TOP
Sunday,August 25,2019 18:53 PM
  • Home
  • Business
  • World Bank predicts slightly higher growth for Uganda in 2019

World Bank predicts slightly higher growth for Uganda in 2019

By Taddeo Bwambale

Added 4th June 2019 10:23 AM

Public and private investments are expected to drive up much of the growth, according to the 13th Edition of the Uganda Economic Update.

Oilproduction703422 703x422

The pick-up in growth will largely be driven by intensified public and private investments in energy projects, industrial parks, and preparation for oil production

Public and private investments are expected to drive up much of the growth, according to the 13th Edition of the Uganda Economic Update.

ECONOMY      GDP
 
Uganda’s Gross Domestic Product (GDP) growth rate is projected to rise from 6% in the financial year 2018/19 to 6.5% in 2019/20, the World Bank’s latest outlook on Uganda shows.
 
Public and private investments are expected to drive up much of the growth, according to the 13th Edition of the Uganda Economic Update.
 
“Given the improved outlook, the projection for FY19/20 is slightly above the forecast of 6.4 percent growth that was made in the November 2018 Uganda Economic Update.
 
The pick-up in growth will largely be driven by intensified public and private investments in energy projects, industrial parks, preparation for oil production, and continued expansion of IT infrastructure,” the outlook shows.
 
According to the report, the scale-up in investments is expected to catalyze a rise in consumption, as the bulk of investments support more rapid growth in construction and services.
 
The projection, however, will depend on favorable weather conditions, continued strong external demand, and further growth in foreign direct investment inflows as oil production draws closer.
 
According to the report, the growth rate is projected to deteriorate slightly in the financial year 2020/21 due to the general elections, as heightened political activity and uncertainty could lead to a drop in investment and economic activity. 

Related Articles

More From The Author

Related articles