Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth
Real GDP growth rebounded strongly to 6.1 percent in FY17/18, from 3.9 percent the previous year. The rebound was largely driven by a pick-up in investments and exports, and on the back of strengthened credit to the private sector and good weather....
| Main Author: | |
|---|---|
| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2018
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/678231542382500879/Uganda-Economic-Update-12th-Edition-Developing-the-Agri-Food-System-for-Inclusive-Economic-Growth http://hdl.handle.net/10986/31003 |
| id |
okr-10986-31003 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-310032021-05-25T09:20:19Z Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth World Bank Group AGRIBUSINESS AGRICULTURAL PRODUCTIVITY FOOD MARKET INCLUSIVE GROWTH ECONOMIC GROWTH ECONOMIC OUTLOOK CURRENT ACCOUNT FISCAL TRENDS RISKS PUBLIC INVESTMENT Real GDP growth rebounded strongly to 6.1 percent in FY17/18, from 3.9 percent the previous year. The rebound was largely driven by a pick-up in investments and exports, and on the back of strengthened credit to the private sector and good weather. Consequently, services, particularly information and communications, sustained strong growth, and food crop production recovered. Inper capita terms, however, this rebound translates into a 3.1 percent growth rate, because of the rapidly growing population. Moreover, the heavy reliance on rain-fed and subsistence agriculture drives the volatility in economic growth at the margin, with spillover effects on exportearnings, and a considerable impact on the poor’s income. Despite the rebound in economic growth in FY17/18, fiscal revenues stagnated, while the expenditure mix deteriorated further, with excessive current spending and under-execution in capital spending. Current spending exceeded last year’s outcome by a striking 1.4 percent of GDP and was above the budgeted amount by 32 percent. At the same time, the larger current spending was not used to finance investments in human capital.Therefore, one of the government’s priorities should be to rein in current spending and thereby keep public debt under control. Meanwhile, capital spending was 0.6 percent of GDP lower compared to the year before and fell short of the budgeted amount by 60 percent. Compared to peers, capital spending in Uganda stood at 4.4 percent of GDP in FY17/18, which is less than half the size ofRwanda’s capital outlays at 10.3 percent of GDP, and only 60 percent of Kenya’s at 7 percent of GDP. Combined with deficiencies in the ‘quality at entry’ of projects, cost escalations, and poor quality of some completed projects, this under-spending is constraining Uganda’s ambitions for rapid growth and socio-economic transformation. Therefore, concerted efforts are required to improve public investment management. 2018-12-18T19:31:23Z 2018-12-18T19:31:23Z 2018-11 Report http://documents.worldbank.org/curated/en/678231542382500879/Uganda-Economic-Update-12th-Edition-Developing-the-Agri-Food-System-for-Inclusive-Economic-Growth http://hdl.handle.net/10986/31003 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work :: Economic Updates and Modeling Economic & Sector Work Africa Uganda |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
AGRIBUSINESS AGRICULTURAL PRODUCTIVITY FOOD MARKET INCLUSIVE GROWTH ECONOMIC GROWTH ECONOMIC OUTLOOK CURRENT ACCOUNT FISCAL TRENDS RISKS PUBLIC INVESTMENT |
| spellingShingle |
AGRIBUSINESS AGRICULTURAL PRODUCTIVITY FOOD MARKET INCLUSIVE GROWTH ECONOMIC GROWTH ECONOMIC OUTLOOK CURRENT ACCOUNT FISCAL TRENDS RISKS PUBLIC INVESTMENT World Bank Group Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| geographic_facet |
Africa Uganda |
| description |
Real GDP growth rebounded strongly to
6.1 percent in FY17/18, from 3.9 percent the previous year.
The rebound was largely driven by a pick-up in investments
and exports, and on the back of strengthened credit to the
private sector and good weather. Consequently, services,
particularly information and communications, sustained
strong growth, and food crop production recovered. Inper
capita terms, however, this rebound translates into a 3.1
percent growth rate, because of the rapidly growing
population. Moreover, the heavy reliance on rain-fed and
subsistence agriculture drives the volatility in economic
growth at the margin, with spillover effects on
exportearnings, and a considerable impact on the poor’s
income. Despite the rebound in economic growth in FY17/18,
fiscal revenues stagnated, while the expenditure mix
deteriorated further, with excessive current spending and
under-execution in capital spending. Current spending
exceeded last year’s outcome by a striking 1.4 percent of
GDP and was above the budgeted amount by 32 percent. At the
same time, the larger current spending was not used to
finance investments in human capital.Therefore, one of the
government’s priorities should be to rein in current
spending and thereby keep public debt under control.
Meanwhile, capital spending was 0.6 percent of GDP lower
compared to the year before and fell short of the budgeted
amount by 60 percent. Compared to peers, capital spending in
Uganda stood at 4.4 percent of GDP in FY17/18, which is less
than half the size ofRwanda’s capital outlays at 10.3
percent of GDP, and only 60 percent of Kenya’s at 7 percent
of GDP. Combined with deficiencies in the ‘quality at entry’
of projects, cost escalations, and poor quality of some
completed projects, this under-spending is constraining
Uganda’s ambitions for rapid growth and socio-economic
transformation. Therefore, concerted efforts are required to
improve public investment management. |
| format |
Report |
| author |
World Bank Group |
| author_facet |
World Bank Group |
| author_sort |
World Bank Group |
| title |
Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| title_short |
Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| title_full |
Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| title_fullStr |
Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| title_full_unstemmed |
Uganda Economic Update, 12th Edition, November 2018 : Developing the Agri-Food System for Inclusive Economic Growth |
| title_sort |
uganda economic update, 12th edition, november 2018 : developing the agri-food system for inclusive economic growth |
| publisher |
World Bank, Washington, DC |
| publishDate |
2018 |
| url |
http://documents.worldbank.org/curated/en/678231542382500879/Uganda-Economic-Update-12th-Edition-Developing-the-Agri-Food-System-for-Inclusive-Economic-Growth http://hdl.handle.net/10986/31003 |
| _version_ |
1764473369775833088 |