Kenya’s shilling weakened for a second time in three days off the back of higher dollar demand. The currency of East Africa’s biggest economy depreciated as much as 0.6 percent and traded 0.4 percent lower at 83.95 per dollar as of 1:03 p.m. in the capital, Nairobi, according to data compiled by Bloomberg. “The shilling has weakened on increased dollar demand by businesses,� Chris Muiga a senior dealer at Nairobi-based Kenya Commercial Bank Ltd., said in a phone interview today. Tanzania’s shilling strengthened as the central bank sold dollars in the market. The currency of East Africa’s second- biggest economy appreciated as much as 0.4 percent and traded 0.2 percent higher at 1,592 as of 1:37 p.m. “The shilling is gaining as the central bank is supplying dollars to meet demand from the oil sector,� Hakim Sheik, a dealer with Commercial Bank of Africa Tanzania Ltd., said today by phone from Dar es Salaam, the commercial capital. Uganda’s shilling appreciated as much as 0.4 percent and traded 0.1 percent higher at 2,316.25 per dollar as of 1:06 p.m. -- With assistance from David Malingha Doya in Dar es Salaam. Editors: Ash Kumar, Peter Branton To contact the reporter on this story: Johnstone Ole Turana in Nairobi at jturana@bloomberg.net To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net

Source