Economy in Uganda

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Economy—overview: Uganda has substantial natural resources, including fertile soils, regular rainfall, and sizable mineral deposits of copper and cobalt. Agriculture is the most important sector of the economy, employing over 80% of the work force. Coffee accounts for the bulk of export revenues. Since 1986, the government - with the support of foreign countries and international agencies - has acted to rehabilitate and stabilize the economy by undertaking currency reform, raising producer prices on export crops, increasing prices of petroleum products, and improving civil service wages. The policy changes are especially aimed at dampening inflation and boosting production and export earnings. During 1990-2001, the economy turned in a solid performance based on continued investment in the rehabilitation of infrastructure, improved incentives for production and exports, reduced inflation, gradually improved domestic security, and the return of exiled Indian-Ugandan entrepreneurs. Corruption within the government and slippage in the government's determination to press reforms raise doubts about the continuation of strong growth. In 2000, Uganda qualified for enhanced Highly Indebted Poor Countries (HIPC) debt relief worth $1.3 billion and Paris Club debt relief worth $145 million. These amounts combined with the original HIPC debt relief added up to about $2 billion. Growth for 2001-02 was solid despite continued decline in the price of coffee, Uganda's principal export. Solid growth in 2003-04 reflected an upturn in Uganda's export markets.

GDP: purchasing power parity—$34.6 billion (1997 est.)

GDP—real growth rate: 5% (1997 est.)

GDP—per capita: purchasing power parity—$1 700 (1997 est.)

GDP—composition by sector:

agriculture: 49%

industry: 13%

services: 38% (1995 est.)

Inflation rate—consumer price index: 6% (1997)

Labor force:

total: 8.361 million (1993 est.)

by occupation: agriculture 86% industry 4% services 10% (1980 est.)

Unemployment rate: NA%

Budget:

revenues: $869 million

expenditures: $985 million including capital expenditures of $69 million (FY95/96)

Industries: sugar brewing tobacco cotton textiles cement

Industrial production growth rate: 19.7% (FY95/96)

Electricity—capacity: 162 000 kW (1998)

Electricity—production: 807 million kWh (1995)

Electricity—consumption per capita: 35 kWh (1995)

Agriculture—products: coffee tea cotton tobacco cassava (tapioca) potatoes corn millet pulses; beef goat meat milk poultry

Exports:

total value: $604 million (f.o.b. 1996)

commodities: coffee gold cotton tea corn fish

partners: Spain 23% France 14% Germany 14% Italy 10% Netherlands 8% (1995)

Imports:

total value: $1.2 billion (c.i.f. 1996)

commodities: machinery chemicals fuel cotton piece goods transportation equipment food

partners: Kenya 26% UK 12% Japan 8% Germany 8% India 5.5% (1995)

Debt—external: $3.5 billion (1996 est.)

Economic aid:

recipient: ODA $NA

Currency: 1 Ugandan shilling (USh) = 100 cents

Exchange rates:  Ugandan shillings per US dollar - 1,830.68 (2004), 1,963.72 (2003), 1,797.55 (2002), 1,755.66 (2001), 1,644.48 (2000)

Fiscal year: 1 July—30 June

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