- Capital outflows fall 18% quarter-on-quarter to $227.6 mln
According to Zawya article published on January 6, 2023, foreign direct investment (FDI) rose to $474.8 million (1.769 trillion shillings) in the fourth quarter of 2022, The Monitor newspaper reported, citing Bank of Uganda.
The FDI jumped 35 percent quarter-on-quarter due to increased activity in the oil sector.
The central bank said that capital outflows dropped 18 percent quarter-on-quarter to $227.6 million (845.8 billion shillings), signaling a return of investor confidence.
The monetary policy tightening in advanced economies in the latter part of 2022 triggered offshore investors’ exit from domestic debt securities in favour of safe and higher yields in developed economies.
However, the outbreak of Ebola during the last quarter of 2022 impacted tourism receipts, which fell by 30.7 percent, the central bank noted.
