About Uganda

National Priorities

The economic growth strategy underlying the budget for the next financial year and the medium term includes:
i. Increased domestic revenue mobilization and a reduction in non-concessional borrowing to ensure debt sustainability;
ii. Effective implementation of the Parish Development Model and Emyooga initiatives;
iii. Effective implementation of the various export strategies and enhancing access to global and regional markets;
iv. Support for the private sector by reducing the cost of doing business through: 

Construction of the Standard Gauge Railway and the rehabilitation of the Meter Gauge Railway;

Development of small scale solar-powered irrigation schemes to address climate change and ensure food security; 

Maintenance of both tarmac and murram roads; 

Continued investments in industrial parks and energy transmission lines;
v. Provision of affordable credit for micro and small enterprises and lowincome groups through the Small Business Recovery Fund, Emyooga and Microfinance Support Centre; and funding for medium to large enterprises through the Uganda Development Bank.
vi. Provision of quality seedlings, pesticides, fertilizers, storage and marketing in the agro-industrialization value chain in order to increase agricultural production and productivity;
vii. Rapid development of oil and gas production, specifically the construction of the East African Crude Oil Pipeline and the National Oil Refinery;
viii. Expansion of our skilled labour force to meet the demand of a diversified economy especially industrial skills;
ix. Mitigation of the negative impact of climate change on the economy and livelihoods; and 

x. Implementation of the Greater Kampala Metropolitan Infrastructure Development Master Plan; and
xi. Maintenance of peace and security of persons and property as the bedrock on which the above are based.

As a result of these interventions, Uganda’s economy is projected to grow at 6% in financial year 2023/2024. Over the next five
years, the economy is projected to grow at an average of 6.5-7% per year.

The budget for next financial year is aimed at achieving the following broad objectives:
i. Urgent completion of key public investments with higher multiplier effects on the attainment of NDPIII targets and the NRM 2021 – 2026 Manifesto;
ii. Enhanced revenue mobilization and collections;
iii. Full-scale operationalization of the Parish Development Model (PDM); and
iv. Enhanced government efficiency and effectiveness through rationalization of public expenditure, payroll audit, etc.
The key priorities funded to achieve these objectives are the following:
i. Boosting household incomes and micro enterprises;
ii. Commercializing agriculture to enhance production and productivity and improve competitiveness of agricultural products;
iii. Supporting private sector growth;
iv. Investing in the People of Uganda;
v. Improving the stock and quality of Infrastructure; and
vi. Expediting implementation of strategic interventions in innovation, research and development, and the minerals, oil and gas industry.

In order to effectively implement these strategic priorities, the Government shall ensure peace and security, good governance and the rule of law, as the bedrock for economic activities.

I now turn to detail the key actions we will be undertaking in these
strategic priorities.

The Parish Development Model (PDM) will boost household incomes as well as the development of micro-enterprises. Since the launch of the PDM in February 2022, a total of Shs. 590.2 billion has been disbursed to all the 10,459 parishes nationwide, translating into Shs. 50 million per parish. The balance will be disbursed by end this month. Next financial year, the Parish Development Model has been allocated Shs. 1.1 Trillion.

The Emyooga initiative will further boost household incomes and micro enterprises at parish and sub-county levels by directly funding parish and sub-county level enterprise groups. By March 2023, seed capital worth Shs. 249 billion had been disbursed to 6,721 constituency-based Emyooga SACCOs. Over 600,000 individuals had successfully applied for credit from their Parish-based Associations. Nearly half (46%) of these were women, youth (25%) and PWDs (4%).

These SACCOs have also mobilized savings of Shs. 76 billion, and a further Shs. 80 billion recovered from the loans given to beneficiaries. This demonstrates the sustainability of the Emyooga initiative. Next financial year, Shs. 100 billion has been allocated to the Emyooga initiative.

