Health services received Shs5.23 trillion, while wealth creation programmes, including initiatives aimed at increasing household incomes and supporting small enterprises, were allocated Shs2.49 trillion.
Education, security and transport infrastructure have emerged among the biggest beneficiaries in Uganda’s Shs84.4 trillion national budget for the 2026/27 financial year, as government intensifies efforts to boost human capital development, economic growth and service delivery.
Presenting the budget to Parliament on Thursday, Finance Minister Henry Musaasizi said the allocations were carefully designed to accelerate socio-economic transformation while addressing critical national priorities.
“Mr Speaker, the budget for Financial Year 2026/27 is focused on sustaining economic growth, enhancing household incomes, creating jobs and improving service delivery across the country,” Musaasizi said.
The education sector received Shs6.66 trillion, making it one of the largest allocations in the budget. The funding includes an additional Shs568.65 billion earmarked for salary enhancements for primary school teachers and arts teachers in secondary schools and Business, Technical and Vocational Education and Training (BTVET) institutions.
“Beginning FY 2026/27, an additional Shs568.65 billion has been allocated to enhance salaries for primary school teachers and arts teachers in secondary schools and BTVET institutions,” Musaasizi told Parliament.
The salary enhancement is expected to benefit more than 155,000 teachers and forms part of government’s efforts to address longstanding pay disparities within the education sector.
The security sector emerged as the single largest beneficiary, receiving Shs10.21 trillion to support national security, law enforcement and stability.
Transport infrastructure development was allocated Shs8.79 trillion, reflecting government’s continued focus on roads, bridges and strategic infrastructure projects aimed at facilitating trade and economic activity.
Health services received Shs5.23 trillion, while wealth creation programmes, including initiatives aimed at increasing household incomes and supporting small enterprises, were allocated Shs2.49 trillion.
The agro-industrialisation sector secured Shs2.26 trillion to boost agricultural productivity, value addition and commercial farming, while the energy sector was allocated Shs2.07 trillion to support electricity generation, transmission and distribution projects.
Government also allocated Shs1.14 trillion to Science, Technology, Innovation (STI), Information and Communication Technology (ICT) and creative industries, underscoring the growing importance of innovation and digital transformation in Uganda’s development agenda.
Legislation and oversight functions were allocated Shs1.23 trillion, while water, sanitation and environmental protection programmes received Shs1.013 trillion.
Other notable allocations include Shs665.55 billion for the administration of justice, Shs567.32 billion for tourism sector development, Shs494.08 billion for management of natural disasters, Shs473.51 billion for mineral-based industrial development and Shs361.88 billion for the contingency fund to support disaster preparedness and response.
The social protection sector received Shs173.55 billion to support vulnerable populations and strengthen social safety nets.
According to Musaasizi, the budget seeks to consolidate gains registered in economic recovery while positioning Uganda to achieve sustainable growth through strategic investments in infrastructure, education, agriculture and industrialisation.
Analysts say the increased allocations to education, infrastructure and wealth creation programmes signal government’s intention to prioritise human capital development and economic empowerment as key drivers of Uganda’s transformation agenda.
The budget will take effect on July 1, 2026.
