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Currencies of Kenya, Uganda, and Ghana expected to weaken

Kenya's shilling, Uganda's shilling, Ghana's cedi, and Zambia's kwacha are expected to weaken against the dollar in the week to Thursday, March 2. At the same time, Tanzania's and Nigeria's currencies are forecast to hold steady.

Kenya's shilling is expected to weaken further, hurt by increased demand for dollars from the energy and manufacturing sectors. Commercial banks quoted the shilling at 126.15/35 per dollar, compared with last Thursday's close of 125.70/90.

Nigeria's naira is seen holding at current levels next week until the shortage of local notes is resolved, traders said. The naira has been marginally firmer on the parallel market due to a shortage of banknotes as the central bank implemented its cashless policy before Saturday's presidential vote, traders said.

Source: reuters.com

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