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There is also an ambitious target to increase the annual foreign direct investment (FDI) inflows from $3.01 billion (Shs10.4 trillion) as at April 2024 (driven by investments in oil and gas) to $50 billion (Shs174.2 trillion) by 2040.

A report by the Finance ministry has revealed that in the Financial Year (FY) 2025/2026, and over the span of the National Development Plan (NDP) IV period, the country’s macroeconomic outlook will be driven by reducing poverty from the current 20.3 percent to 14 percent by FY2029/2030.

The report shows that attaining double-digit growth to double the current gross domestic product (GDP) by FY2029/2030 and achieving an average of 884,962 stock of new jobs annually over the NDP IV period will be key goals.

“Maintaining price stability marked by single-digit inflation within the target of five percent and pursuing prudent fiscal policy with the aim of supporting macroeconomic stability, which is consistent with regional and domestic fiscal policy rules, specifically ensuring that debt-to-GDP remains below 50 percent in present value terms and gradually reducing the fiscal deficit to 3.0 percent by FY 2029/2030,” the report states.

It further discloses plans to aggressively implement strategies to increase the revenue-to-GDP ratio to the target of about 20 percent over the NDP IV period.

Furthermore, the ten-fold Growth Strategy will be guided by shifting the economic growth path to a higher trajectory, to a real average rate of at least 8.3 percent per annum over a 15-year period to 2040, with double-digit growth at the onset of commercial production of oil and gas.

Others are more than doubling the size of the economy or GDP every five years for the next 15 years and raising per capita GDP six-fold from the current $1,154 (Shs4 million) to about $7,000 (Shs24.3 million) in 2040.

Doubling the level of savings in the economy from 20 percent of GDP to 40 percent of GDP in 2040 to match the required level of investment.

Raising the share of exports in GDP from 15 percent in FY2022/2023 to 50 percent, and the share of manufactured products in merchandise exports from 13 percent to 50 percent; and medium-high-tech exports from 21 percent to 50 percent by 2040.

There is also an ambitious target to increase the annual foreign direct investment (FDI) inflows from $3.01 billion (Shs10.4 trillion) as at April 2024 (driven by investments in oil and gas) to $50 billion (Shs174.2 trillion) by 2040.

Achieving the objectives of the NDP IV and the ten-fold Growth Strategy will require, says the report, “a radical change in the way of doing business by cleaning up government systems, which require amendment of certain existing laws and policies as well as their enforcement to ensure we achieve the set targets.”

It added: “Greening up, which involves preserving and growing our environment as well as mitigating and adapting to climate change effects and linking up which entails investing in cross-border value chains and regional integration as well as intermodal and international water transport systems.”

Mr Ramathan Ggoobi, the Secretary to the Treasury, who is also the Finance ministry’s top accounting officer, says skilling up will involve training and skilling Ugandans to leverage the modern ICT and digital transformation systems and teaming up, which requires all systems of government working as a whole to guarantee timely delivery of services.

“Others are e-government (e-commerce), Human Capital Management (HCM), Integrated Financial Management System (IFMS), Program Budgeting System (PBS), Electronic Government Procurement (e-GP), Health Management Information System (HMIS), and Education Management Information System (EMIS),” he said.

Uganda Unveils Ambitious Economic Plan to Transform Economy by 2040

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