The government has unveiled a Shs40.7 trillion budget for the 2025/26 financial year, highlighting major allocations across crucial sectors to stimulate economic expansion and national development.
This is outlined in the Appropriation Bill, 2025, which was presented for its initial reading by the Minister of State for Finance (General Duties), Henry Musasizi, during a parliamentary session on Thursday, 27 March 2025.
The Bill specifies the government’s expenditure priorities for the upcoming year and seeks to authorize public spending for the period ending 30 June 2026.
As per the budget breakdown, the Defence sector has been allocated Shs3.737 trillion to bolster national security. This includes Shs1.701 trillion for recurrent expenses such as wages and operational costs, while Shs2.036 trillion is earmarked for development initiatives, including modernizing equipment and infrastructure.
Infrastructure remains a key focus, with the Ministry of Works and Transport receiving Shs5.698 trillion. These funds will be directed towards completing ongoing road projects, maintaining essential transport systems, and implementing quality control measures for national infrastructure.
The energy sector has been granted Shs1.586 trillion to facilitate oil refinery expansion, renewable energy advancements, and mineral exploration. These investments are geared toward enhancing Uganda’s energy self-sufficiency and economic transformation.
The health sector will benefit from Shs1.398 trillion in development funds, including Shs103.8 billion for renovations at Mulago National Referral Hospital and Shs91.5 billion for the Uganda Cancer Institute. An extra Shs204.7 billion has been designated for recurrent medical expenditures.
The education sector will receive Shs497.1 billion for operational costs and Shs322.9 billion for capital projects. Makerere University has been allocated Shs33.9 billion to enhance its academic programs and infrastructure.
Agriculture has been assigned Shs611.5 billion for development programs and Shs188.1 billion for operational expenditures. These funds will support agricultural innovation, livestock expansion, and fisheries management nationwide.
Deputy Speaker Thomas Tayebwa, who presided over the session, forwarded the Appropriation Bill to the Committee on the Budget for review, stressing the urgency of expediting the process to align with financial planning timelines.
