of 2,505/2515, but the currency fell back again to 2,530/2,540.
“We have seen the pressure on the shilling continuing even today which prompted the central bank to intervene ... the speculation about aid cuts is really unnerving the markets,” said Ahmed Kalule, trader at Bank of Africa. (Reporting by Elias Biryabarema; Editing by George Obulutsa)