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UGANDA BUDGET 2024/2025
Presented and edited by Joseph Kizza
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6:10 PM
It's a wrap!
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6:08 PM
Back on the mic, the Speaker of Parliament, Anita Among, thanks the President for fulfilling his constitutional obligation of delivering "a successful budget speech".
"As legislature, we reiterate our commitment to apply its mandate in realization of a progressive intention for the country and its citizens and we still pledge that whenever we are needed, we will be available to do whatever we are required to do.
"You have our unwavering support as legislature."
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6:06 PM
The President concludes his remarks by thanking the finance minister for the budget presentation, as well as the Speaker for convening today's parliamentary sitting.
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6:05 PM
On borrowing
"I don't believe in borrowing. I believe in cutting our coat according to our cloth, and that is what we should be doing," says Museveni.
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6:02 PM
Museveni on corruption
The President says murder, rape and corruption "must be fully accounted for and promptly," saying that "we are going to stamp out corruption".
"These corrupt people insult our heroes.
"We are going to crush them."
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5:55 PM
'Wake up and work!'
The President reiterates finance minister Kasaija's earlier call.
"Ugandans, wake up! Work. The work, the wealth, the prosperity is in the four sectors: commercial agriculture, artisanship and manufacturing, services and ICT. The capital to help you go in any of these sectors is available: UDB, PDM, Emyooga, etc. If the money which is there is not enough we can add more. But start," says Museveni.
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5:50 PM
"Once we develop our full capacity, Uganda will not have enough workers," says the President in reference to the country's wealth creation potential.
"But as of now, we already have 922,000 people employed in manufacturing.
"The services [hotels, etc] are now employing five million people."
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5:43 PM
'Oil money not for consumption'
President Museveni says that when the petroleum "comes online, Uganda's economy will be a totally different one".
"In a short while to come, petroleum will start coming from the ground. This will enable the government to earn an extra $2 billion (sh7.46 trillion) per year assuming today's prices.
"This oil money will never be used for consumption," says Museveni. "It will only be used for infrastructure and science development. Therefore, strategic interventions like the railway will be funded by us directly."
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5:40 PM
'Standby irrigation'
"The other strategic intervention we need to stabilize our economy forever is irrigation for agriculture," says the President.
"We are lucky we have rains, but sometimes the rains delay or we have less rainfall. Then you get a crisis: lack of food, So in order to remove that occassional disturbance, we must have supplementary agriculture arrangements."
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5:37 PM
Museveni says the railway will save the roads of vehicular stress and it will cause less pollution.
"We are moving forward on the issue of introducing electric cars and electric boda bodas."
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5:36 PM
Railway 'our next big target'
President Museveni says the railway transport — especially for goods or cargo — "is our next big target".
"We must reactivate rail and water transport for cargo. This is what is missing now," he says.
"Electricity is being worked on, money for borrowing for production ...if you are a wealth creator, we have money for you, the cost of labour is still low. But how about the cost of transport [of goods/cargo]?"
"We have repaired the old metre gauge from Malaba to Kampala and also from Tororo ro Gulu-Pakwach. We are going to start building the Standard Gauge Railway from Malaba to Kampala and from Kampala to Mpondwe to Kasese. Later, we are going to expand the SGR to Gulu-Nimule.
"The railway will tranform our capacity to create wealth," says the President.
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5:27 PM
'Private sector main engine of growth'
Museveni says Uganda will continue to expanding the generation and transmission of electricity.
"The private sector is the main engine of growth and transformation," he says.
"We need to be competitive in the products and services we produce. They must be cheaper and of better quality than those of other countries."
He says to achieve this, "we need cheap electricity as well as low-cost money".
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5:20 PM
BREAKING President Museveni delivers remarks
After his delegate (finance minister) steps off the podium, President Yoweri Museveni is invited by the Speaker of Parliament to deliver his comments and he starts off by reminding Ugandans about the "three historical missions".
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5:17 PM
Kasaija concludes budget speech
Uganda's finance minister wraps up his speech by urging all Ugandans to embrace the President’s message.
"Let every adult Ugandan engage in producing a good or a service for sale. That way, we shall be able to create a bigger pie for the greater good of our country. I dedicate this budget to all the wealth creators."