In order to grow local enterprises, 19 skilling centers have been established across the country under the Presidential Industrial Hubs initiative. So far, 28,750 trainees have successfully completed training in skills programs and 6,110 are under-going training in various

This initiative has also empowered the ghetto and less privileged urban youths across all the five city divisions through 9 skilling centers in Kampala Capital City Authority. These include: Wandegeya Market, Mulago Community Hall; All Saints Church of Uganda Mutundwe;
Our Lady of Fatima Catholic Church Nakulabye; Luzira Prisons; SubWay Crested Towers; Wabigalo Parish Community; Butikirwa KigoowaNtinda; and Makerere Community Hall. This support will continue over the medium term.

Shs. 60 billion has been allocated for skilling the youth in next financial year.

During this financial year, additional funding amounting to Shs. 110 billion was provided for food security interventions in Government institutions with farms including the UPDF, Uganda Prisons,
Ministry of Agriculture, the National Agricultural Research Organisation and the National Agricultural Genetics Resource Center and Databank. 

The priority actions to commercialize agriculture next financial year include the following:
i. Support agricultural research for the development of climate resilient crops and animal species;
ii. Promote environmental conservation, restoration and protection of degraded water catchment areas and forest cover;
iii. Construct small, medium and large-scale irrigation schemes in water stressed areas. These will include the construction of earth dams at Unyama in Gulu, Namalu in Nakapiripirit, Sipi in Bulambuli, Kabuyanda in Isingiro, among others;
iv. Implement large-scale mechanization and irrigation; and
v. Improve farmer mobilization, education and partnerships with large commercial farmers for the production of strategic commodities, such as coffee maize and tea to meet national and international demand.

Shs. 2.2 trillion, has been allocated for food security, irrigation, climate change mitigation, value chain development, agricultural research and disease control, among others.

The private sector has been directly supported through industrial parks’ development, promoting Small and Medium Enterprises (SMEs) and facilitating tourism.

Eight government owned industrial parks are currently operational. These are Namanve, Jinja, Bweyogerere, Mbale, Soroti Mbarara and Kasese, Luzira. In addition, there are three industrial parks developed under a Public Private Partnership arrangement at Kapeeka, Mukono and Buikwe. Uganda Investment Authority has acquired 12 square miles for industrial development provided by various Local Governments in the 18 zones across the country.

Uganda’s global reputation as an investment destination has been boosted significantly in the recent past. Uganda has been named the Number One investment destination in East Africa, by the AIM Global 2023 Abu Dhabi. In addition, our country has been ranked among the top ten African countries for best investment destination in Africa by the African Development Bank. It is now also ranked first in East Africa for capital market growth by ABsa Bank.

SMEs in the manufacturing and export sectors will be supported by the US$ 200 million World Bank Investment for Industrial Transformation and Employment (INVITE) Project that will provide grants
and concessional credit to qualifying SMEs. These SMEs will access new and innovative financing products with long term financing of up to 15 years. This intervention aims at increasing Ugandan manufactured export products, generate direct and indirect jobs for more than 200,000 workers, and safeguard existing jobs for 530,000 workers.

An allocation of Shs 209.3 billion has been provided through the INVITE Project for next financial year.

Uganda has increasingly been recognized as a tourism destination and is ranked by CNN as one of the top 10 best tourist destinations in the World. We will continue to promote domestic and inbound tourism, including the use of digital platforms. Uganda will also be marketed as a global and regional center for Meetings, Incentives, Conference and Exhibitions (MICE). Hospitality standards will be enforced through licensing, grading and classification of tourism facilities. Shs. 249 billion has been allocated for the promotion of Tourism.

All the private sector interventions I have detailed above have been allocated Shs. 2.4 Trillion.

Uganda has registered visible improvements in healthcare outcomes, access to knowledge, and a decent standard of living. On average, a Ugandan now lives longer – 64 years up from 53 years just as recently as 2015, attains more years of schooling and enjoys a higher income per capita than ever before.

Access to health care by Ugandans remains a key priority. Consequently, 381 Health Center IIs have been upgraded to Health Center IIIs. In addition, 250 Health Center IIIs have been upgraded to Health Center IV and equipped, and are now functional, largely supported by the Uganda
Intergovernmental Fiscal Transfers Program (UGIFT), which is co-funded by the World Bank. 

