Uganda’s economy needs to grow at 10% if it’s to attain middle income status

By Ritah Kemigisa

Uganda must double the rate at which the economy is currently growing if it is to attain middle-income status.

The remark from renowned economist Ramathan Goobi comes after the International Monetary Fund country representative revealed that Uganda is 12 years away from achieving President Museveni’s ambition of middle-income status.

Goobi says for this dream to become a reality, economic growth ought to grow at a rate not less than 10%.

However, the Bank of Uganda has since projected that the country’s economic outlook which is slowly recovering from the covid19 pandemic will grow at an unchanged rate of 4% for FY 2021/2022.

Goobi is meanwhile recommending that government finds a solution to reduce the fertility rate of Ugandans.

According to Goobi, the population growth rate is a key determinant of economic prosperity because per capita income growth initially depends on the population growth rate.

He insists that a society that produces more children than other products cannot achieve middle income in a single generation.

Written by Noelyn Nassuuna