Uganda Inflation Hits 3-Year High of 5.8% as Shilling Slumps Nearly 15% Against Dollar

Uganda's annual inflation rate rose to a three-year high of 5.8% in October, up from 4.6% the previous month, the country's statistics office said Friday, following a sharp slump in the shilling and jumps in oil and food prices. The reading marked the fastest pace since June 2023. Food inflation surged to 10.7% in October from 4.5% in September, accounting for much of the increase, according to the figures. The shilling is down almost 15% against the dollar since June, trading at around 4,245 per dollar on Friday versus 3,614.50 at the end of 2025. The currency's fall prompted Uganda's central bank to raise its policy rate to 12% from 9.75% earlier this month and lift banks' reserve requirements, with traders saying it has also intervened in the foreign exchange market.