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5:13 PM
Public debt
Minister Kasaija says that at the end of December 2023, Uganda’s total public debt stood at sh93.38 trillion, equivalent to $24.69 billion.
Of this amount, external debt was sh55.37 trillion equivalent to $14.64 billion while domestic debt was sh38.01 trillion equivalent to $10.05 billion.
The public debt is projected at sh 97.638 trillion, equivalent to sh25.716 billion by June 30, 2024.
In nominal terms, Uganda’s public debt to GDP was estimated at 46.9% in June 2023, and is projected to end at 47.9 percent this financial year ending June 2024.
This is below the 52.4% threshold provided for in the Charter for Fiscal Responsibility for the financial year 2023/24, and less than 50% of GDP Government policy target for debt sustainability.
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5:11 PM
'We must reduce reliance on borrowing'
"I call upon all of you colleagues and fellow Ugandans to render URA and other revenue-collecting institutions the necessary support to mobilize the revenue required to meet the targets for FY2024/25," rallies Kasaija.
"We must raise more revenue and reduce reliance on borrowing and external grants."
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5:08 PM
Tax measures for 2024/25
Minister Kasaija goes on to touch on the "modest changes in taxes" that he says were approved by Parliament to raise more revenue and/or improve the budget environment.
Excise duty
▪️ Imposition of excise duty on powdered beer at Shs 1,000 per kilogram
▪️ Imposition of excise duty at a rate of 0.5 percent of the value of withdrawals of money from other platforms other than mobile money. This does not apply to withdrawals from agent banking or banking halls.
▪️ Increase excise duty on petrol by Shs 100 per litre.
▪️ Increase excise duty on diesel by Shs 100 per litre.
▪️ Increase excise duty on imported wines from 80 percent or Shs 8,000 per litre to 100 percent or Shs 10,000 whichever is higher.
▪️ Imposition of excise duty on adhesives, grout, white cement and lime. The objective is to align the tax treatment of these products with that of cement.
Value Added Tax (VAT)
Under VAT, Kasaija says the supply of electric motorcycles, vehicles manufactured or fabricated in Uganda and their respective charging stations and batteries for electric motorbikes, charging stations and related services are exempt from tax.
He says the objective is to facilitate the growth of e-mobility and affordability of electric cars and motorcycles and protect the environment.
Starting next financial year, the provision of taxable goods/services by an employer to an employee will attract VAT.
Income tax
Under the Income Tax Act, Kasaija says the Government provided incentives for the following:
▪️ We have exempted investors from tax capital gains arising from the sale of holdings in private equity or venture capital funds regulated by the Capital Markets Authority. The intention is to incentivise private equity or venture capital investments in Uganda
▪️ We have provided tax holidays on the income of a person who manufactures and fabricates electric motor vehicles, electric motorcycles, electric batteries and electric vehicle charging equipment, as well as the income of a person who develops, establishes or operates a medical facility or hospital facility
▪️ We have extended the waiver of penalties and interest on arrears outstanding by June 2023. This waiver will apply when the taxpayer pays between July and December 2024
▪️ We have also introduced a 10 percent withholding tax on commission paid to the banking agents and fintech agents (payment service providers).
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5:00 PM
Domestic revenue
The finance minister talks about domestic revenue mobilization.
"To collect the projected revenue for FY 2024/25 of sh31.982 trillion, a mix of modest tax policy measures were proposed and approved by Cabinet and Parliament. These will be complemented by enhanced tax administration by Uganda Revenue Authority (URA) and rationalization of tax exemptions in line with the Domestic Revenue Mobilization Strategy," says Kasaija.
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4:57 PM
Financing and expenditure
The finance minister goes on to detail the total resource envelope for the 2024/2025 financial year which amounts to sh72,136,504253,466 trillion, of which the total revenue is as below:
▪️ Domestic revenues amount to Shs 31.982 trillion, of which Shs 29.366 trillion will be tax revenue and sh2.616 trillion will be non-nax revenue
▪️ Budget Support - sh1.394 trillion
▪️ Domestic Borrowing - sh8.968 trillion
▪️ Treasury bonds for settlement of Government outstanding obligations to Bank of Uganda as at 30th June 2024 - sh7.779 trillion
▪️ Domestic Refinancing of maturing domestic debt - sh12.022 trillion
▪️ Petroleum Fund drawdown - sh115.4 billion
▪️ Project support (external financing) - sh9.583 trillion
▪️ Local Government revenue collections - sh293.9 billion
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4:53 PM
In his delivery, Kasaija says the finance ministry, in collaboration with the National Planning Authority, has developed a strategy for growing Uganda’s economy tenfold.
