Rising Costs, Loans Burden Uganda

Date Published: 05/11/2025
Category Business

Uganda faces rising public debt and inflation pressures as the government pursues large infrastructure, energy, and agriculture projects. Total debt has reached about 50–53% of GDP, with domestic borrowing carrying high interest and external loans partly funding roads, dams, and other developments. Citizens experience higher transport, food, and operational costs, while the shilling’s recent 5.6% appreciation supports exports and lowers import costs. Authorities aim to manage debt strategically with support from the IMF and the World Bank.

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