Construction and equipping of 31 new Health Center IIIs in sub counties without any health facility is 90% complete. The health referral system has also been enhanced by fully functionalizing 143 Intensive Care Units (ICUs) and 5 High Dependency Units (HDUs) in National and Regional
Referral Hospitals across the country. 

Next year, the Mulago Super Specialized Hospital and the new stateof-the-art Intensive Care Unit at the Uganda Cancer Institute will be fully operationalized. They will provide specialized care to all Ugandans and reduce medical referrals abroad. In addition, all existing Health Center IVs and Health Center IIIs will be facilitated to offer quality healthcare to all Ugandans. In this respect, health worker supervision and management will be strengthened to reduce absenteeism. After the ongoing audit of the payroll, the ban on health worker recruitment will be lifted. Government will in the next few weeks resolve the plight of medical interns and doctors designated as senior house officers, in view of their important role in supporting the healthcare system. In the meantime, I have provided Shs. 22.6 billion to clear outstanding arrears for medical interns and senior house officers for the financial year ending June 2023.

We have registered significant progress in access to education. Uganda’s literacy rate improved from 70.2% in 2012 to 79% in 2021. Education enrolment in public schools is now 8.8 million children in primary school, 833,000 pupils in secondary, and 174,000 students
in tertiary institutions.

To improve delivery of the recently launched curriculum, 3,100 teachers were trained, and inspection of learning institutions was enhanced using the e-inspection system. The Teacher Effectiveness and Learners Achievement (TELA) system has helped reduce teacher absenteeism and
improved pupil attendance. The Education Management Information System (EMIS) has been revamped to support data management and decision making in education. To enhance sports development, talent identification, nurturing and professional development have been

The Mountains of the Moon University was operationalized during the year. Upgrading of facilities was completed at Uganda Technical Colleges in the Lira, Elgon, and Bushenyi. 

Next year, the construction and equipping of two-Unit Laboratories in 21 secondary schools currently without any will commence, in line with the Science Technology Engineering and Mathematics (STEM) Policy. Government will continue with the construction of 115 Seed secondary schools in sub-counties without any, under the Uganda inter-Government Fiscal Transfer programme.

After the on-going audit of the government payroll, the ban on recruitment will also be lifted to cover the staffing gaps in education.

Government will continue to support sports activities and entertainment talents, and enforce copyrights for performing artists.

The national water coverage for safe and clean water for human consumption now stands at 70%, with 67% in rural areas and 72% in urban areas.

In rural areas, gravity flow schemes have been completed at Lirima in Manafwa, Lukalu-Kabasanda in Butambala and Nyabuhikye-Kikyenke in Ibanda. Piped water systems have also been constructed at Nyakabingo in Rukungiri, Kabuyanda in Isingiro, and Orom Water Supply System in Kitgum-Lamwo. In addition, 40 solar powered mini piped schemes serving 173,000 persons have been constructed across 15 least served districts inclusing Lyantonde, Sembabule, Yumbe, Rakai, Buyende, Kamuli and

In urban areas, 9 Piped Water Supply and Sanitation systems have been completed in Dokolo, Padibe – Lamwo, Odramacaku -Arua, Kagadi, Morulem and Alerek (Abim), and Kambuga II – Kanungu.

Access to safe and clean water will be enhanced to achieve 85% coverage in rural areas and 100% coverage in urban areas by the year 2025. Next year, the main activities towards this goal include: construction of 1,540 boreholes in 1,050 villages and town wards; building 49 large, 67 medium and 80 small piped water schemes in both urban and rural areas; and the rehabilitation and maintenance of 50 water systems in growth centers.

Interventions that build human capital have been allocated Shs. 9.6 trillion. In addition, the Government together with the World Bank are implementing the US$ 500 million Uganda Intergovernmental Fiscal Transfer programme to construct health centers III and IVs, seed secondary
schools, and micro-scale irrigation facilities in Local Governments that do not have these facilities.

The stock and quality of infrastructure is a key enabler for economic growth, development and social transformation.

