Kampala – The Ministry of Finance, Planning and Economic Development has set a preliminary resource envelope of Shs79.22 trillion for the Financial Year 2027/28, marking a reduction of Shs5.17 trillion from the Shs84.39 trillion budget approved for the current financial year.
The figure was announced by Permanent Secretary and Secretary to the Treasury Ramathan Ggoobi in the First Budget Call Circular issued to all Accounting Officers, Chief Executive Officers of State-Owned Enterprises, and Public Corporations. The circular directs them to begin preparing their Budget Framework Papers and preliminary estimates for the next financial year.
According to Ggoobi, the lower resource envelope reflects a deliberate policy shift towards stronger domestic revenue mobilisation and reduced dependence on borrowing and external financing. He emphasised that government entities must align their spending proposals strictly with the approved Budget Strategy rather than seeking funding for programmes outside the national framework.
The Ministry outlined seven strategic shifts that will guide planning for FY2027/28. These include revenue-led fiscal consolidation, prudent management of oil revenues, mobilisation of private capital, faster implementation of the national Tenfold Growth Strategy, and tighter prioritisation of public expenditure.
Officials say the reduced ceiling is intended to promote fiscal sustainability as Uganda continues to manage its public debt obligations and prepare for increased oil revenues in the coming years. The Shs79.22 trillion figure remains preliminary and is expected to be refined through further consultations, Budget Framework Paper submissions, and parliamentary scrutiny before the final budget is presented.
The announcement comes as government departments begin the formal budget preparation cycle. Accounting Officers have been instructed to ensure their proposals support the broader economic transformation agenda while remaining within the tighter resource limits.
Trending UG will continue monitoring the budget process as more details emerge in the coming months.