Uganda’s government has unveiled a comprehensive budget plan for the financial year 2025/26, outlining its vision for transforming the country’s economy.
The budget plan, which was presented by the Ministry of Finance, Planning and Economic Development, focuses on full monetization of the economy through commercial agriculture, industrialization, expanding and broadening services, digital transformation, and market access.
According to the government, the budget plan is designed to elevate Uganda’s economic growth to over 8% annually in the medium term, with a vision to expand the economy tenfold from US$53 billion to US$500 billion by 2040.
The government plans to finance the budget through a combination of domestic and external resources. Domestic resources are expected to increase by UGX1.7 trillion to UGX33.68 trillion in FY 2025/26.
The budget allocation includes UGX7.934 trillion towards staff salaries, UGX12.1 trillion for non-wage expenditures, and UGX4.211 trillion for development projects critical to Ugandans.
The sector allocation includes Human Capital Development, covering education and health, which will receive the highest share of UGX9.394 trillion. Governance and Security will receive UGX7.634 trillion, and Integrated Transport Infrastructure will receive UGX6.354 trillion.
The government says the economy is projected to grow by 6.4% at the end of FY 2024/25, increasing to at least 7% in FY 2025/26, and eventually reaching double digits with the onset of commercial oil and gas production.
