LONDON (Reuters) - Uganda's annual inflation should fall to 7 percent by June 2010, while the Ugandan shilling is rising too quickly, the country's central bank governor said on Thursday.
"By the end of the financial year June 2010, inflation should be back to around 7 percent," Emmanuel Tumusiime-Mutebile told Reuters in an interview following a presentation.
"The following year it should be below 5 percent."
Uganda's annual inflation rate slowed to 12 percent in November from 13.4 percent in October.
Uganda's inflation rate has spiked into double digits in the last 12 months due to rises in oil and food prices, Tumusiime-Mutebile told the presentation.
Uganda's economy will grow by 6.4 percent in 2010, and inflation will fall to 9.7 percent, according to a Reuters poll.
The Ugandan shilling has been rising sharply this year as foreign investment has returned to east Africa's third largest economy.
The shilling weakened on Thursday but is still trading close to one-year highs against the dollar.
Source:af.reuters.com/
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