"The target is to expand the size of the economy from about $50 billion last year to $500 billion by 2040," he says.
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4:51 PM
Managing natural disasters
Minister Kasaija says that during FY2023/24, Government supported 53,930 households with relief food and non-food items such across the country.
In 2024/2025, he has provided sh18.1 billion plus a Contingency Fund of sh146.26 billion to support disaster response and management.
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4:48 PM
Security and rule of law
The finance mnister says Government will continue to prioritize peace, security and the rule of law.
"Next financial year, I have provided a total of sh9.588 trillion, of which sh481.4 billion is for the administration of justice to ensure that Uganda remains a peaceful and accountable country with law-abiding citizens."
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4:45 PM
Industrial devt & manufacturing
Kasaija says Government is continuing to develop industrial parks "to provide investors with the required infrastructure and utilities".
He says that so far, over sh3.5 billion has been invested in these parks in the form of foreign direct investment and that over 266,812 direct and indirect jobs have so far been created.
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4:43 PM
Energy development
The finance minister says Uganda's power generation capacity has increased by 600MW from 1,378.7MW to 1,978.1MW following the connection of Karuma Hydropower Dam to the national grid.
The electricity transmission capacity has now increased to 4,218 km of high voltage from 3,500 km in 2020, he adds.
In the next financial year, sh982.56 billion has been provided to undertake the following:
▪️ Increased access to electricity through grid expansion and connectivity projects;
▪️ More investment in the construction of transmission and distribution networks targeting load centres to promote value addition;
▪️ Improving the quality of power supply through the systematic operation and maintenance of existing power infrastructure;
▪️ Increasing access to clean energy by supporting clean cooking technologies;
▪️ Development of five micro-grid power plants using wind and solar hybrids in Karamoja; and
▪️ Preparatory activities for the 8,400MW Nuclear Power Plant in Buyende District.
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4:40 PM
ICT
Under ICT, government has allocated sh246 billion to the sector for the following interventions:
▪️ Further expansion of internet connectivity and digital infrastructure across the country
▪️ Continuing the rollout of digital services across Government to improve efficiency of service delivery, transparency and accountability
▪️ Leveraging Business Process Outsourcing (BPO) and ICT to create employment opportunities for the young people
▪️ Digital skilling to increase adoption of the digital services
▪️ Cyber security, data protection and privacy.
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4:37 PM
Transport sector
Under the integrated transport infrastructure services, Kasaija says a total of 205 km was added to the paved network during FY2023/24, increasing the total paved national road network to 6,338 km, representing over 30% of the national road network.
He says thay during the financial year 2024/25, "more focus will be put on maintenance of the roads we have built, building of a few new strategic roads, accelerated rehabilitation of the Metre Gauge Railway, and commencement of construction of the Standard Gauge Railway".
"I have provided a total of Shs. 4.989 trillion for that purpose."
Attention will be on roads and bridges, development of water ferries and air transport.
Kasaija says sh162 billion has been provided for completion and operationalisation of Kabalega International Airport in Hoima.
He adds that and plans are underway to acquire at least two mid-range aircraft and two cargo aircraft to facilitate exports in the medium term.
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4:30 PM
Oil and gas
"Uganda is progressing steadily towards the first oil in FY 2025/26," says finance minister Kasaija.
"In a bid to ensure security of supply of petroleum products, Uganda National Oil Company Ltd (UNOC) in partnership with the private sector will commence the importation of all our petroleum products beginning in the first week of July 2024."
