Kampala – The government has presented 40.7 trillion budget for fiscal year 2025/26, outlining large investments across key sectors to promote economic growth and development.
This is included in the budget bill for the first reading by Minister of Finance (General Duties) Henry Musashiji (General Duties) in the house sitting on Thursday, March 27, 2025.
The bill details government spending priorities for next year.
The purpose of the bill is to provide approval for public spending for the year ending June 30, 2026.
According to the breakdown, defenses have been allocated SHS3.737 trillion to support national security. This includes 1.701 trillion Shs for repeated spending such as pay and operations, and 2.036 trillion Shs for development projects to modernize equipment and infrastructure.
Infrastructure development remains a top priority, with the Ministry of Labor and Transport receiving SHS 5.698 trillion. These funds will be used to complete ongoing road projects, maintain critical transportation networks, and implement quality assurance programs across infrastructure across the nation.
In the energy sector, Shs 1.586 trillion has been allocated to advance oil refineries development, renewable energy projects and mineral exploration initiatives. These investments aim to strengthen the independence of Uganda’s energy and support economic change.
The health sector will benefit from Sh103.8 billion for upgrade to Murago National Referral Hospital and Sh91.5 billion at the Uganda Cancer Institute Sh103.8 billion 1.398 trillion Sherra. Additional SHS204.7 billion has been allocated for recurrent health spending.
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Education will receive Sh497.1 billion in recurrence costs and Sh322.9 billion in development projects. Makerere University has been allocated Shs 33.9 billion to support academic programs and infrastructure.
Agriculture is expected to receive Sh611.5 billion on development projects and Sh188.1 billion on recurring expenditures. These funds support agricultural research, livestock development, and fishing management programs nationwide.
Vice-Chairman Thomas Taybwa, who chaired the session, referred the budget bill to the Budget Committee on Oversight, underscoring the need to quickly track bills that match the budgeting schedule.
