The government has tabled the Budget Framework Paper ahead of the 2025/2026 fiscal year. The paper was presented by Henry Musasizi, the Minister of State for Finance.
According to the Budget Framework Paper, the estimated budget for the next financial year stands at Shs 57.441 trillion, a reduction from the current Shs 72 trillion.
The Shs 72.136 trillion budget for 2024/2025 reflected an increase of Shs 14.050 trillion over the initial proposal of Shs 58 trillion, which was approved in May 2023.
Musasizi explained that the Shs 57.441 trillion budget will be financed through a combination of revenue collection, external borrowing, domestic debt refinancing (rollover), and project support through grants and loans.
“I also wish to inform the House that in the coming financial year, we do not intend to introduce new taxes. We will only propose bills to clean up the existing tax framework, but no new taxes will be introduced,” said Minister Musasizi.
He further revealed that Uganda’s economy has fully recovered from the impact of the COVID-19 pandemic, which had severely affected businesses.
“Uganda’s economy is on a strong recovery path, driven by investments in key economic sectors. There is significant optimism among businesses and investors, with inflation now contained at 2.9%, well below the policy target of 5%,” Musasizi added.
