Uganda will be a $500 billion economy by 2040, says country's Treasury

Uganda is setting an ambitious target to become a $500 billion (Sh64.9 trillion) economy by the year 2040, a goal that government officials believe is within reach through careful planning, sustained effort, and strong economic management.

Ramadhan Ggoobi, the Permanent Secretary and Secretary to the Treasury at the Ministry of Finance, announced the vision during a presentation on the country’s economic performance and financial outlook for the 2024/25 fiscal year.

Currently, Uganda’s economy stands at around $50 billion. Ggoobi expressed confidence that this figure could increase tenfold within the next 15 years, saying, "We want to get to $500 billion (Sh64.9 tillion), and we shall do it in our generation while we are still alive—even by 2040."

He noted that such growth would lead to greater wealth creation, with the potential emergence of more millionaires and even billionaires in the country.

However, he emphasized that to achieve this transformation, Uganda must first address its macroeconomic fundamentals. “You cannot have ultra-rich people in a badly managed economy. You need to first make the economy grow," Ggoobi stated.

He called on Ugandans to focus on high-impact sectors and rethink their economic approaches, asking, "What are we doing differently from what others have done before for us to make more money?"

Ggoobi also provided an optimistic snapshot of Uganda’s current economic performance.

The economy is projected to grow by an average of 6.4% in the 2024/25 financial year, buoyed by foreign direct investment—especially in the oil and gas sectors—along with increased offshore investments and strong export revenues.

GDP growth for the first quarter of the fiscal year reached 6.7%, with the second quarter at 5.3%, both improving on the previous year’s performance.

Key contributors to this growth include manufacturing, agriculture, wholesale trade, and transportation.

Foreign direct investment surged by 20.6% in the second quarter, while export earnings rose to $2.17 billion (Sh280.78 billion)—a 12.1% increase compared to the same period last year.

Remittances also grew steadily, reaching $355.6 million (Sh45.97 billion). Additionally, Uganda’s currency, the shilling, gained 6.1% in 2024, making it the best-performing currency in Africa.

With a solid economic foundation and a clear vision, the government believes that Uganda can transform into a major economic force.

Ggoobi’s message was clear: the journey to $500 billion (Sh64.9 trillion) is challenging but possible, and it begins with focused planning, discipline, and commitment to long-term growth.