NAIROBI, Feb 9 (Reuters) - Kenya's shilling is forecast
to weaken against the dollar in the week to Thursday, while
Uganda's and Ghana's currencies will firm, and Zambia's,
Tanzania's and Nigeria's hold steady, traders said.
KENYA
Kenya's shilling is expected to weaken, undermined by
increased demand for dollars, especially from oil retailing
companies.
Commercial banks quoted the shilling at 125.00/20 per
dollar, compared with last Thursday's close 124.45/65.
In early Thursday trade, the shilling touched a new all-time
low of 125.10/30.
"It seems to be kind of one-way. Supply is very thin. Demand
(for dollars) is pretty from the oil (companies). They are the
biggest, followed by manufacturing," a trader at one commercial
bank said.
GHANA
Ghana's cedi could strengthen in the coming week
depending on the success of a domestic debt exchange (DDE)
programme, after posting some marginal gains against the dollar
due to improved demand and some central bank support.
Refinitiv data showed the cedi trading at 12.00 to the
dollar on Thursday, the same as last Thursday's close.
"Cedi maintained its stability against the dollar during the
week buoyed by matched demand and supply amid light trading,"
said Chris Nettey, a trader at Stanbic Bank.
"A successful DDE could see some cedi strength in the
interim," he added.
Ghana has extended the deadline to register for its domestic
debt exchange programme for a fifth time to Feb. 10.
ZAMBIA
The kwacha is likely to remain range-bound against
the dollar next week due to central bank support as corporate
demand for hard currency outpaces supply.
On Thursday, commercial banks quoted the currency of Africa's
second-largest copper producer at 19.4600 from 19.3600 a week
ago.
Zambia's central bank will on Feb 13 hike by 2.5 percentage
points the proportion of deposits that commercial banks keep as
cash with it on both local and foreign currency deposits, it
said in a letter to commercial banks last week.
The adjustment to the statutory reserve ratio is aimed at
addressing volatility in the exchange rate and safeguarding the
stability of the foreign exchange market, it said.
UGANDA
The Ugandan shilling is seen firming in the coming
days, with a sagging appetite for hard currency weighing against
healthy inflows from commodity exporters.
At 1003 GMT commercial banks quoted the shilling at
3,665/3,675, compared to last Thursday's close of 3,680/3,690.
"The local unit will likely keep on a firming tone because
(dollar) inflows are generally healthy while demand is weak,"
said one independent foreign exchange trader in the capital
Kampala.
TANZANIA
Tanzania's shilling is expected to remain stable next
week with inflows from routine trading helping to offset dollar
demand from the energy and manufacturing sectors.
Commercial banks quoted the shilling at 2,335/2,345 on
Thursday, from an average of 2,332/2,342 levels recorded at last
week's close.
"We expect the shilling to continue trading around current
levels in the week ahead," a trader at a forex trading company
said.
NIGERIA
Nigeria's naira is seen broadly flat on the parallel
market as a shortage of the country's newly launched banknotes
disrupt cash payment, traders said.
The naira was quoted at 753 to the dollar on the parallel
market on Thursday, compared with 755 at last Thursday's close.
It traded within a range of 460 to 462 on the official market .
"So far, (naira shortage) has affected dollar rates," one
parallel market trader said. "We buy (dollar) at a discount, if
paying with new naira."
(Reporting by George Obulutsa, Chris Mfula, Nuzulack Dausen,
Elias Biryabarema, Christian Akorlie and Chijioke Ohuocha;
Compliled by Hereward Holland; Editing by Chijioke Ohuocha and
James Macharia Chege)
george.obulutsa.thomsonreuters.com@reuters.net))
