{
  "title": "Uganda: Technical Assistance Report-Monetary and Foreign Exchange Operations, Recapitalization, and Act Revision",
  "publication": "IMF Staff Country Reports, January 16, 2018",
  "sourceUrl": "https://www.imf.org/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563",
  "canonical": "https://www.imf.org/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563",
  "overlayPath": "/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/index.md",
  "summary": "This Technical Assistance Report discusses the findings and recommendations made by the IMF mission regarding monetary and foreign exchange operations in Uganda, Bank of Uganda (BOU) recapitalization, and Bank of Uganda Act revision.",
  "sections": [
    {
      "heading": "Key findings",
      "content": "- The presence of sizable precautionary and involuntary reserves and excessive short-end volatility has weakened the transmission mechanism in Uganda.\n- The key challenge remains to enhance monetary and fiscal policy coordination.\n- Institutional and operational arrangements are not sufficiently robust and conducive to an efficient monetary operations framework.\n- Market development is hindered by lack of anchored short-term interest rates and limited use of fine-tuning instruments to manage short-end volatility.\n- The Bank of Uganda (BOU) needs to raise the effectiveness of the monetary and foreign exchange operations framework to strengthen transmission of policy signals across the curve."
    },
    {
      "heading": "Policy recommendations",
      "content": "- Enhance monetary and fiscal policy coordination to improve overall policy effectiveness.\n- Strengthen institutional and operational arrangements to ensure they are robust and conducive to an efficient monetary operations framework.\n- Raise the effectiveness of the BOU’s monetary and foreign exchange operations framework.\n- Anchor short-term interest rates by using various fine-tuning instruments to:\n  - Improve operational efficiency.\n  - Strengthen transmission of policy signals across the curve.\n- Foster further market development through improved operational tools and market infrastructure."
    },
    {
      "heading": "Subjects and keywords (as provided)",
      "content": "- Subjects: Asset and liability management; Banking; Central banks; Financial institutions; Financial statements; Liquidity; Liquidity forecasting; Open market operations; Public financial management (PFM); Securities\n- Keywords: balance sheet; BOU recapitalization securities; capital structure; CR; exchange rate; financial market; Financial statements; foreign exchange; Global; interest rate; ISCR; Liquidity; Liquidity forecasting; Open market operations; reverse repo; Securities; short term\n\nInternational Monetary Fund. Monetary and Capital Markets Department \"Uganda: Technical Assistance Report-Monetary and Foreign Exchange Operations, Recapitalization, and Act Revision\", IMF Staff Country Reports 2018, 010 (2018). January 16, 2018.\n\n---\n\n Content in this bundle\n\n- Country Report\n  - Country Report (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Country Report (PDF){rel=\"external\" type=\"application/pdf\"}"
    }
  ],
  "bullets": [
    "[Markdown version](/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/index.md)",
    "[Structured JSON version](/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/index.json)",
    "[Bundle manifest](/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/bundle-manifest.json)",
    "Published: January 16, 2018",
    "Series: IMF Staff Country Reports",
    "DOI: https://doi.org/10.5089/9781484337813.002",
    "The presence of sizable precautionary and involuntary reserves and excessive short-end volatility has weakened the transmission mechanism in Uganda.",
    "The key challenge remains to enhance monetary and fiscal policy coordination.",
    "Institutional and operational arrangements are not sufficiently robust and conducive to an efficient monetary operations framework.",
    "Market development is hindered by lack of anchored short-term interest rates and limited use of fine-tuning instruments to manage short-end volatility.",
    "The Bank of Uganda (BOU) needs to raise the effectiveness of the monetary and foreign exchange operations framework to strengthen transmission of policy signals across the curve.",
    "Enhance monetary and fiscal policy coordination to improve overall policy effectiveness.",
    "Strengthen institutional and operational arrangements to ensure they are robust and conducive to an efficient monetary operations framework.",
    "Raise the effectiveness of the BOU’s monetary and foreign exchange operations framework.",
    "Anchor short-term interest rates by using various fine-tuning instruments to:",
    "Foster further market development through improved operational tools and market infrastructure.",
    "Subjects: Asset and liability management; Banking; Central banks; Financial institutions; Financial statements; Liquidity; Liquidity forecasting; Open market operations; Public financial management (PFM); Securities",
    "Keywords: balance sheet; BOU recapitalization securities; capital structure; CR; exchange rate; financial market; Financial statements; foreign exchange; Global; interest rate; ISCR; Liquidity; Liquidity forecasting; Open market operations; reverse repo; Securities; short term",
    "**Country Report**"
  ],
  "related": [
    {
      "title": "Country Report",
      "role": "report",
      "sourceUrl": "https://www.imf.org/-/media/files/publications/cr/2018/cr1810.pdf",
      "summary": {
        "path": "/-/media/files/publications/cr/2018/cr1810.pdf.md",
        "mime": "text/markdown"
      },
      "binary": {
        "path": "/-/media/files/publications/cr/2018/cr1810.pdf",
        "mime": "application/pdf"
      }
    }
  ],
  "alternates": {
    "markdown": "/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/index.md",
    "json": "/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/index.json",
    "bundleManifest": "/en/publications/cr/issues/2018/01/16/uganda-technical-assistance-report-monetary-and-foreign-exchange-operations-recapitalization-45563/bundle-manifest.json"
  },
  "generatedAtUtc": "2026-09-12T21:16:49.664Z"
}