Sh920.86 billion has been provided for the oil and gas sector to prioritise the following:
▪️ Development of the East African Crude Oil Pipeline (EACOP) hub in Tanga
▪️ Continued construction of the EACOP including the necessary infrastructure to facilitate adherence to high quality environmental standards
▪️ Procurement and dissemination of the 57,000 Liquefied Petroleum Gas (LPG) cylinders to promote clean cooking
▪️ Establishment of the Petroleum Geoscience Laboratory
▪️ Equity contribution for the Refinery Project
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4:25 PM
Mineral development
On mineral development, sh41.55 billion has been allocated to undertake these interventions for further mineral development:
▪️ Fast-tracking quantification and market studies for all minerals for the purpose of investor promotion;
▪️ Operationalising the National Mining Company;
▪️ Further reviewing and strengthening the fiscal regime for minerals
▪️ Developing the e-government mineral production system and data bank for mineral statistics
▪️ Commencing construction of the Busia and Moroto beneficiation centres; and strengthening the Ntungamo and Fort Portal centres
▪️ Facilitating private sector participation in exploration, mining and value addition to minerals
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4:22 PM
Uganda's space programme
Minister Kasaija says government has provided sh3.3 billion for Space Programme activities next financial year.
He says Government has partially refurbished the headquarters of the Space Programme, the Mpoma Satellite Earth Station to enhance weather prediction, and monitoring of landslides and the environment.
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4:15 PM
Adding value to coffee
The Ugandan government has partnered with the private sector to fast-track local value addition to coffee.
Kasaija says sh75billion has been provided next financial year to improve coffee value chain development.
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4:13 PM
Science, technology and innovation
We learn that Government has earmarked science, technology, and innovation (STI) as a key catalyst for the "qualitative leap to achieve tenfold growth of our economy".
Government will support Kiira Motors with sh32.5 billion to complete the plant and access working capital.
In 2024/2025, sh50 billion has been provided to complete the capitalization of the Presidential Initiative on Banana Industrial Development to transition into a self-sustaining business.
Government plans to continue supporting the pathogen economy, which finance minister Kasaija says has made tremendous progress in developing vaccines, therapeutics, diagnostics and other healthcare tools for Uganda's public health security and import substitution.
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4:10 PM
More on tourism
Minister Kasaija says:
❝ Madam Speaker, apart from the sh287.6 billion that I have directly provided to the tourism sector, an additional sh1.629 trillion has been provided for several critical interventions associated with tourism including support to Uganda Wildlife Authority, construction of tourism roads, road rehabilitation and upgrade under Kampala Capital City Authority, support to AFCON‘27 and completion of key stadia, strengthening security, law and order in our tourism destinations, and extension of the internet to tourism destinations, among others.
In particular, I have provided an additional sh55 billion to Uganda’s missions abroad to support the Uganda Tourism Board (UTB) to market Uganda to potential tourists, market our exports and attract more investors.
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4:07 PM
Tourism
According to Kasaija, in the year 2023, international tourist arrivals increased by 56 percent to 1.274 million tourists compared to 814,085 arrivals in 2022 and the peak of 1.52 million in 2019.
The international tourism receipts reached $1.03 billion in 2023.
"Tourism has a high return on investment. In FY2024/25, I have provided sh289.6 billion to the tourism development programmes."
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4:04 PM
Agro-industrialization
"Government is committed to commercialising agriculture to enhance production and productivity and improve competitiveness of agricultural products in both regional and international markets," says minister Kasaija.
"I have allocated a total of sh1.878 trillion towards deepening agro-industrialization with increased focus on commercialisation and value addition in agriculture."
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4:00 PM
Wealth creation initiatives
Emyooga:
"To-date Government has provided a total of sh480 billion through Emyooga. Out of this, a total of sh268 billion has been disbursed to 6,810 Emyooga SACCOs," says the finance minister.
"The beneficiaries have been able to save sh85 billion to further grow their SACCO funds. As a result, 607,636 individuals across the country have benefitted from the Emyooga funds, and sh80.28 billion has been recovered from the first-round beneficiaries and it is being advanced to others."
An additional sh100 billion has been provided under Emyooga to support more Ugandans to create wealth and boost their incomes.
Others
In 2024/2025, the Government will continue to capitalise the Agricultural Credit Facility with an additional sh30 billion.
