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The headline Stanbic Bank Purchasing Managers’ Index (PMI) has for the first time since February crossed into positive territory recording a reading of 50.3 in July. This follows easing of the lockdown that saw curfews revised and several businesses reopened. The PMI recorded a reading of 50.3 during July, up from 46.5 in June representing a significant recovery from the 21.6 recorded in April after the lockdown was announced. However, the figure is still below the monthly average of 52.9 before the outbreak of the Covid-19 pandemic but above the 50.0 threshold. Furthermore, spare capacity remained present in the private…
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The Uganda Minister of Finance, Planning and Economic Development has today told Parliament that Corona Virus Disease- COVID-19 will significantly affect Uganda’s economy, so much so that up to 2.6 million could sink bank into poverty depending on the severity of the disease. In his statement on the economic impact of COVID-19 on Uganda, presented to parliament today, Matia Kasaija, the Finance Minister said that the biggest impact will be on the services sector especially travel and tourism, including hotels and accommodation, adding that the resulting supply chain disruptions especially caused by travel restrictions will curtail import and export trade…
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Today, the government of Uganda released its first estimates of how deep COVID-19 could hurt Uganda’s economy. The figures released by Uganda’s Finance Minister, Matia Kasaija are based on two scenarios- namely; OPTIMISTIC SCENARIO: That the corona virus does not enter Uganda or that it is quickly contained hence avoiding widespread infections within the population. WORST-CASE SCENARIO: The “virus enters Uganda and spreads rapidly (as experienced in some African countries such as Egypt, South Africa and Algeria), in which case, the impact on the economy, the budget and the population would be significantly higher. Here below are some of the…
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