KAMPALA, Sept 21 – Uganda’s export earnings rose 10.2% year on year to $1.40 billion in July, supported by stronger shipments of gold, cocoa, flowers, maize and other commodities, according to a Finance Ministry report seen by Reuters.
Export receipts increased from $1.27 billion in July a year earlier, providing additional foreign-exchange inflows that could help ease pressure on the Ugandan shilling, which has weakened against the US dollar in recent days.
Gold accounted for the largest share of the increase, with the value of shipments rising 35% to $788.45 million during the month.
The Finance Ministry attributed the stronger gold receipts to higher export volumes as well as rising international gold prices. It said demand for the precious metal had increased as investors sought safe-haven assets amid heightened geopolitical tensions globally.
Uganda has developed into a regional gold-processing hub, with gold and coffee remaining among the country’s main sources of foreign exchange.
The increase in commodity export earnings could provide some support to Uganda’s external position by increasing the supply of foreign currency available through trade receipts.
