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An employee uses a precious metals analyzer on gold bars at AGR (African Gold Refinery) in Entebbe, Uganda, October 4, 2018. Picture taken October 4, 2018. REUTERS
KAMPALA, Sept 21 (Reuters) – Uganda’s export earnings rose 10.2% from a year earlier in July, helped by higher shipments of commodities including gold, cocoa and flowers, the finance ministry said in a report seen by Reuters on Monday.
- The surge in export earnings could help cushion the local currency, the shilling, which has been weakening against the dollar in recent days.
- Export earnings rose to $1.40 billion in July from $1.27 billion a year earlier, the ministry said in its report.
- The increase in export receipts was mainly driven by higher earnings from shipments of a range of commodities including gold, cocoa, flowers, maize and others. The value of gold shipments surged 35% to $788.45 million in July.
- Earnings from gold were up due to higher export volumes and an increase in international gold prices amid “increased demand for gold as a safe haven amid heightened global geopolitical tensions,” the ministry said.
- Uganda is a regional gold-processing hub. Gold and coffee are the East African country’s main sources of foreign exchange.
Reporting by Elias Biryabarema; Editing by Vincent Mumo Nzilani and Thomas Derpinghaus