Government will further capitalize Uganda Development Bank with another sh55 billion. It is understood that Government is also in the process of acquiring for UDB credit lines worth sh1.083 trillion to lend more to wealth creators.
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3:57 PM
Wealth creation initiatives
Parish Development Model:
Kasaija says "the PDM has now been fully rolled out" and that a total of sh2.4 trillion has so far been provided.
"The money is being transferred directly to the beneficiaries in 10,585 parishes across the country.
"The introduction of the WENDI application by the Government-owned Post Bank and its partners, has saved beneficiaries the inconvenience of travelling long distances to open up bank accounts or withdraw their money. It has also enhanced transparency by providing full visibility and traceability for all the funds up to last-mile beneficiary."
The total of 1.165 million households that have so far received PDM funds have invested in intensive agriculture projects that include poultry, dairy, coffee, piggery, fish, fruits and food crops," says Kasaija.
"In the next few days, I will release the remaining sh529 billion for this financial year directly into the accounts of the PDM SACCOs. Each PDM SACCO will continue to receive sh100 million."
The finance minister says sh1.059 trillion has been provided next financial year for an additional sh100 million per parish to benefit more households.
"Government will also ensure effective implementation of Pillar One which includes input certification, provision of extension services, storage, value addition, and market linkages," he says.
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3:52 PM
Health
Kasaija says 2.946 trillion has been provided next financial year for the health sector to "further enhance the health of Ugandans".
This will cover, among other interventions, the provision of essential medicines, improvement of the welfare of health workers, construction and rehabilitation of more health infrastructure and digitisation of the national health system.
Education
The government has allocated sh2.497 trillion to the education sector to further improve the quality of education.
Under this sector, the priorities for 2024/2025 include supporting the new curriculum for S1-S4 students and operationalisation of all the 111 seed secondary schools as well as completing the 27 seed secondary schools under the UGIFT Programme.
Social protection
The government has provided an additional sh355.79 billion for social protection next financial year.
"Government will continue to support the welfare of the elderly to keep them healthy and productive to their communities," says Kasaija.
Water, sanitation and environmental protection
"As a result of Government intervention, more Ugandans now have access to safe clean water," says the finance minister.
"Coverage in rural areas is now estimated at 67%, and 73% in urban areas. Out of 71,225 villages, 56,617 villages have been served with at least one safe water source."
Kasaija says that in 2024/25, clean water coverage will increase to 70% and 85% in rural and urban areas, respectively.
On protection of the environment and reverse the effects of climate change, Government plans to undertake the restoration of 42,450 hectares of degraded wetlands along the Awoja, Kandekye-Ruhorobero, Nchwera, Chambura, Kiruruma, Naigombwa, Kibimba, Tochi, Aswa, Sezibwa, Mayanja, Muzizi, Mpanga and Lumbuye water systems.
The government, the minister says, will also demarcate a 750-kilometre boundary with concrete pillars along the following wetlands; Kibimba, Tochi, Sezibwa, Mayanja, Muzizi, Awoja, Mpologoma, Ishasha, Kandekye-Ruhorobero, Nchwera, Chambura, Kiruruma and Naigombwa.
"A total of 15 million seedlings of assorted tree species shall be procured and distributed to individual farmers in several districts, as well as to refugee-hosting communities in the Albertine region and in West Nile, as well as individual farmers," adds Kasaija.
Sh516.78 billion has been provided next financial year for climate change mitigation, natural resources, environment and water resources management.
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3:43 PM
A total of sh10.216 trillion has been allocated for prioritisation of healthcare, education, water, sanitation and hygiene, which is 27% of the national budget.
The minister goes on to highlight some of the achievements under the above priorities.
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3:41 PM
Frugality in govt expenditure
Crucially, the minister says that to mitigate risks such as climate change, regional and global geopolitical tensions, high interest rates and fluctuations in global commodity prices, the government plans to implement climate change adaptation measures, explore cheaper sources of financing, including climate finance, and ensure frugality in Government expenditure.
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3:37 PM
Drivers of economic expansion
Here is what will drive Uganda's growth in 2024/2025:
▪️ Increased oil and gas activities
▪️ Growth in exports
▪️ Increase in tourism activities
▪️ Agro-industrialisation and light manufacturing
▪️ Private investment growth
▪️ Continued investment in industrial parks, construction and maintenance of roads and bridges
▪️ Rehabilitation of the Metre Gauge Railway and commencement of the Standard Gauge Railway, expansion of ICT infrastructure, and provision of reliable and affordable electricity.
