This archive report was first published on 15 May 2020.
Uganda's foreign exchange reserves are facing a significant threat, with the International Monetary Fund warning that they will fall to under two months of import cover in 2020/21 without external help.
According to the IMF, the country's current, capital, and financial accounts are expected to deteriorate sharply, resulting in a decline of the Bank of Uganda's (BoU) reserve buffer.
As a result, Uganda's reserves will be below the adequate level, leaving the country in a vulnerable position, the IMF stated in a statement issued on May 15, 2020.
