Uganda debt nears crisis level

Traders gather outside closed shops on Luwum Street. Many businesses were locked as a result of the coronavirus pandemic in March. PHOTO | ABUBAKER LUBOWA

What you need to know:

  • The senior research fellow at Economic Policy Research Centre (EPRC), Corti Paul Lakuma said the increase in debt level means Uganda has borrowed some money to combat the impact of Covid-19 which will have to be paid in the future.

The government yesterday said Uganda’s public debt is projected to hit 47.5 per cent of the Gross Domestic Product (GDP) which is Shs150.267 trillion in the Financial Year 2020/2021 because of increased borrowing and expenditure to counteract the Covid-19 pandemic on the economy.

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