Additionally, Kasaija says Uganda’s growth strategy for next financial year and in the medium term is anchored on four key growth drivers:
▪️ Agro-industrialisation
▪️ Tourism development
▪️ Mineral development
▪️ Science, technology and innovation
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3:34 PM
Economic outlook 'positive'
Finance minister Kasaija says Uganda’s economic outlook is "positive and optimistic".
"The economy has remained resilient and has fully recovered from a myriad of internal and external shocks.
"Next financial year, the economy is projected to get back to Uganda’s steady-state growth potential of between 6.4 and 7%, and double digit over the next five years."
The minister says it is projected that in 2024/25, Uganda’s GDP will further expand to sh225.5 trillion ($60 billion).
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3:33 PM
The projected domestic revenue outturn for FY2023/24 is sh27.725 trillion against the target of sh29.672 trillion, leading to a revenue shortfall of over sh1.9 trillion.
"The Uganda Revenue Authority is working hard in the remaining days to reduce this shortfall," says Kasaija.
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3:31 PM
On employment
We learn from the minister that the number of workers subscribing to the various pension schemes in Uganda increased to more than 3.14 million members in FY2023/24, an increase of 4.2% compared to 3.01 million members in FY2022/23.
He says the direct beneficiaries of the presidential initiative on jobs and wealth Creation (Emyooga) reached 2,237,402 in December 2023.
Kasaija says that so far, 1.165 million households have received PDM funds worth sh1.126 trillion as of May, 2024, and estimated to create about 2.5 million jobs.
A total of 23,083 youth projects have benefitted 263,897 youths under the Youth Livelihood Programme, in areas of agriculture, trade, services and industry, which has created over 1,250,000 indirect jobs.
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3:26 PM
Tourism revenues increased
Kasaija tells Parliament that in the financial year ending, Uganda imported goods worth $12.9 billion compared to $10.3 billion in the year ending April 2023.
He also says the inflow of Foreign Direct Investment (FDI) to Uganda amounted to $2.46 billion in FY2022/23 and by December 2023/24, additional FDI amounting to $1.27 billion had been attracted.
Remittances by Ugandans living and working abroad increased to $1.43 billion in calendar year 2023 from $1.3 billion in 2022.
Tourism revenues increased to $1.28 billion in calendar year 2023 from $1.07 billion in calendar year 2022.
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3:24 PM
Uganda's finance minister says that private sector credit increased to sh21.54 trillion in April 2024 from sh20.47 trillion in April 2023, which is an increase of 5.2%.
On exchange rate, he says the value of the Uganda shilling has remained "largely stable" against key global currencies.
Kasaija says government’s export promotion strategy has continued to produce positive results.
"During the year ending April 2024, Uganda’s exports increased by $2.534 billion to $7.471 billion compared to $4.938 billion in April 2023, representing a 34% growth.
"This increase was largely driven by increased exports of gold (75.7%), coffee (21.9%), oil re-exports (21.8%), sim-sim (20.2%), tobacco (10.3%), cotton (6.9%), and light manufactured products (4.9%).
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3:20 PM
On interest rates, Kasaija says:
"The commercial bank lending interest rates for shilling-denominated credit reduced to 17.7% in April 2024 compared to 19.3% in April 2023. Interest rates in the domestic debt market have remained broadly stable averaging 11.2 percent on the one-year Government Treasury Bills."
Among the things government plans to do to further reduce lending rates is to continue providng long-term affordable capital through various interventions.
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3:19 PM
Uganda tames inflation
In his report, the finance minister also says that in March this year, Uganda met the requirements to graduate from the category of least developed countries (LDCs).
The East African nation, he adds, also moved from the category of low human development to medium human development.
On inflation, Kasaija says Uganda "has contained inflation".
He says that at an average rate of 3.2% in the 12 months to May 2024, Uganda’s inflation is one of the lowest in the region.
Annual headline inflation has reduced from the peak of 10.7% in October 2022 to 3.6% last month.
