Parliament has approved the National Budget Framework Paper for Financial Year 2026/27 to 2030/31, setting the policy direction for government spending and economic priorities in the coming years.
Speaking after the approval, Minister of State for Finance (General Duties) Henry Musasizi said the government's main strategic focus in the next financial year and the medium term is to deliver tenfold economic growth, with the aim of expanding Uganda’s economy to USD 500 billion by 2040.
Musasizi explained that the government will concentrate on key priority sectors, including Agro-industrialisation, Tourism, Minerals and Oil and Gas (ATMS), alongside critical enablers and export growth, to accelerate socio-economic transformation. He added that the economy is projected to grow between 6.5 and 7 percent in the next financial year.
In line with strict timelines under the Public Finance Management Act (PFMA), Musasizi pledged the support of the Ministry of Finance, Planning and Economic Development to Parliament to ensure that the FY 2026/27 budget is processed by the end of April 2026, ahead of the inauguration of the 12th Parliament.
He also outlined key areas the government will prioritise next financial year to improve efficiency and fight corruption. These include stamping out budget manipulation, closing leakages in routine expenditures such as transfers to schools and health centres, and cleaning up the government payroll.
Other focus areas include improving cash management and Uganda’s sovereign credit ratings, diversifying sources of development finance through innovative options, and strengthening internal controls and audits to eliminate corruption. Government also plans to complete public procurement reforms, improve the management of public assets, and increase domestic revenue mobilisation.
Musasizi further said attention will be given to strengthening the governance of state-owned enterprises, addressing challenges affecting project implementation, and improving the absorption of borrowed funds.
He noted that the government will also enhance the capacity of the Uganda Bureau of Standards (UNBS) to ensure product certification for both exports and the domestic market.
On public finance discipline, Musasizi said the government has already put in place a strategy to clear domestic arrears within three financial years, starting FY 2025/26, while also stopping the creation of new arrears.