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DFID Uganda |
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Uganda
Economic and Political Summary
Uganda has experienced significant economic growth for over a decade and
poverty has decreased substantially. Expansion in the agriculture, construction
and communications sectors has fuelled growth, which averaged 7%
for much of the
1990s, though it has been nearer 6% in the last four years.
Nevertheless Uganda remains one of the poorest countries in the world with 31% of the population living below the poverty line and a per capita income of around $300 per annum. Within the region, Uganda has been a leader in the fight against HIV and AIDS with prevalence dropping from 18% to 6% during the past decade. The challenge for Uganda now is to deepen reforms already underway and prevent their reversal.
The National Resistance Movement (NRM) government, led by President Museveni, has been in power since 1986. This followed a long period, post independence, of political violence and state failure.
A referendum in July 2005 led to the adoption of a multi-party system, and the presidential and parliamentary elections held on 23 February 2006 were the first multi-party elections in Uganda for 25 years. Incumbent President Museveni was re-elected with 59% of the vote, while his main challenger, Dr. Kizza Besigye of the Forum for Democratic Change, got 37%.
DFID in Uganda
DFID supports the Government of Uganda to implement its
Poverty Eradication
Action Plan (PEAP). The 2004 PEAP sets out the country’s ambitions of
eradicating mass poverty and becoming a middle income country in the next
20 years. It argues for a shift of policy focus from recovery to sustainable
growth and structural transformation. The PEAP presents specific policies and
measures to achieve its objectives, grouped under five pillars:
- Economic management
- Enhancing competitiveness
- Security, conflict resolution and disaster management
- Governance
- Human resource development
The current PEAP stretches over from 2004/05 to 2007/08.
DFID supports the implementation of the PEAP, in particular by:
- Mobilising resources for the Government budget through Poverty Reduction Budget support (PRBS) and support to Uganda Revenue Authority;
- Enabling the Government to make effective use of its resources through support for public sector reform, public financial management reform and anti-corruption institutions;
- Increasing representation, voice and accountability through support to deepen democracy, promote the work of civil society and strengthen the evidence base for policy making;
- Addressing significantly off-track MDGs by supporting efforts to provide social protection and to improve the performance of the health, HIV/AIDS, water and sanitation sectors;
- Tackling issues that threaten Uganda’s long term development by supporting conflict resolution efforts and providing humanitarian assistance and help for recovery in the conflict areas of northern Uganda;
- Strengthening growth and livelihoods through support to the Government’s Plan for Modernisation of Agriculture and work with government and the private sector to build an effective business and marketing environment that benefits the poor; and
- Strengthening harmonisation, alignment and aid effectiveness in particular through the implementation of the Uganda Joint Assistance Strategy (UJAS) and work at the country level to achieve the objectives of the Paris Declaration.
A 10-year development partnership between the Governments of Uganda and the UK,
acting through DFID, has recently been agreed. It sets out the shared and
individual commitments in the development partnership made by the two
Governments. It provides a transparent framework for mutual accountability for
implementation of the development partnership.
Under the DPA and subject to the availability of resources to DFID, the UK
expects to maintain support to Uganda through to 2017 at the indicative level of
at least £70 million annually. Within this the UK will make a three-year rolling
commitment. Initially the funding will cover the period between 2007/2008 –
2009/2010 and will amount to at least £210 million.
A joint strategy for development assistance to Uganda has been agreed by twelve of the country’s main development partners and more may sign up. The UJAS sets out how we will work more effectively together to support the government to implement the PEAP.
DFID’s bilateral aid to Uganda has risen from £50 million in 2002/03 to £70 million in 2006/07. In 2004/05 and 2005/06 we provided £35 million in the form of budget support, which we see as the most effective way to support the Government of Uganda to deliver the PEAP.
DFID maintains a substantial humanitarian assistance programme and support
for conflict resolution in northern Uganda. We also maintain project activities where budget support is
not the most effective or appropriate delivery mechanism. This includes support
for public service reform, public financial management, anti-corruption
institutions and improved revenue mobilisation. We also finance projects in
health, HIV/AIDS,
microfinance and business regulatory reform, water and sanitation, and decentralisation.
Uganda and the Millennium Development Goals (MDGs)
Uganda has made substantial progress towards achieving some of the MDGs:
- The country is on track to meet the universal primary education goal, with 84% of school age children enrolled in primary school in 2005/06 compared to 62% in 1992.
- Poverty has declined and Uganda is on track to meet the MDG on income poverty.
- Positive progress has been made in health, for example the increase in the proportion of children immunised, which has risen from 41% in 1999/00 to 89% in 2004/05. But further progress is needed if the targets for maternal mortality and under-five mortality are to be reached by 2015.
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Last updated: 31 March 2008
