Home News Finance Uganda’s Oil Production Set to Boost Economic Growth – IMF
FinanceNews

Uganda’s Oil Production Set to Boost Economic Growth – IMF

521

The International Monetary Fund (IMF) has projected that Uganda’s economy will grow by 10.8 per cent in the fiscal year 2025/2026. This forecast was driven by the expected start of crude oil production, which will help improve the country’s fiscal and current account balances.

“Growth is expected to strengthen, boosted by the start of oil production, which will make lasting improvement (to) the fiscal and current account balances,” the IMF said in its recent report.

Uganda plans to begin producing oil from its western fields after nearly two decades of delays due to infrastructure gaps and disputes with oil firms. At full capacity, the country is expected to produce 240,000 barrels of oil per day, which would boost revenues.

Uganda’s foreign exchange reserves, however, dropped from $3.7 billion in December 2023 to $3.2 billion in June 2024. The IMF urged the central bank to intervene by reducing government imports, increasing foreign exchange purchases, and allowing greater exchange rate flexibility to mitigate further decline. Generally, the Uganda’s economy is strengthening.

“Uganda has navigated the post pandemic recovery well due to sound macroeconomic policies. The economic recovery is strengthening with low inflation, favourable agricultural production, and strong industrial and services activity”, the IMF added.

 

Read More: 

U.N. Resumes Talks To Settle Libya’s Central Bank Dispute After Oil Production Halt

Mali Suspends French-language Channel TV5 Monde For 3 Months For Spreading Unverified Information

About The Author

Related Articles

WAEC WASSCE 2024 Results
EducationNews

WAEC Shuts Down Result Portal Over Glitch, As Public Outcry Mounts Over Poor 2025 WASSCE Results

The West African Examinations Council (WAEC) has temporarily shut down its result...

News

Nigeria Extends Condolences to Ghana After Helicopter Crash Claims Lives of Top Officials

The Federal Government of Nigeria has extended heartfelt condolences to Ghana following...

NewsWorld

ICYMI: Rwanda Confirms Deal to Take U.S. Deportees Despite Backlash On Trump Deportation Policy

Rwanda has agreed to accept up to 250 migrants from the United...

Kano
News

Kano Transport Commissioner Ibrahim Namadi Resigns Following Probe Into Surety Role For Suspected Drug Baron

Kano State Commissioner for Transport, Ibrahim Namadi, has officially resigned from his...