The Ministry of Finance, Planning, and Economic Development (MOFPED) has together with key stakeholders, presented the fourth National Development Plan (NDPIV) to the Parliamentary Committee on Budget.
The detailed presentation outlined Uganda’s ambitious roadmap to economic transformation, as the government aims to double Gross Domestic Product (GDP) in the next five years and achieve a ten-fold growth by 2040.
Led by the State Minister for Planning, Amos Lugoloobi, and the Minister of State for General Duties, Henry Musasizi, the team included technical officers from MOFPED, the National Planning Authority (NPA), and representatives from sectors considered key drivers of the plan.
This critical engagement underscores the government’s intention to align national planning with the country’s socio-economic transformation agenda.
The National Planning Authority (NPA), established under Article 125 of the Constitution, is mandated to produce comprehensive and integrated National Development Plans.
The National Planning Authority Act (CAP 202) and its 2018 regulations require these plans to be submitted to Parliament for approval. Additionally, the Public Finance Management Act (2015) necessitates consistency between the National Development Plan and the Budget Framework Paper (BFP).
The session reinforced the importance of these legal frameworks in ensuring that Uganda’s development trajectory is deliberate, focused, and well-coordinated.
NDPIV builds on the successes, challenges, and lessons learned from the implementation of NDPIII.
Its goal, “Achieve higher household incomes, full monetization of the economy, and employment for sustainable socio-economic transformation,” is rooted in the theme of “Sustainable Industrialization for Inclusive Growth, Employment, and Wealth Creation.”
“The five strategic objectives outlined in this plan include, increasing production and value addition, enhancing human capital development, supporting private sector growth, building strategic infrastructure and investment in transport, housing, energy, water, and ICT and strengthening governance and Security,” presented Lugoloobi.
The plan aims to raise Uganda’s GDP growth rate from 6.6% in financial year 2024/25 to 10.1% by financial year 2029/30, increasing GDP from USD 53.2 billion to USD 158 billion. Similarly, income per capita is expected to rise from USD 1,146 to USD 2,008, with monthly nominal household income projected to grow from shs 202,131 to shs 578,635.
However, the ambitious targets invite critical questions.
While the government projects reduce subsistence households to 31% and achieve 100% financial inclusion, implementation bottlenecks such as inadequate funding, governance challenges, and inefficiencies in project delivery could pose significant hurdles.
The total cost of NDPIV over its five-year period is estimated at shs593,646 billion. Of this, shs413,206 billion (69.6%) will come from the Government of Uganda’s consolidated budget, while shs 180,439 billion (30.4%) is expected to be financed by the private sector.
This financing structure highlights the crucial role of public-private partnerships (PPPs) in driving Uganda’s development agenda.
However, the challenge lies in mobilizing private sector investments and ensuring efficient utilization of public funds.
The Parliamentary Committee on Budget now bears the responsibility of approving the plan. The alignment of the NDPIV with Uganda’s Vision 2040 and the National Budget is critical to achieving the stated objectives.
NDPIV represents Uganda’s most comprehensive attempt to address structural economic challenges while charting a path to sustainable socio-economic transformation.
The emphasis on industrialization, inclusivity, and wealth creation reflects a strong commitment to improving the livelihoods of ordinary citizens.
