World Bank forecasts 6 pct growth for Uganda’s economy in 2020

The World Bank forecast a more than 6 percent growth of Uganda’s economy by 2020 on account of anticipated public and private investments especially to support developments in the energy and oil sectors.

In its latest edition of the Uganda Economic Update, the bank said that the country’s economic growth continues to take an upward trajectory and in the first half of the financial year 2018/19 the economy grew at 6.4 percent from 6.1 percent registered in the financial year 2017/18.

The Update attributed growth to stronger investment and higher demand for goods and services, favorable weather conditions and strengthened credit.

The report, however, showed that heavy reliance on rain-fed agriculture makes Gross Domestic Product and exports more volatile.

As Uganda’s 2021 elections draw closer, it said, heightened political activity and uncertainty could lead to a drop in investment and economic activity.