By: ThinkBusiness Africa
Uganda’s economy is projected to reach a historic valuation of USD 68.4 billion (Shs 249.4 trillion) this fiscal year, according to the latest year-end performance report from the Ministry of Finance, Planning, and Economic Development on Friday.
Dr. Ramathan Ggoobi, Uganda’s secretary to the treasury, confirms that the economy grew by 6.3% during the 2024/2025 financial period, solidifying Uganda’s position as one of the fastest-growing economies in the East African Community (EAC).
The Ministry’s report attributes this robust expansion to three primary pillars:
- The transition from subsistence to commercial farming has begun to pay dividends. Coffee and gold exports reached record highs in 2025, with coffee alone benefiting from favorable global prices and increased value-addition processing within Uganda.
- While commercial oil extraction is set for late 2026, the construction of the East African Crude Oil Pipeline (EACOP) and the Tilenga/Kingfisher projects has injected billions in Foreign Direct Investment (FDI), which surged to $3.5 billion this year, and portfolio inflows were $1.7 billion for the year ending October 2025.
- Tourism and ICT saw double-digit growth, with tourism receipts finally surpassing pre-pandemic levels to contribute USD 1.5 billion to the national coffers.
Dr. Ggoobi said for the year ending November 2025, Uganda export of goods reached USD 12.79 billion.
“Consequently, Uganda registered a Balance of Payment (BOP) Surplus of USD 2.37 billion for the year ending October 2025 from a deficit of USD 683 million a year ago. This is the highest in the last 15-years. The BOP surplus is also on account of an all time high financial account surplus of USD 5.6 billion driven by good performance of FDI and portfolio inflows,” Dr. Ggoobi said.
Projections for the 2025/26 cycle are even more aggressive. The Ministry expects growth to accelerate to 7.0% or higher as the country enters the “pre-oil production” phase. However, the government warned that maintaining this momentum will require strict debt management and continued investment in the Parish Development Model (PDM) to ensure the wealth reaches rural households.
