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Uganda Government Funding and Oil Revenue Expand Opportunities

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Finance minister Hon. Musasizi
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The strategy is gaining momentum as billions of shillings flow into communities. At the same time, the country prepares to start earning from its oil sector.

Government says millions of Ugandans are already benefiting from increased funding. These investments aim to boost incomes, expand financial inclusion, and reduce poverty.


Trillions Disbursed Through PDM and SACCOs

The government has injected UGX3.63 trillion into communities through the Parish Development Model (PDM).

State Minister for Finance Henry Musasizi said the funds have reached millions of beneficiaries. Many of them were previously outside the formal banking system.

More than 3.6 million people have now accessed financial services through PDM.

By December 2025, all 10,589 PDM SACCOs had received additional funding. Each SACCO got UGX50 million, bringing the total to UGX529 billion.


Emyooga and Job Creation Efforts

The Uganda government funding and oil revenue plan also includes support through the Emyooga programme.

Government has released over UGX100 billion in affordable loans. This funding has benefited more than 350,000 people.

An additional UGX76.32 billion in seed capital was given to 3,816 SACCOs. These SACCOs support over one million beneficiaries.

Officials say these programs have helped create or sustain more than 1.1 million jobs. Most of these jobs are small-scale but critical for household incomes.


Agricultural Financing Expands Support

Agriculture remains a key focus area in the Uganda government funding and oil revenue strategy.

Government injected UGX40.7 billion into the Agricultural Credit Facility. Another UGX7.5 billion was allocated for agricultural insurance.

Nearly 960,000 farmers have benefited from these interventions. The support helps farmers manage risks and improve productivity.


Oil Revenue Expectations Rise

Uganda is also moving closer to oil production. The East African Crude Oil Pipeline is now about 80% complete.

Government expects UGX2.2 trillion in oil revenues in the 2026/27 financial year. Out of this, UGX1.4 trillion is already planned to support the national budget.

This marks a major shift in the country’s revenue sources.


Budget Allocations and Economic Stability

The Ministry of Finance is set to receive UGX2.78 trillion in the next financial year.

Several institutions will also benefit:

  • Uganda Development Bank: UGX415.19 billion
  • Microfinance Support Centre: UGX176.67 billion
  • Enterprise Uganda: UGX26 billion

Despite global economic pressures, Uganda’s economy remains stable. Growth is steady, inflation is low, and the currency is stable.


A Strategy to Reduce Poverty and Grow the Economy

The Uganda government funding and oil revenue approach aims to transform livelihoods. It focuses on increasing incomes and expanding opportunities.

Government believes these investments will help lift households out of poverty. Oil revenues are expected to strengthen this effort further.

As Uganda prepares to earn from oil, the combination of funding and resource income could reshape the country’s economic future.

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