Transport infrastructure development has been a major hallmark of Uganda’s recent economic development. The road sector in 1986 totaled 7,900km. Today, it has expanded twenty-fold to almost 160,000 km. While only 6,700 km of today’s road network is paved, the road network now allows access to even the remotest parts of Uganda.

Next financial year, we will substantially complete 16 national road projects including Atiak-Laropi, Moroto-Lokitanyala, Kawuku-Bwerenga, Namugonde-Bugiri, Nsambya-Mukwano, the Kampala Flyover and Rushere Town and Kyamate Access roads. In addition, priority will be accorded to the maintenance of existing road networks, both national and District Urban and Community Access Roads (DUCAR). The BukunguKagwara-Kaberamaido (BKK) Ferry and related landing sites; and Lake
Bunyonyi ferries and their landing sites will also be completed. 

Emergency repairs of the Kampala – Malaba meter-gauge was completed this year. The full rehabilitation of the Kampala – Malaba and Tororo – Gulu Metre Gauge railways will commence next financial year. 49% of the right of way for the Kampala -Malaba Standard Gauge
railway has been acquired. The construction of the Malaba – Kampala Standard Gauge Railway will commence next financial year, for which Shs 535 billion has been provided. 

In the air transport sector, the redevelopment and expansion of Entebbe International Airport is at 85% complete, and is due to be completed by July 2024. The construction of Kabalega International Airport now stands at 91.7% and will be completed by September 2023.
We shall also rehabilitate and upgrade the following aerodromes that are under feasibility studies: Kidepo, Pakuba, Mbarara, Gulu, Arua, Kisoro and Kasese. 

 An allocation of Shs. 4.5 trillion, representing 13.3% of the total budget, has been budgeted for road maintenance and construction, railway development and rehabilitation, water and air transport development. Of particular significance, an allocation of Shs Ibillion has been provided to each District, City and Municipality for road grading, murram and compacting. In total, Shs 176 billion has been allocated for this purpose. 

We have also secured US$ 608.7 million (equivalent to Shs. 2.25 Trillion) to address flooding, traffic congestion, poor road infrastructure, un-signalized junctions and unemployment in the Greater Kampala Metropolitan Area (GKMA) covering Kampala, Wakiso, Mukono and Mpigi districts and their municipalities. This will upgrade 504 km of roads including junction signalization in 8 urban authorities; rehabilitation of 30 storm water drainage points; upgrade 23 markets and construct 25
artisanal parks and industrial work spaces for small scale manufactures.

In collaboration with the World Bank, Government is implementing the US$ 360 million Uganda Support to Municipal Infrastructure Development (USMID) programme to improve infrastructure and addresse operational challenges in the cities and municipal level.

Power generation, transmission and distribution infrastructure have continued to expand. Generation capacity increased to 1378.1 MW as at March 2023 from 1,343.9 MW in March 2022, an increase of 34.3 MW. With the commissioning of the Karuma Hydropower Project planned for September 2023, generation capacity will increase to 1978 MW. The 6 MW Nyagak III Hydropower project is also due for commissioning by end of this month. 

In transmission, a total of 417 km of transmission lines were added to the main grid during the year, bringing the total transmission line network to 4,011 Km. To enable evacuation of power from the 600MW Karuma Hydropower project, the 248 km Karuma-Kawanda, the 55km KarumaOlwiyo, and the 76km Karuma-Lira lines have been completed. 

Next financial year, 761 km of transmission lines and associated power sub-stations will be constructed to improve the stability and reliability of the networks. We will also build capacity of the Uganda Electricity Generation and Transmission companies to manage the generation and distribution networks after the expiry of the ESKOM and Umeme concessions.

Madam Speaker, next financial year, Shs. 1.3 trillion has been allocated for Electricity interventions.

 Turning to Digital Transformation, 4,717 km of optic fibre has been laid across the country. Geographical coverage of broad Band services (3G) stands at 66% and 25 broad band sites have been upgraded to 3G providing services to over 700,000 Ugandans. Free wi-fi hotspots have been established at nine border posts namely Lwakhakha, Mpondwe, Mutukula, Busia, Vura, Katuna, and Elegu.

