Welcome to Africanews

Please select your experience

Watch Live

Business

business

Uganda's growth forecast to go up- IMF

Uganda's growth forecast to go up- IMF

Uganda is expected to have a record growth of 6. 3 percent in the 2018/ 2019 fiscal year, up from 2018, according to the International Monetary Fund (IMF).

In a statement, the Fund attributes this to robust activity in the manufacturing, construction and services industry.

The IMF also said, Kampala’s inflation is expected to stabilize at around 5 percent over the next 12 months, thus reaching the threshold set by its Central bank.

According to the Bretton Woods institution, the East African nation badly needs a sustained economic growth rate to help generate healthy revenues to defray its ballooning public debt.

Uganda’s Finance Ministry says the country’s debt stands at 41 percent of its gross domestic product (GDP).

It’s Central bank however said its public indebtedness has already topped 50 percent of its economic output.

Uganda hopes to start pumping crude oil by 2022 at the latest from fields in western areas near the border with DR Congo.

Reuters