Uganda has registered a trade surplus in the month of April 2023, according to a recent report released by the Ministry of Finance, Planning, and Economic Development.
According to the report, Uganda registered a trade surplus with Kenya, Rwanda, South Sudan, and Congo in April 2023 and a deficit with Burundi and Tanzania. Trade with South Sudan resulted in the highest surplus in the region, amounting to US$ 43.01 million.
The report further highlighted that Kenya was Uganda’s main trade partner in April 2023 as well as her biggest market for her exports (35.7% market share) during the month.
The top-earning exports to Kenya during the month were animals and animal products, particularly day-old chicks, milk, maize, and fermented
Black tea and sugar.
In the financial sector, the report noted that inflation declined to 6.2 percent in May from 8.0% in April. This, according to the report, was attributed to a slowdown in the rise of food prices such as maize flour, cassava flour, matooke, and sweet potatoes.
It was also recorded that Uganda’s shilling strengthened by 0.4% against the US dollar, trading at an average rate of Shs 3,729.6/USD in May 2023 from Shs 3,745.8/USD recorded in April, a move that was partly supported by the tight monetary policy stance.
The report also noted that government expenditure in the month of May 2023 amounted to Ugx3.5 billion, which was higher than the planned Shs. 2,984.98 due to higher absorption by MDAs towards the end of the financial year as well as higher domestic interest payments resulting from higher interest rates.
While presenting the 2023 national budget at Kololo Independence Grounds last week, Finance Minister Matia Kasaija maintained that Uganda’s economy has continued to grow and stabilize.
