Uganda’s Exports up 30 Amidst Covid–19 Pandemic

Ministry of Finance permanent secretary Keith Muhakanizi stated that the country’s export receipts have amounted to $416.47m in September 2020, representing a 29.5% increase from $321.41m recorded in August 2019, the latest figures from the Ministry of Finance show.

In the report released by the Permanent Secretary, the performance of the economy report for the month of September 2020 indicates that sentiments about doing business in Uganda turned out positive for the first time since February 2020 as the economy expanded by 2.9% in the 2019/20 financial year which is less than the earlier estimate of 3.1%. Economic growth was also less than 6.8% recorded the year before mainly due to the effects of COVID-19.


Uganda registered a further marginal decline in annual headline inflation from 4.6% in August 2020 to 4.5% in September 2020.


The Uganda Shilling depreciated against the dollar by 0.5% in September 2020 trading at an average mid-rate of sh3,695.09 per $1 compared to sh3,677.55 per $1 the previous month.


Government spending during the month amounted to sh2,253.97b against sh3,005.22b that had been programmed for the month.


The government collected revenues amounting to sh1,488.98 billion in September 2020, posting a shortfall of sh228.04b against the sh1,717.02b target relating to the appropriated budget approved by parliament.


During the month of September 2020, Uganda, Kenya, Rwanda, and Tanzania all registered slight declines in the annual headline inflation. Kenya’s headline inflation declined from 4.4% to 4.2%, Rwanda’s declined from 10.9% to 10.8% while Tanzania’s declined from 3.3% to 3.1% in September 2020.


The decline of inflation in Kenya was partly attributed to the slowdown in the increase of prices for housing, water, electricity, cooking gas, and kerosene while the decline in headline inflation for Tanzania was as a result of a slowdown in the price increases for food and non-food items.