Uganda’s Parliament has approved a 72.4 trillion shilling budget (approximately $20 billion) for the 2025/26 fiscal year, keeping national spending largely in line with the current year as the country gears up for commercial oil production.
The approved expenditure marks only a modest rise from the 72.1 trillion shillings allocated for the financial year ending next month. The announcement was made in a post on the legislature’s official account on X late Thursday.
“The House has considered and approved the proposed annual budget for financial year 2025/2026,” Parliament confirmed.
According to government priorities, the new budget will channel resources into agro-industrialisation, the tourism sector, and mineral development, particularly in petroleum—a sector poised to reshape Uganda’s economic landscape.
Finance Minister Matia Kasaija is expected to formally table the budget before Parliament on June 12, where he will outline specific allocations and fiscal targets for the year ahead.
The budget approval comes at a critical time as Uganda pushes forward with major infrastructure projects designed to support its first commercial oil output, expected next year.
Among these is the $5 billion East African Crude Oil Pipeline (EACOP), a strategic project that will allow Uganda, a landlocked country, to export crude oil via Tanzania’s Indian Ocean port of Tanga. Officials see this pipeline as a gateway to global energy markets and a cornerstone of the country’s future revenues.
With the fiscal blueprint now in place, attention will turn to how effectively funds are deployed in driving industrial growth, creating jobs, and reducing Uganda’s dependence on imports. The coming weeks are expected to reveal more about the government’s execution strategy and its broader economic vision.