The Ministry of Finance, Planning and Economic Development has released Shs23.03 trillion for the first quarter of the 2026/2027 financial year, representing 27 per cent of the approved national budget, as Government moves to accelerate economic growth, create jobs and improve service delivery.
The Quarter One expenditure releases have been aligned with implementation schedules, projected domestic revenue collections, and expected external financing disbursements, according to the Permanent Secretary and Secretary to the Treasury (PSST), Ramathan Ggoobi.
Speaking during a briefing on the expenditure releases, Ggoobi said the funds are intended to support priority government programmes while maintaining fiscal discipline and debt sustainability.
“The Quarter One expenditure releases have been carefully aligned to sustain this momentum while preserving fiscal and debt sustainability,” Ggoobi said.
He explained that Uganda enters the new financial year with a strong economic foundation characterised by improved growth, low inflation, a stable exchange rate, rising exports and increased investor confidence.
“The releases have been aligned with implementation schedules, projected domestic revenue, and expected external financing disbursements,” Ggoobi said.
The PSST noted that the Government’s fiscal strategy for the 2026/2027 financial year is focused on financing key growth drivers under the Tenfold Growth Strategy while ensuring responsible management of public resources.
The priority sectors include agro-industrialisation, tourism development, mineral beneficiation, science, technology and innovation, information and communication technology, and the creative economy.
“Every shilling released must contribute to economic growth, job creation, and improved delivery of public services to citizens,” Ggoobi emphasised.
According to Ggoobi, Uganda’s economy maintained steady momentum during the 2025/2026 financial year, growing by 6.4 per cent in real terms, up from 6.3 per cent the previous year.
He attributed the growth to increased aggregate demand and continued implementation of government initiatives such as the Parish Development Model and Uganda Development Bank interventions that expanded access to affordable credit and seed capital.
“Real GDP growth is projected to accelerate to 10.2 per cent in FY2026/27, supported by first oil production, ongoing investment in ATMs and public infrastructure, stronger export growth, a stable macroeconomic environment, and improved public spending efficiency,”Ggoobi said.
He added that annual headline inflation averaged 3.3 per cent in the 2025/2026 financial year, down from 3.5 per cent the previous year, reflecting effective coordination between monetary and fiscal policies.
Uganda’s Gross Domestic Product (GDP) increased to Shs250.4 trillion (about $69 billion) in the last financial year and is projected to rise to Shs287.23 trillion (about $75.7 billion) in the 2026/2027 financial year.
Ggoobi said the projected economic expansion is expected to translate into increased incomes, improved livelihoods and more economic opportunities for Ugandans.
The PSST said Government resources will be channelled towards high-impact areas, including security, infrastructure development, human capital development, ongoing projects requiring counterpart financing and essential operational costs for ministries, departments, agencies, local governments and Uganda’s missions abroad.
He added that Government will continue controlling non-essential expenditure while protecting strategic investments and priority programmes.
“Public resources will continue to be managed efficiently to ensure that government programmes deliver tangible benefits to citizens,” Ggoobi said.
The Finance ministry also revealed that funds have been provided to support preparatory activities for Uganda’s hosting of the Africa Cup of Nations (AFCON) 2027.
Accounting Officers were urged to ensure timely and effective implementation of approved budgets so that released funds translate into improved public services.
Ggoobi reaffirmed Government’s commitment to budget transparency and public accountability, saying citizens must have access to information on national priorities and how public funds are being utilised.
