This archive report was first published on 5 December 2019.
On December 5, 2019, Uganda's finance ministry announced plans to borrow $660 million (KSh67 billion) to bridge the budget deficit in the 2019/2020 fiscal year.
The move was informed by a 9% drop in domestic revenue collections, according to the finance ministry.
Documents tabled in parliament show the Ugandan government's total shortfall at $680 million (KSh69 billion).
The ministry intends to borrow from Standard Bank and Trade Development Bank, which will add 2 percentage points to Uganda's public debt to GDP ratio, currently at 43%.
Uganda's debt is likely to surpass 50% of GDP in 2021/2022, warned the International Monetary Fund, which has urged the Ugandan government to rein in its deteriorating debt status.
