CSOs call for citizen-focused priorities in FY2026/27 budget
Civil Society Organizations under the Civil Society Budget Advocacy Group (CSBAG) have shared their perspectives on the FY 2026/27 National Budget Framework Paper (NBFP), urging government to prioritize citizens’ welfare alongside capital investments. The budget, themed “Full Monetization of the Ugandan Economy through Commercial Agriculture, Industrialization, Expanding Services, Digital Transformation and Market Access,” shows both progress and critical gaps in resource allocation.
Macroeconomic stability and budget performance
CSBAG commended the government for maintaining macroeconomic stability, with GDP growth of 6.3% in FY2024/25, projected to rise to 6.5–7% in FY2025/26. Infrastructure investments, oil and gas developments, increased exports, and favorable weather contributed to this growth. Half-year budget releases indicate that spending is generally on track, with 58% of the revised UGX 80.04 trillion budget released by mid-year.
Resource allocation concerns
The FY2026/27 budget is projected at UGX 69.4 trillion, down 4.1% from the previous year due to reduced financing and borrowing. Domestic revenue is expected to increase slightly. While capital-intensive programmes such as extractives, energy, and regional development received significant increases, social sectors experienced cuts. Human capital development, urbanization, housing, and digital transformation all saw reductions, raising concerns that social services may be underfunded.
Fiscal risks and debt
CSBAG highlighted risks linked to frontloaded election spending and a growing public debt, which reached US$32.33 billion by mid-2025. Rising reliance on domestic borrowing has pushed interest costs to 25% of government revenue and contributed to higher lending rates, tightening liquidity, and limiting post-election service delivery.
Health and education gaps
Critical shortages of health workers have left only 59% of health facilities fully functional, with mental health services particularly under-resourced. CSBAG called for phased recruitment to strengthen essential and psychiatric care. In primary education, staffing and infrastructure gaps persist, especially in rural and hard-to-reach areas, affecting quality and compliance with basic standards.
Agriculture, markets, and land tenure
The Parish Development Model has provided cash and inputs to households, but market access for produce remains limited, risking low returns for farmers. CSBAG recommended expanding financing for medium-scale and nutrition-sensitive farmers and accelerating land registration to reduce tenure insecurity and promote productivity.
Citizen-centered priorities
CSBAG urged government to focus on improving access to electricity and digital connectivity, strengthening emergency medical services, expanding water and sanitation in schools and health facilities, enhancing agricultural extension services, and fast-tracking automation of government processes to improve efficiency and accountability.
While the FY2026/27 budget shows progress in macroeconomic stability and infrastructure investment, CSBAG stressed that gaps in human capital development, social services, and citizen-focused financing must be addressed to ensure that growth translates into tangible improvements in Ugandan welfare.
