Africa-Press – Uganda. Uganda’s nominal Gross Domestic Product (GDP) rose to Shs226.34 trillion ($61.3 billion) in the financial year 2024/25, up from Shs203.71 trillion ($53.9 billion) the previous year, signaling continued recovery and resilience in the face of global economic uncertainty.
The figures were announced by the Permanent Secretary and Secretary to the Treasury, Ramathan Ggoobi, during the release of Quarter One expenditure for FY 2025/26.
Ggoobi attributed the strong performance to increased public and household spending, along with a surge in exports.
“Uganda’s economy grew by 6.9% in the third quarter of last financial year, driven by government spending, household consumption, and export performance. Real GDP growth is projected at 7% in FY 2025/26,” Ggoobi said.
He noted that despite ongoing global conflicts and trade disruptions, Uganda’s economy continues to demonstrate resilience. The Ugandan shilling appreciated against the US dollar in June, a sign of growing investor confidence and macroeconomic stability.
Export performance was a key contributor to the growth. During the third quarter of FY 2024/25, total export earnings rose to $2.6 billion, a 39.1% increase from USD 1.9 billion in the same quarter of FY 2023/24.
The boost was largely attributed to increased volumes and improved international prices for major commodities such as coffee and cocoa, which more than doubled during the period.
“The increase in exports is a reflection of Uganda’s growing competitiveness in the global market,” said Ggoobi, noting that annual export earnings had reached $6 billion by the end of the third quarter.
The positive export trajectory was matched by a rise in both domestic and foreign investment, which further fueled economic expansion. Ggoobi said the government remains committed to investing in infrastructure, industrialisation, and value addition, which are expected to sustain the momentum into FY 2025/26.
He reiterated the government’s real GDP growth target of 7% in the new fiscal year, in line with Uganda’s broader vision of achieving double-digit growth.
Key sectors to drive this ambition include agriculture, energy, manufacturing, and transport.
“The economy is on a steady recovery path, and we expect the benefits to trickle down to households and businesses through improved services, employment, and income,” Ggoobi said.
Uganda’s growth comes as many African economies continue to face headwinds from fluctuating commodity prices, inflation, and rising external debt.
However, Ggoobi emphasized that Uganda’s fiscal and monetary policies have played a stabilizing role, cushioning the country from external shocks.
The Ministry of Finance says it will continue to prioritize productive sectors and uphold macroeconomic stability to support inclusive and sustainable growth in the years ahead.
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