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3:15 PM
Kasaija says the improved performance of the economy is on account of higher growth in all sectors, adding that services, agriculture, and industry, are estimated to grow at 6.6%, 5.1%, and 5.8%, respectively, in the 2023/24 financial year.
We are told that growth in industry was mainly driven by manufacturing, construction and mining, while increased production of food and cash crops as well as livestock supported growth in the agriculture sector.
The minister says agriculture’s performance is estimated to have expanded at 5.1% this year compared to 4.5% in FY2022/23.
This exapansion is attributed to "streamlined implementation of the Parish Development Model and fairly good weather conditions".
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3:12 PM
'Economy fully recovered'
On the recent economic performance, the finance minister reports that "Uganda’s economy has fully recovered from various internal and external shocks that impacted performance in the past four years".
The Gross Domestic Product (GDP), he adds, is projected to grow by 6% this financial year 2023/24 compared to 5.3% in FY2022/23. He compares it with Sub-Saharan Africa’s average of 3.8%, and the global average of 2.9% projected for the year 2024.
We also learn that the size of Uganda's economy is now estimated at sh202 trillion ($53.3 billion) up from sh184.3 trillion ($48.8 billion) in nominal terms.
"If Ugandans agreed to share this GDP equally, each citizen would enjoy a GDP per capita of $1,146 compared to $1,081 registered last financial year 2022/23," says Kasaija.
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3:09 PM
Minister Kasaija says that in his speech today, he will;
▪️ Account to Parliament and the people of Uganda for the commitments that Government made for the FY2023/2024
▪️ Provide an outlook for the medium-term economic performance
▪️ Summarise the medium-term priorities and strategies for growing the economy tenfold starting with FY 2024/2025
▪️ Present the financing strategy for the FY 2024/25 Budget
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3:05 PM
'Uganda best investment destination'
Kasaija is keen to point out that "Uganda is now the best investment destination in Africa", citing the 2024 Annual Investment Meeting (AIM) held in Abu Dhabi (UAE).
"Madam Speaker, His Excellency the President declared the 2021–2026 political term, a 'Kisanja for socio-economic transformation'. He guided that Government and the entire country should focus on creating jobs, wealth, and increasing household incomes.
This budget is the fifth and last to implement the Third National Development Plan (NDPIII).
Kasaija says it will also "set the foundation for implementing the Government’s strategy for expanding the size of our GDP from about $50 billion in financial year 2022/23 to $500 billion by the year 2040.
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3:05 PM
BREAKING Kasaija begins budget speech
Finance minister Matia Kasaija rises to present the national budget.
In his introduction, he thanks President Yoweri Museveni for "once again demonstrating a vote of confidence in me by extending my mandate as the minister responsible for Finance, Planning and Economic Development, together with my entire political team at the Ministry".
He is also keen to congratulate Museveni for successfully hosting the 19th Summit of the Non-Aligned Movement (NAM) and the Third South Summit of the G77+China in January this year, as well as assuming the chairmanship of both groups.
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2:59 PM
Budget discussion at Vision Group
After her comments, the Speaker invites finance minister Matia Kasaija to deliver the budget speech on behalf of President Museveni.
After him, the President will deliver his remarks.
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2:56 PM
Budget discussion at Vision Group
📍 Vision Group head office
Meanwhile, as the parliamentary sitting continues at Kololo, a budget discussion is happening not far away inside the CEO boardroom at the head office of multimedia company Vision Group.
The discussion, chaired by Vision Group chief executive Don Wanyama, is featuring various stakeholders.
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2:49 PM
Speaker Among says the national budget underwent a "rigorous" consultative process involving various stakeholders.
On May 16 this year, Parliament approved Uganda's biggest budget ever (sh72.136 trillion) for FY 2024/2025 following the passing of the Appropriations Bill 2024.
"That's why we are here today," says the Speaker, who thanks his fellow legislators (including ministers) for working to beat the legal and constitutional timelines.
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2:45 PM
The Speaker delivers her introductory remarks, welcoming everyone for this sitting, which is being held exactly a week after the State of the Nation address by President Yoweri Museveni — same venue.
