Uganda is increasingly looking beyond traditional agriculture to drive economic transformation, with tourism, mineral beneficiation and technology emerging as central pillars of government’s ambitious Tenfold Growth Strategy.
The 2026/27 budget places significant emphasis on these sectors, which officials believe offer the greatest potential for export growth, job creation and industrialization.
Tourism has already demonstrated its economic potential.
According to the budget speech, tourism receipts reached USD1.86 billion in 2025, surpassing pre-pandemic levels and marking a full recovery from the devastating effects of Covid-19.
Government has aggressively marketed Uganda under the “Explore Uganda, the Pearl of Africa” campaign.
The country secured international tourism awards in North America and Asia while expanding participation in major global tourism exhibitions.
Officials say international confidence in Uganda as a tourism destination continues to grow.
Government has also intensified economic and commercial diplomacy through Ugandan missions abroad, assigning embassies specific targets related to tourism promotion, investment attraction and export growth.
Infrastructure investments are supporting the sector.
Tourism sites including the Source of the Nile, Rwenzori Mountains, Kitagata Hot Springs and cultural heritage centres are receiving upgrades.
Government has allocated Shs567.32 billion to tourism development in the new budget.
Minerals represent another major growth opportunity.
Uganda possesses significant deposits of gold, iron ore, copper, limestone, uranium, lithium, manganese and rare earth elements.
Government is intensifying exploration and quantification activities to better understand the country’s mineral wealth.
One of the most significant developments is the commissioning of a clinker factory in Moroto.
The facility is expected to save Uganda approximately USD260 million annually in clinker imports while creating around 4,000 jobs.
Government’s strategy emphasizes value addition rather than raw mineral exports.
Officials want Uganda to process minerals locally and develop downstream industries capable of generating higher incomes and employment.
The oil and gas sector also remains central to the mineral development agenda.
Progress on EACOP, Tilenga and Kingfisher projects has brought Uganda closer to commercial oil production.
Government has allocated Shs473.51 billion to mineral-based industrial development and petroleum-related activities.
Technology and innovation constitute the third pillar of the strategy.
The commissioning of the Kiira Motors vehicle plant in Jinja represents a major milestone.
The factory has capacity to produce 2,500 buses annually and has already received orders for hundreds of vehicles.
Uganda’s electric mobility sector is growing rapidly.
More than 25,000 electric vehicles have reportedly been produced locally.
The completion of East Africa’s first production-scale lithium-ion battery assembly plant by Soleil Power further strengthens the country’s ambitions.
Pharmaceutical manufacturing is another area of focus.
Companies such as Microhaem Scientifics, Dei BioPharma and Jena Herbals are expanding local production of diagnostics, medicines and health products.
Government sees biotechnology as an opportunity to reduce imports, strengthen health security and create high-value jobs.
Space science has also entered the national development conversation.
Uganda’s National Space Centre has successfully deployed a climate camera to the International Space Station, expanding local capabilities in climate monitoring and environmental management.
Digital transformation continues advancing.
National fibre-optic infrastructure has expanded to nearly 63,000 kilometres.
Internet costs have fallen significantly while mobile money transactions have reached nearly Shs393 trillion annually.
Government has allocated Shs1.14 trillion for science, technology, innovation, ICT and creative industries.
Future priorities include commercialization of local innovations, establishment of a Hi-Tech City, expansion of digital infrastructure and support for business process outsourcing.
Officials believe these sectors offer opportunities to diversify Uganda’s economy beyond traditional agriculture while positioning the country for competitiveness in the global knowledge economy.
The success of the strategy will depend on continued investment, innovation, market access and the ability to attract private capital.
If effectively implemented, tourism, minerals and technology could become the foundations of Uganda’s next era of economic growth, helping drive the country’s aspiration of becoming a USD500 billion economy within the coming decades.
