Uganda's currency just quietly became the world's most stable, beating the dollar and pound. Permanent Secretary Ramathan Ggoobi stated the shilling appreciated significantly over the past year, supported by low inflation and disciplined fiscal management. He called it the globe's top performer, followed by the British pound sterling and the Hong Kong dollar.
Economic growth reached over six percent recently, with projections trending even higher. This expansion should push the total economy to a value surpassing two hundred forty-nine trillion shillings. Ggoobi highlighted unusual price stability for an election period, with inflation holding steady at a low rate.
Government interventions in food production and direct fuel imports through UNOC helped insulate domestic prices. Strict spending controls also reinforced currency performance, funding elections and security, while maintaining investments in infrastructure and wealth creation. National Social Security Fund MD Patrick Ayota previously noted the shilling's multi-year rise against the dollar.
Ayota explained that sound macroeconomic policies and a liberalized financial environment attract long-term capital. He illustrated that a dollar investment converted to shillings five years ago would yield a substantial profit if exchanged back today. Capital moves freely without foreign exchange controls, boosting investor confidence.
This stability contrasts sharply with major African peers like the Egyptian pound and South African rand, which weakened considerably. Uganda's economic resilience appears isolated amid broader regional currency depreciation. The shilling's strength reflects underlying fundamentals despite global volatility and domestic political cycles.
Economic growth reached over six percent recently, with projections trending even higher. This expansion should push the total economy to a value surpassing two hundred forty-nine trillion shillings. Ggoobi highlighted unusual price stability for an election period, with inflation holding steady at a low rate.
Government interventions in food production and direct fuel imports through UNOC helped insulate domestic prices. Strict spending controls also reinforced currency performance, funding elections and security, while maintaining investments in infrastructure and wealth creation. National Social Security Fund MD Patrick Ayota previously noted the shilling's multi-year rise against the dollar.
Ayota explained that sound macroeconomic policies and a liberalized financial environment attract long-term capital. He illustrated that a dollar investment converted to shillings five years ago would yield a substantial profit if exchanged back today. Capital moves freely without foreign exchange controls, boosting investor confidence.
This stability contrasts sharply with major African peers like the Egyptian pound and South African rand, which weakened considerably. Uganda's economic resilience appears isolated amid broader regional currency depreciation. The shilling's strength reflects underlying fundamentals despite global volatility and domestic political cycles.
