(Updates with Zambia)
NAIROBI, Jan 14 (Reuters) - Kenya's shilling is forecast to
weaken against the dollar in the next week to Thursday, traders
said, while Tanzania's currency is expected to hold steady.
KENYA
Kenya's shilling KES= is expected to weaken, undermined by
increased dollar demand from various sectors and little inflows.
Commercial banks quoted the shilling at 109.95/110.15 to the
dollar, compared with last Thursday's close of 109.45/65.
"It (demand) is across the board, right from large
corporates, SMEs (small businesses). As the economy opens and
things pick up, then obviously it feeds into demand," a trader
at one commercial bank said.
"The pressure remains. Banks are generally short (of
dollars)."
TANZANIA
Tanzania's shilling is expected to hold steady next week as
agricultural exports balance the demand from corporates and
small and medium enterprises.
Commercial banks quoted the shilling at 2,314/2,324 on
Thursday, unchanged from a week earlier.
"We expect a stable shilling next week, the same as a week
ago as agricultural exports balance FX flows against moderate
demand from corporates and SMEs," said Terry Karanja, a treasury
associate at AZA, a Nairobi-based FX trading firm.
NIGERIA
The naira is seen trading within a range next week as the
forex market weighs the level of dollar demand and the central
bank's willingness to clear the backlog after the currency eased
11.2% last year, traders said.
The naira opened at 392.69 on the over-the-counter spot
market on Thursday, its trading range so far this year. The
currency was quoted at 474 naira on the black market.
The currency has been under pressure on the black market
NGNFX=BDCN , where it trades more freely, widening the gap with
the official rate and prompting calls from the World Bank for
Nigeria to unify rates to attract inflow.
The naira is quoted at 381 to the dollar on the official
market, a level set in July and backed by the central bank.
ZAMBIA
The kwacha ZMW= is likely to come under pressure against
the dollar next week due to increased demand for hard currency.
On Thursday, commercial banks quoted the currency of
Africa's second largest copper producer at 21.2600 per dollar
from a close of 21.1846 a week ago.
"We still have a lot of pressure on demand, including
foreign exchange requirements for fuel imports," independent
financial analyst Maambo Hamaundu said.