Strong Macroeconomic Fundamentals Have Led to Sustained Growth of the Economy Says Musasizi

Officiating at the URA FY 2026/27 post budget breakfast dialogue and the launch of the service charter at Hotel Africana in Kampala, Finance Minister Henry Musasizi said government projects to collect 20% of GDP up from 14% in the medium term, adding that this will be achieved through digital transformation, formalisation, coordination, rationalization of tax policy and transforming client experience.

He said Government projects domestic revenue of Shs 45.96 trillion, in FY 2026/27 of which Shs 40.16 trillion will come from tax revenue, adding that these resources will finance the investments required to sustain Uganda’s transformation agenda while maintaining fiscal sustainability.

“To every Ugandan, to pay taxes is not merely a legal obligation, but a contribution towards the collective future of our country. Every compliant taxpayer is a partner in national development,” said the Minister.

He said countries that have successfully transformed their economies have done so by progressively strengthening their ability to finance development from their own resources.

“The Government remains firmly committed to implementing the second Domestic Revenue Mobilisation Strategy. We recognize that sustained development cannot rely indefinitely on borrowing or development assistance alone,” said the Minister.

He said the budget for FY 2026/27 will prioritise investment in sectors that have the greatest potential to transform Uganda's economy (ATMS). Musasizi said these investments form the foundation of Uganda's Tenfold Growth Strategy and the country’s ambition of transforming into a USD 500 billion economy over the medium to long term.

“The true measure of our success is whether economic growth translates into better lives for the people.  Growth must create productive jobs. Growth must raise household incomes. Growth must expand opportunities for businesses. Growth must reduce poverty. Growth must improve the quality of public services and Growth must reach every region of Uganda,” said the Minister.

He also made an appeal to the private sector to continue investing in Uganda, creating jobs, adding value, innovating and formalizing businesses.

“Together, we have an opportunity to build a stronger economy, deepen our domestic resource mobilisation efforts and create shared prosperity for all Ugandans.

The Commissioner General URA John Musinguzi also reiterated the need for Ugandans to develop their country and deliver it from economic dependence, adding that the new tax reforms and digital transformation will help in raising Uganda’s tax to GDP ratio to 20%.

He also said the Client Charter outlines specific service standards that will help tax payers to resolve disputes without resorting to Courts of Law.