Ugee

Uganda is one of Africa's recent success stories with a strong and robust economic growth. This has been as a result of the implementation of economic reforms performed under the clever leadership of Yoweri Museveni. Foreign and private investment has increased ensuring consistent and continued economic growth. In 2001 the country had foreign direct investments totaling US$144.7 million.

The privatisation of the Uganda Commercial Bank in 2002 and its consequent merger with an international bank contributed to the continual strengthening of the country's banking sector. Measurements concerning bank supervision have also been strengthened. Inflation rates in 2001 were exceptionally low with an average rate of 2%. Read on:

Agriculture is one of the country's main industry sectors and made up 31.4% of the country's GDP in 2002 that totalled US$5.9 billion. Industry and services made up 22.7% and 45.9% of GDP respectively.

Uganda has for the last 15 years pursued economic reforms that have imposed fiscal discipline, restructuring public expenditure and liberalising the economy. Prior to Museveni's rule, the government was literally bankrupt and relying solely on foreign aid.

Uganda's economy has been quite impressive, recording a consistent annual economic performance growth of GDP of about 7%percent.

Inflation has also been controlled falling from over 16% to an average of average of about 5 percent. This impressive performance has earned Uganda and particularly Museveni and his NRM, international credit.

Despite this fantastic peerformance, Uganda is still on the poorest countries in the world. Nevertheless poverty in uganda has consistently been falling and more people being moved above the poverty line, according to information from Uganda Bureau of Statistics (UBOS)

The country’s debt overhung has been drastically reduced under the Highly Indebted Poor Countries (HIPC) initiative. Uganda was the first country to access the original HIPC initiative in April 1998 and enhanced HIPC initiative in May 2000.

Over half of Uganda’s economic earnings are derived from coffee exports. The government controls on the coffee and cotton industry have been loosened to allow the farmer a larger market in which to sell his produce, and private exporters have been granted licences. Horticulture and floriculture are receiving increased investment as air-cargo becomes a viable means of' transport.

The government has facilitated foreign investment with attractive incentives and streamlined import and export procedures. Many expelled Asians have returned to reclaim their properties and are reinvesting in a growing economy

Uganda has substantial natural resources, including fertile soils, regular rainfall, and sizable mineral deposits of copper and cobalt. Agriculture is the most important sector of the economy, employing over 80% of the work force. Coffee is the major export crop and accounts for the bulk of export revenues. Since 1986, the government - with the support of foreign countries and international agencies - has acted to rehabilitate and stabilize the economy by undertaking currency reform, raising producer prices on export crops, increasing prices of petroleum products, and improving civil service wages.  Recently, Uganda has discovered oil deposits in western Uganda which are being explored and it is hoped a refinery will be built to refine the oil, expected to be up and running by year 2010.

Uganda has also suffered from power shortages as the Hydro power sources in Jinja are not producing enough to meet the demand. Arrangements are being made to construct new Dams at Bujagali and Karum on the river Nile.

Uganda's export partners over the years have majorly been Germany 12.0%, Netherlands 10.2%, US 8.7%, Spain 8.0%, Belgium 7.1. Uganda imports mainly capital equipment, vehicles, petroleum, medical supplies; cereals mainly from Kenya 43.1%, US 7.0%, India 6.8%, South Africa 6.1%, Japan 3.4%.

The country's external debt is about $3.4 billion. However, with Economic relief of $1.4 billion and debt write off this figure is slowing reducing. The Uganda currency is the Uganda Shilling (UGX) (1shilling = 100 cents).

Exchange rates change rates for international currencies change daily, and are available at the front page of this website (ugee.com)

Uganda curreny denominations

UGX 50,000 Banknote
UGX 50,000 banknote
UGX 20,000 banknote
UGX 20,000 banknote
UGX 10,000 banknote
UGX 10,000 banknote    
UGX 5,000 banknote
UGX 1,000 banknote
UGX 1,000 banknote      
UGX 500   Gold coloured coin
UGX 200   silver coin
UGX  10    silver coin
UGX  50    copper coin

International Trade

The main export commodities include animal feed, cereals, copper, cotton, dairy products, fish, hides and skins, nuts and tea and coffee.

The main import commodities include chemical products, clothing, machinery metal & metal products, various petroleum products and pharmaceuticals and vehicles.

The Bank of Uganda administers exchange control on behalf of the Minister of Finance and private sector importers may purchase foreign exchange in the inter-bank market or in foreign exchange bureaus without restriction.