Uganda’s Revenue Projection Hits Shs40 Trillion for Financial Year 2026/27

The Ministry of Finance, Planning and Economic Development has projected Uganda’s revenue for the 2026/2027 financial year at over Shs 40 trillion, reflecting an increase of Shs 3.35 trillion compared to the 2025/2026 target of Shs 36.73 trillion.

During a meeting with legislators on the Finance Committee of Parliament, chaired by Hon. Amos Kankunda, on Tuesday, the Permanent Secretary and Secretary to the Treasury, Ramathan Ggoobi, revealed that this stronger projection is principally attributed to faster economic growth and a new tax policy that will drive reforms supporting enhanced revenue generation.

According to the National Budget Framework Paper presented to Parliament, Uganda’s gross domestic product (GDP) is expected to grow robustly in the current financial year, with real GDP growth projected between 6.5 % and 7 % in 2025/26, underpinned by broad-based activity across agriculture, industry, and services. This follows a growth rate of around 6.3 % in FY2024/25 and represents sustained resilience in the economy despite global uncertainties.

The strong growth outlook is reinforced by performance indicators showing continued expansion in exports and foreign direct investment, a stable inflation environment averaging below policy targets, and a stable Uganda shilling which has been among the best-performing currencies in Africa due to prudent macroeconomic management.

For the 2026/2027 financial year, the Uganda Revenue Authority’s budget estimates stand at Shs 877.296 billion to support activities that will drive increased domestic revenue and improved institutional coordination, management, and reporting.

The Ministry’s medium-term projections suggest a potential acceleration to double-digit economic growth by FY2026/27, partly driven by the commencement of commercial oil production, which is expected to substantially enhance revenue inflows and broader economic productivity.