Next year, WiFi will be deployed to 820 locations, targeting schools, hospitals, markets in the selected sub-regions. The Greater Kampala Metropolitan Area network will be upgraded to monitor service provision over the national backbone infrastructure. We will also digitally transform
public service delivery by connecting all essential services, such as schools, hospitals, tourism sites, and the police to the national backbone. 

An allocation of Shs. 192 billion has been provided to accelerate digital transformation.

The development of the oil and gas, the beneficiation of minerals and investment in science innovation and research are key strategic initiatives that will significantly support that socio economic transformation.

The final investment decision for the development of the East African Crude Oil Pipeline was taken on 2nd February 2022. We are fast tracking the construction of the East African Crude Oil Pipeline
(EACOP) and the National Oil refinery. In addition, the right of way for the Kabaale (Hoima) – Buloba refined products pipeline, and the financing for the refinery and associated infrastructure will be concluded. Preparatory work for the development of a petrochemical industry at the Kabaale
Petro-based Industrial Park will also be expedited. 

I have allocated Shs.447 billion to fast track the development of petroleum
resources next financial year.

Government is supporting several innovation and scientific research initiatives that will propel Uganda industry into the high technology economy. These include 

(i) vaccines research and development, including therapeutics and diagnostics to enable Uganda
to enter into the Pathogen economy 

(ii) automotive industry technology development, and 

(iii) chipset and robotics manufacturing.

During this year, we enhanced the salaries for scientists by Shs 508 billion. We shall continue to support scientists and innovators to undertake the process of Intellectual Property registration, train and sensitize stakeholders on Intellectual Property.

We have provided Shs. 257 billion to support science, innovation and technology development.

In order for Uganda to reap the benefits of minerals resource, Uganda’s mineral deposits will be quantified to ascertain their value before beneficiation. We shall also operationalize the recently
approved mineral legislation to regulate Artisanal and Small-Scale Miners (ASMs). For the development of Minerals, an allocation of Shs. 54.3 billion has been provided.

 Security, good governance and the rule of law are the bedrock for the success of our socio-economic interventions. In order to guarantee the security of persons and property, the capacity of security
and intelligence agencies will be strengthened to address any security threats, and build national defense capability. 

In order to enhance good governance, Parliament’s legislative and oversight role will be strengthened to ensure proper use of public funds, among others. Furthermore, we will ensure compliance with rules and regulations in public financial management, and implement Parliament’s recommendations on the use of public funds. 

To improve efficiency and effectiveness of Government, we will further automate financial management systems. These include the Program Budgeting System for budget preparation, monitoring and reporting; the Integrated Financial Management System for budget execution, the
Human Capital Management for personnel and payroll management, e-Government Procurement, e-Passport and the one border posting among others.

The Integrated Bank of Projects has recently been relaunched to improve Public Investment Management, including the tracking of project performance. Projects whose implementation has
unduly delayed without sound reason will be removed from the Public Investment Plan.

The rationalization of Government agencies will commence in financial year 2024/25. In addition, Government has stopped the creation of any additional administrative units and agencies.

To enhance access to justice, the target is to reduce court case backlog by about 6,000 cases by end-June 2024 from the 50,000 outstanding cases. A total of 117 districts already have complete
frontline criminal and civil justice service delivery points comprising a police station, court, prison, prosecution services, and legal aid services, among others. The target is to have 119 districts with Justice service delivery points by end-June 2024. 

The construction of the Supreme Court and Court of Appeal buildings in Kampala and the Soroti and Rukungiri High Court buildings will be completed. In addition, the High Court buildings in Alebtong, Budaka and Lyantonde and the Magistrate Court buildings in Karenga, Patongo
and Abim will also be completed. 

The functions which include enactment of legislation, oversight and accountability roles will further be strengthened. In this regard, the construction of Parliamentary Chambers is on-going. 

Security, governance, the legislature and the administration of justice have been allocated, Shs. 9.1 trillion next financial year, up from Shs. 8.1 trillion this financial year.