GDP will grow 6% by next financial year, says Minister Musasizi

The State minister for Finance and General Duties, Henry Musasizi, has said the country’s Gross Domestic Product (GDP) will increase by 6 percent in the next financial year.

Musasizi gave the confidence nod during a press conference in Hamurwa Subcounty, Rubanda District, where the minister highlighted so many issues including the country’s economy.

"Uganda is currently ranked 94 of the major economies," he said.

"While we no longer forecast a recession in 2024, we do expect consumer spending forth to cool and for overall GDP and third quarter of 2024. Therefore, inflation and interest rates should normalise and quarterly GDP growth should converge towards potential of near 2 percent in 2025."

Musasizi, who also doubles as MP Rubanda East, noted that in the past years, the country’s economy survived economic shocks that include covid-19, Russia-Ukraine crisis, drought plus so many other calamities which greatly affected the economy.

He added that compared to the world global economy, the country’s economy has continued to register growth.

“In the last financial year, our GDP grew by 5.3 percent and in this year am hopeful that our GDP will grow by 6 percent,” he projected.

Ugandan’s GDP rose to $58 billion this year, earning the country a 13th ranking on the continent.

“Our inflation is still low due to hiking of prices for commodities since last year, but I remain hopeful that the economy will greatly improve," Musasizi said.

He  said Rubanda has registered a steady progress saying that the Parish Development Model has registered successful stories from the beneficiaries.

“Parish Development Model in Rubanda is a success story, its successful performance is at 98 percent,” the minister said.

Musasizi also said that government introduced many government programs to help in poverty eradication adding that this will help in stabilizing the country’s economy.

Worldwide gross domestic product in 2022 was about $12,703 per capita. GDP in Uganda, on the other hand, reached $964 per capita.