Uganda registers Shs463.7b trade surpluses with EAC states
Trucks in a queue at Gatuna border, Rwanda. PHOTO/FILE
Uganda’s Trade Balance with the East African Community indicates that the country registered a surplus of $127.3 million (Shs463,734,932,300) with the four countries.
The Ministry of Finance Planning and Economic Development has revealed that Uganda registered trade surpluses with all the East African Community partner states except for Tanzania and Burundi, which implies that trading activities are steadily growing with other member states.
“The largest trade surplus was with DR Congo ($55.1 million), followed by South Sudan $51.0 million), Rwanda ($17.6 million) and Kenya ($3.6 million) respectively,” said the Ministry of Finance.
The EAC remains Uganda’s main trading bloc in the continent because of regional integration. Regional integration helps countries overcome divisions that impede the flow of goods, services, capital, people and ideas.
In terms of foreign exchange rates in the EAC, the Ministry of Finance said all currencies of the EAC partner states recorded depreciations against the dollar except for Uganda which appreciated by 0.6 per cent.
Burundi recorded the highest depreciation of 3.8 per cent followed by Rwanda, Kenya, and Tanzania with depreciation rates of 2.2 per cent, 1.8 per cent and 0.3 per cent respectively.
The developments in the East Africa Community further indicate that inflation, similar to Uganda, Tanzania, Rwanda and Kenya’s annual headline inflation trended downwards in June 2023, reducing to 4.9%, 3.6%, 20.4% and 8.77% from 6.2%, 4.0%, 22.4%, and 8.78% respectively.
“This was mainly driven by the slowdown in prices of food as well as a reduction in fuel prices,” said the Ministry of Finance.
