Uganda has suffered a major financial setback in the health sector following the United States-US government’s decision to cut foreign aid, resulting in a loss of Shs604 billion in funding.
The affected programs include HIV/AIDS, malaria, tuberculosis, nutrition services, and the payment of salaries for health workers.
Minister of Health, Dr. Ruth Aceng, revealed the funding shortfall during a meeting with Parliament’s Health Committee to discuss the 2025/26 Ministerial Policy Statement for the health sector.
She urged Parliament to explore alternative sources of funding to ensure that Uganda’s healthcare system remains stable and self-reliant, reducing dependence on foreign aid.
“The implementation of the U.S. President’s executive order, effective 20th January 2025, resulted in cuts of foreign aid across the world. Uganda suffered a loss of over Shs604Bn following the withdrawal of US funding from key health programs,” Dr. Aceng stated.
To mitigate the impact, the Ministry of Health has taken steps to integrate affected services into routine healthcare programs at existing facilities.
Additionally, a cabinet paper has been prepared for discussion and action on the way forward. The Minister called on Parliament to mobilize resources to bridge the funding gap and support the long-term sustainability of Uganda’s health sector.
The funding cuts have raised concerns about the future of essential health programs, particularly those targeting infectious diseases such as HIV/AIDS, malaria, and tuberculosis.
The Ministry of Health is now looking for domestic solutions to maintain the progress made in combating these illnesses and ensuring adequate remuneration for healthcare workers.