Among thanks the President for delivering a "compelling" address on the state of the nation.
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2:41 PM
Parliamentary sitting begins
This is the second sitting of the first meeting of the fourth session of the 11th Parliament.
Speaker Anita Among proclaims that the House is convening today to receive the President's budget speech and she declares that Kololo Independence Grounds is the venue for today's sitting.
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2:28 PM
BREAKING Museveni arrives at Kololo
President Yoweri Museveni, accompanied by the First Lady and Minister of Education and Sports, has arrived at Kololo Independence Grounds to officiate at today's special parliamentary sitting.
He is then led through a guard of honour all the way to a tent to sign the visitors' book.
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2:14 PM
📸 In pictures
The Vice-President, Jessica Alupo (right) is at Kololo...
Here, Alupo (left) interacts with Prime Minister Robinah Nabbanja (right) and Third Deputy Prime Minister Lukia Isanga Nakadama.
Chief Justice Alfonse Chigamoy Owiny-Dollo (right) and his deputy, Richard Buteera, arrive at Kololo...
Deputy Speaker of Parliament Thomas Tayebwa...
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1:57 PM
Key budget priorities — Ggoobi
During the launch of the National Budget month for financial year 2024/2025, the Secretary to Uganda's Treasury, Ramathan Ggoobi, underlined the key priorities of the 2024/25 national budget:
▪️ Investing in people of Uganda through human capital development
▪️ Peace and security
▪️ Construction of standard gauge railway & metre gauge railway
▪️ Investing in wealth creation (Emyooga, PDM, Agricultural Credit Facility etc)
▪️ Maintaining existing infrastructure
▪️ Science, technology and innovation
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1:50 PM
Just about time
Not long from now, today's special parliamentary sitting will get under way at Kololo Independence Grounds.
The Speaker of Parliament, Anita Among, seen here having a chat with finance minister Matia Kasaija, is already at Kololo. Her deputy, Thomas Tayebwa, is also present — as are several other political leaders, religious and cultural leaders, as well as diplomatic teams.
Justice minister and Democratic Party (DP) leader Norbert Mao arrives looking sharp...
Works state minister Fred Byamukama...
Interactions...
Settled in....
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1:25 PM
Arrivals at Kololo
We have our attention trained on the reading of Uganda's budget for the financial year 2024/2025. This will be unfolding at Kololo Independence Grounds in Uganda's capital Kampala.
The venue is filling up by the minute as guests arrive to settle in. One of them is Police chief IGP Abbas Byakagaba.
Uganda Prisons Services boss Dr. Johnson Byabashaija has also touched base.
Ruling party NRM secretary general Richard Todwong is also here.
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1:10 PM
Budget theme
The 2024/2025 national budget has retained the theme of the previous budget, which is themed around fully monetizing Uganda’s economy through commercial agriculture, industrialization, expanding and broadening services, digital transformation and market access.
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1:04 PM
Article 155 (1)
It all started when finance minister Matia Kasaija prepared and presented to Parliament on behalf of President Yoweri Museveni estimates of revenue and expenditure (national budget) for the 2024/2025 financial year.
He did so in fulfillment of Article 155(1) of Uganda's constitution.
On May 16 this year, Parliament approved Uganda's biggest budget ever (sh72.136 trillion) for FY 2024/2025 following the passing of the Appropriations Bill 2024.
In his statement today, Kasaija is expected to address the following:
▪️ The performance of the economy during this financial year that we are wrapping up (2023/2024) as well as Uganda's future economic prospects
▪️ The accountability for the FY 2023/2024 budget
▪️ Fiscal year 2024/2025 budget priority interventions
▪️ The financing strategy for the 2024/2025 budget.
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1:00 PM
It's budget reading day
Hello everyone and welcome to our live text commentary of today's national budget reading.
This afternoon, Uganda's Parliament will sit at Kololo Independence Grounds in Kampala to receive the address of President Yoweri Museveni on the sh72.136 trillion national budget for the financial year 2024/2025. This will be the second sitting of the first meeting of the fourth session of the 11th Parliament.
As it has always been the case, finance minister Matia Kasaija is expected to deliver the budget speech.
And, ready to soak up national attention, the key man with the briefcase has kept very good time.
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