Out of the UGX72.38 trillion for FY 2025/26, UGX. 20.18 trillion was released in Q1. UGX.18.43 trillion has been released in Q2, resulting in a cumulative release of UGX.38.61 trillion, which is 53.4% of the approved budget, according to the Ministry of Finance Acting PSST, and Deputy Secretary to Treasury Patric Ocailap.

During the press conference at the ministry’s offices in Kampala, he said the economy has continued to expand despite the challenging global environment characterised by tighter financial conditions & geopolitical tensions that have disrupted supply chains in recent years.

Ocailap said the economy grew 6.3% in FY 2024/25, up from 6.1% in FY 2023/24. The size of the economy in nominal terms increased to shillings 227.88 trillion in FY 2024/25 from 203.71 trillion in 2023/24. “Growth was largely driven by a sustained recovery in aggregate demand, supported by Gov’t initiatives such as the Parish Development Model (PDM).”

He explained that real GDP growth is projected at 7% in FY 2025/26 and above 7% in the medium term.

PSST to Accounting Officers:

Comply with the commitment to pay salaries, pensions, and gratuity by the 28th day of every month as per the approved salary scales.

Prioritize payment of service providers on time in order to eliminate the accumulation of domestic arrears. No committing the government without a sufficient budget.

Ensure all Contracts and payments are executed in Uganda shillings.

No recruitment without clearance from the Ministry of Public Service after ascertaining the availability of wages from the Ministry of Finance

Convene Finance Committee meetings to agree on priorities for the quarter in line with the approved budget and available resources.