Uganda's Currency in Circulation Rises by Shs100 Billion Amidst Economic Growth
Uganda's Currency in Circulation Rises by Shs100 Billion Amidst Economic Growth
The Bank of Uganda (BoU) published the latest data on the value of currency in circulation:
🟠8.614 trillion Ugandan shillings (about $2.4 billion) in April 2025;
🟠8.718 trillion shillings (about $2.43 billion) in May 2025.
This growth is primarily attributed to the expanding size of the Ugandan economy nominal (GDP):
🟠Shs203.71 trillion ($53.9 billion) in FY 2023/24;
🟠Shs226.34 trillion ($61.3 billion) in FY 2024/25.
Dr. Adam Mugume, BoU's Executive Director of Research, explained that the demand for Ugandan currency rises with transaction volume, as cash is prevalent. Currency supply also increases when the government disburses funds from the central bank.
Despite global financial volatility, the shilling has remained strong, ranking among the most stable currencies in Africa.
Dr. Mugume attributes this resilience to:
🟠sound financial reform;
🟠prudent monetary policy;
🟠consistent foreign exchange inflows from exports, tourism, personal remittances, and offshore investments.
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