Prime
Govt aims to grow economy tenfold in 15 years
PSST Ramathan Ggoobi delivering remarks at the 8th High-Level Economic Forum in Kampala on Tuesday. Photo/Courtesy of the Ministry of Finance
What you need to know:
The government's strategy will concentrate on four key sectors: Agro-Industry, Tourism, Mineral Development, and Science, Technology, and Innovation (ATMS)
The Ugandan government has launched an ambitious plan to expand the economy tenfold over the next 15 years. Mr Ramathan Ggoobi, Permanent Secretary and Secretary to the Treasury, announced the initiative at the 8th High-Level Economic Forum in Kampala on Thursday, stating that Uganda's economy is projected to grow from $50 billion to $500 billion by 2040.
The government's strategy will concentrate on four key sectors: Agro-Industry, Tourism, Mineral Development, and Science, Technology, and Innovation (ATMS).
"The plan aims to double GDP every five years, raise per capita GDP from $1,146 to $7,000 by the financial year 2039/40, increase savings from 20% to 40% of GDP by 2040, boost the share of exports in GDP from 12% to 50%, and elevate annual FDI inflows from $2.9 billion in 2022 to $50 billion by 2040," Mr. Ggoobi explained.
This 10-fold growth strategy will be a central component of the fourth National Development Plan, set to commence in the next financial year.
During the two-day forum, themed "Seizing Opportunities for Structural Transformation to Increase Productivity and Resilience," experts and academics will further discuss and refine the strategy, which was approved by the Cabinet in March this year.
The Minister of General Duties, representing the senior Minister of Finance, noted that the new strategy aligns with the National Resistance Movement's (NRM) theme of inclusive growth and prosperity for all.
Mr Moses Bekabye, a Technical Advisor at the Ministry of Finance, explained that the strategy is based on lessons learned from countries like South Korea, Singapore, Malaysia, and Chile, which have achieved rapid development within two decades.
Key lessons include the importance of increasing productivity, maintaining peace and security, harnessing areas of comparative advantage, and embracing meritocracy in public service and appointments.
The government also plans to enhance exports, ease access to credit in the agro-industrial sector, create favorable policies, and counter negative publicity to boost tourism.
Other focus areas will include improving government coordination through the ongoing rationalization of agencies and strengthening public accountability.
Bekabye emphasized that the strategic vision is driven by Uganda's untapped potential in natural resources and the need to create jobs and increase household incomes.
