The International Monetary Fund (IMF) has announced that its Executive Board is expected to consider Uganda’s Post-Financing Assessment (PFA) in January 2026.
The assessment comes as the Ugandan government engages with the IMF for new financial support following the expiration of its billion-dollar Extended Credit Facility in June 2024.
A PFA is conducted for countries with outstanding IMF credit above certain thresholds that do not currently have an IMF-supported or staff-monitored program. It evaluates a country’s policies, the consistency of its macroeconomic framework with medium-term sustainability, and its capacity to repay the Fund.
In a statement issued in Washington, D.C., the IMF said a staff team led by Jesmin Rahman visited Kampala from November 3 to 7 to conduct Uganda’s assessment. “The staff team assessed Uganda’s capacity to repay the IMF as adequate under a combination of external and domestic shocks,” the statement read.
During the five-day mission, the IMF noted that Uganda’s economic growth remained broad-based, reaching 6.3 percent in fiscal year 2024/25. Inflation remained stable and below the Bank of Uganda’s medium-term target of 5 percent, while gross international reserves strengthened, supported by higher exports, capital inflows, and increased foreign exchange purchases by the central bank.
However, the Fund highlighted a significant deterioration in Uganda’s fiscal position in FY2024/25, driven by higher current spending, including one-off items.
Looking ahead, the IMF projects favorable macroeconomic conditions in the near term, with further improvement expected once oil production begins in FY2026/27. The Fund cautioned, however, that the outlook remains exposed to risks such as global trade and financial uncertainties, as well as potential fiscal policy slippages.
If approved in January 2026, the PFA will pave the way for new IMF lines of financial assistance, offering critical support for Uganda’s development programs and continued economic stability.