Published on 27/03/2025
Government has presented a Ugx. 40.7 trillion budget for the 2025/26 financial year, outlining significant investments across key sectors to drive economic growth and development.
This is contained in the Appropriation Bill, 2025 tabled for its first reading by the Minister of State for Finance (General Duties) Henry Musasizi during the House sitting on Thursday, 27 March 2025.
The Bill details the government’s spending priorities for the coming year.
The Object of the Bill is to provide for authorisation of public expenditure for the year ending 30 June 2026.
According to the breakdown, Defence has been allocated Shs3.737 trillion to support national security. This includes Shs1.701 trillion for recurrent expenditures such as salaries and operations, along with Shs2.036 trillion for development projects to modernise equipment and infrastructure.
Infrastructure development remains a top priority, with the Ministry of Works and Transport receiving Shs5.698 trillion. These funds will be used to complete ongoing road projects, maintain critical transport networks, and implement quality assurance programmes across the country’s infrastructure.
In the energy sector, Shs1.586 trillion has been allocated to advance oil refinery development, renewable energy projects, and mineral exploration initiatives. These investments aim to strengthen Uganda’s energy independence and support economic transformation.
The health sector will benefit from Shs1.398 trillion in development funding, including Shs103.8 billion for upgrades to Mulago National Referral Hospital and Shs91.5 billion for the Uganda Cancer Institute. An additional Shs204.7 billion is earmarked for recurrent health expenditures.
Education receives Shs497.1 billion for recurrent costs and Shs322.9 billion for development projects. Makerere University has been allocated Shs33.9 billion to support its academic programmes and infrastructure.
Agriculture is set to receive Shs611.5 billion for development projects and Shs188.1 billion for recurrent expenditures. These funds will support agricultural research, livestock development, and fisheries management programs nationwide.
Deputy Speaker Thomas Tayebwa, who chaired the session, referred the Appropriation Bill to the Committee on the Budget for scrutiny, emphasising the need for fast tracking the bill to align with the budgeting timelines.
