This archive report was first published on 5 December 2019.
On December 5, 2019, Uganda's Finance Ministry announced plans to borrow over Sh66 billion from international banks to address a budget deficit in the 2019/2020 financial year.
The move comes after domestic revenue collections fell short by 9 per cent, with the government attributing the shortfall to delays in implementing tax-generating measures.
According to the Finance Ministry, the government plans to borrow the money from a local unit of South Africa's Standard Bank and regional Trade Development Bank.
The International Monetary Fund has warned that Uganda's debt pile could surpass 50 per cent of its gross domestic product in 2021/2022, heightening concerns about the country's financial stability.
