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CORRECTED-WEEKAHEAD-AFRICA-FX-Kenyan, Zambian currencies seen easing; Ugandan, Tanzanian firm

Published 13/06/2019, 15:19
© Reuters.  CORRECTED-WEEKAHEAD-AFRICA-FX-Kenyan, Zambian currencies seen easing; Ugandan, Tanzanian firm
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(Corrects naira exchange rate in final section)
NAIROBI, June 13 (Reuters) - Kenyan and Zambian currencies
are likely come under pressure next week as those of Ugandan and
Tanzanian firm. Nigeria's currency should remain stable.

KENYA
The Kenyan shilling KES= is seen under pressure against
the U.S. dollar in the coming week due to demand from oil
importers amid excess liquidity in the local money market,
traders said.
Commercial banks quoted the shilling at 101.40/60 per
dollar, compared with 101.25/45 at last Thursday's close.
"We have a lot of liquidity on the money market side," said
a senior trader from one commercial bank.

ZAMBIA
The kwacha ZMW= is expected to make marginal losses versus
the U.S. dollar next week as hard currency inflows from
companies that were paying taxes dry up.
On Thursday, commercial banks quoted the currency of
Africa's second-largest copper producer at 13.0650 per dollar,
up from a close of 13.2000 per dollar a week ago.
"It will most likely go back to the established levels
somewhere slightly weaker than the current level," independent
financial analyst Maambo Hamaundu said.

UGANDA
The Ugandan shilling UGX= is seen trading in a firming
position against the U.S. dollar as mid-month tax payments by
corporate firms limit their demand for hard currency.
At 0940 GMT commercial banks quoted the shilling at
3,737/3,747, compared to last Thursday's close of 3,765/3,775.
"Condering we'll be having mid-month tax payments and some
offshore inflows might also come in, the shilling will rally,"
said Faisal Bukenya, an independent foreign exchange trader.

TANZANIA
Tanzania's shilling TZS= is will gain next week as
corporates sell U.S. dollars to meet financial obligations
including taxes.
On Thursday, commercial banks quoted the Shilling at 2,295
per dollar, the same level at which it closed a week ago.
"We expect the shilling to appreciate next week to
2,290/2,300 levels because most of corporates will be selling
dollars to meet different obligations," one commercial bank
trader said.

NIGERIA
The naira NGN= is seen stable against the U.S. dollar next
week supported by global oil prices and foreign investors buying
the local currency to participate in a treasury bill auction.
On Thursday, the naira firmed to 359.80 per dollar from
360.50. The currency was quoted at 360 at exchange bureaus and
306.95 on the official market, thanks to central bank support.
Commercial bank traders said foreign investors were still
buying local bills to lock in yields with global oil prices
providing support for the currency at around $60.

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