The Monetary Policy Committee of the Bank of Uganda kept the Central Bank Rate unchanged at 9.75 % on 9 February 2026, judging the current stance sufficient to support activity while guiding inflation back to the 5 % medium-term target as global uncertainty persists and the price outlook has been slightly revised lower. The rate has been held at 9.75 % since at least February 2025. The implementation framework is unchanged, with a ±2 pp corridor around the CBR and corresponding rediscount and bank rates of 12.75 % and 13.75 %. Headline inflation inched up to 3.2 % and core inflation to 3.3 % in January, both below target, and the bank now projects 2026 inflation at 3.8–4.3 % before stabilising around 5 %. GDP expanded by an average 6.3 % in the first three quarters of 2025, and growth is forecast at 6.5–7.0 % in FY 2025/26, buoyed by strong consumption and forthcoming oil-related and infrastructure investment, though the bank notes a positive output gap and downside risks. A modest exchange-rate appreciation alongside lower international oil and food prices is damping imported inflation, while heightened geopolitical tensions remain a key external risk. The committee reiterated that future policy decisions will be data-dependent.
Bank of Uganda 2026-02-09
Bank of Uganda keeps Central Bank Rate at 9.75 % (9 Feb 2026)
Bank of Uganda left the Central Bank Rate unchanged at 9.75 % and kept the ±2 pp corridor, judging the stance sufficient to sustain growth while guiding inflation to the 5 % target. Headline/core inflation were 3.2 %/3.3 % in January, the bank projects 2026 inflation at 3.8–4.3 % and FY 2025/26 growth at 6.5–7 %, and said future moves will be data-dependent.