Firms in a range of industries are now indicating that they are prepared to pass cost increases through to consumer prices. Looking forward, we expect a further increase in the inflation rate as the effects of global developments wash through the year-ended figures.
Under Prof. Tumusiime-Mutebile’s leadership, the Bank’s monetary policy was able to steer the economy through the turbulence created by the external shocks and keep it on an even keel. In particular, the Bank has delivered low inflation; the primary policy objective of its monetary policy. Headline inflation over the course of the last decade has averaged only 6.5 percent per annum.