Uganda GDP Expands Faster

The Ugandan gross domestic product expanded by 6.8% annually in real terms in the quarter to June of 2026, rebounding from the downwardly revised 5.7% in the quarter to March. The pickup in GDP growth was owed to a surge in exports (21.3% vs 6.3% in March quarter) as the war in the Middle East triggered sharp increases commodities that are sourced in Uganda, including fuel products. At the same time, import growth slowed to 40.1% from 70.8%. In the meantime, consumption expenditure contracted by 1.6% from the 2.9% expansion amid a 9.2% plunge in government expenditure, which offset a slowdown in household consumption (0.7% vs 2.8%). Slower growth was also noted in gross fixed capital formation (3.4% vs 4.4%).

The economy of Uganda expanded by 5.8% year-on-year in Q1 2026, slowing from a 8.5% advance in the previous period. Output growth moderated significantly for primary activities (2.1% vs 8.8% in Q4), mainly attributed to cash crops (7.2% vs 12.6%), fishing (-10.3% vs 9.5%) and forestry (-4.8% vs 8.3%). The industrial sector also lost momentum (5.9% vs 12.3%), amid softer growth in construction (7.2% vs 19.4%); manufacturing (4.8% vs 8.9%) and mining & quarrying (13.3% vs 27.3%). Meanwhile, the services sector expanded at a robust 5.9%, after a 6.2% increase in Q4, supported by standout performance in information & communication (15.7% vs 4.2%); professional, scientific and technical (8% vs -19.7%); administrative & support service (8.1%) and real estate activities (6.9%). On a seasonally adjusted quarterly basis, the GDP rose by 1.2%.

Uganda's economy expanded by 8.5% year-on-year in Q4 2025, picking up from 4.8% growth in Q3 and marking the strongest expansion since Q3 2022. The acceleration was driven by strong consumer demand and robust activity in construction and other sectors. Sector-wise, agriculture grew 8.8%, supported by a 12.6% increase in cash crop production, particularly coffee and cocoa. Industrial output advanced 12.3%, led by manufacturing (8.9%) and a sharp 19.4% rise in construction. Meanwhile, services expanded 6.2%, up from 2.2% previously, driven by gains in trade, repair services, and real estate. On the expenditure side, final consumption rose 17.4%, driven by a 20.1% increase in household spending. Gross fixed capital formation also grew 15.6%, supported by higher investment in dwellings and other structures. On a quarterly basis, GDP grew 4%, accelerating from 1.9% in the previous period.