Uganda’s annual exports jumped 16 percent to US$3,121.9 million in May this year, up from US$2,690.2 million realized in May 2016, the Bank of Uganda has said in its latest State of the Uganda Economy update.
On the other hand, the BoU report notes that the country had annual imports of goods decline by 1.8 percent from US$4,611.2 million to US$4,527.4 million, over the same period.
Further, the report attributes the increase export receipts to an increase in both coffee and non-coffee export receipts.
“Total non-coffee export (excluding non-monetary gold) and net exports of non-monetary gold receipts increased by 3.9 per cent and 97.3 per cent to US$1,872 million and US$79.1 million, respectively,” the report notes.
According to the report, receipts from coffee exports increased by 29.5 percent to US$467.4 million, from US$ 360.8 million, an increase attributed to the volume and price of the coffee exported. The country increased coffee exports by 395.2 (60kg) bags to 4,023.9 (60kg) bags, while the price increased to US$1.92 from US$1.65 per kg.
However, the report shows that during the twelve months to May 2017, the country’s total import bill decreased by 1.8 per cent to US$4,527.3 million, largely on account of a decline in imports by government.
“Government expenditure on import of goods decreased by 43.0 per cent to US$280.2 million from US$491.9 million in the twelve months to May 2016,” it says, showing that expenditure on private sector imports of goods (excluding non-monetary gold) decreased only marginally by 0.3 per cent to US$3,913.1 million, driven by decreased expenditure on non-oil imports.
“Non-oil import expenditure decreased by 1.5 per cent to US$3,217.6 million. Oil import expenditure increased by 5.9 per cent to US$695.0 million,” it shows.
According to the BoU report, the activities above helped Uganda’s current account balance (CAB) to improve by 29.8per cent to US$1,094.7 million in May 2017 from US$1,559.9 million it achieved in May 2016.
“Trade balance improved by 26.8 per cent from a deficit of US$1,921 million to US$1,405.4 million in the same period,” it adds.