Uganda has been ranked third in Africa on the Absa Africa Financial Markets Index, a milestone that government officials say reflects the country’s growing credibility as a stable and attractive destination for investment.
Speaking at the Absa Africa Financial Markets Index and Economic Outlook Forum in Kampala on Tuesday, the Permanent Secretary and Secretary to the Treasury, Dr Ramathan Ggoobi, said the ranking is a vote of confidence in Uganda’s macroeconomic discipline and long-term reform agenda.
At a time when global economies are being reshaped by tighter financial conditions, geopolitical tensions and shifting trade patterns, Dr Ggoobi said African countries that have invested in stability and strong institutions are better positioned to turn uncertainty into opportunity.
“Uganda’s economic fundamentals are strong, our policy direction is clear, and our opportunities are expanding,” Ggoobi told the forum, adding that the country is deliberately positioning itself among Africa’s forward-looking economies.
Despite global headwinds, the PSST revealed that Uganda’s economy is expected to grow between 6.5 and 7 percent this year, maintaining its position among the world’s fastest-growing economies even in an election period.
“Uganda is ranked among the fastest-growing economies not just in the region, but globally, and we expect this momentum to continue in the medium term,” he said.
He attributed the performance to prudent macroeconomic management and sustained reforms, particularly in financial regulation and market development. These efforts, he noted, have helped expand Uganda’s nominal GDP to an estimated USD 68.4 billion by June 2026, with income per capita projected to rise above USD 1,399.
Other gains highlighted include low and stable inflation averaging 3.5 percent, a resilient Uganda shilling, increased export earnings, and growing inflows from foreign direct investment, tourism and remittances.
Looking ahead, Dr Ggoobi said government priorities are firmly focused on deepening financial markets to unlock long-term financing for growth. He pointed to plans to strengthen capital markets, attract venture capital for innovative and high-risk enterprises, and explore the creation of a dedicated stock exchange for small and medium-sized enterprises that are not yet ready for the main bourse.
The PSST also underscored ongoing efforts to capitalize the Uganda Development Bank to meet rising demand for affordable, long-term financing in productive sectors.
“We are working on a mission to build a 500-billion-dollar economy by 2040, and our strategic bets are the ATMS and key enablers,” Ggoobi said.
Financial inclusion, he added, remains central to Uganda’s transformation, citing the Parish Development Model as a game changer that has enabled digital delivery of more than USD 1 billion to citizens previously excluded from the formal financial system.
Ggoobi thanked Absa Group for convening the forum, saying such platforms are critical in bringing together policymakers, regulators and market players to shape Africa’s financial future.
As Uganda climbs the continental rankings, government officials say the challenge now is to sustain reforms and deepen markets to turn strong fundamentals into lasting prosperity.