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Uganda’s Finance Ministry has shed light on the performance of the Uganda Shilling, which has emerged as Africa’s best-performing currency.
The Ugandan currency has appreciated by 6.1% in the past 12 months, more than any other on the continent, according to the Ministry.
This Wednesday morning, during the Uganda-UK Business Forum in Kampala, Ramadhan Ggoobi, the Finance Ministry Permanent Secretary and Secretary to the Treasury, attributed this success to the country’s strong export performance and a steadfast approach during global economic challenges.
Stable Currency Amid Global Uncertainty
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Dr. Ggoobi explained that Uganda had managed to maintain a very stable currency, unlike many countries that “resorted to distortionary interventions during the COVID-19 and post-COVID periods.”
"We remained steadfast, allowing the Shilling to float freely," he said.
This approach, he said, was initially met with resistance from some Ugandans who wanted the government to take similar actions to other nations.
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But the result, according to Ggoobi, speaks for itself: Uganda’s Shilling is now the most stable currency in the region.
The Shilling’s strong performance has placed Uganda at the forefront of African economies, with the currency appreciating 6.1% over the past year, surpassing 23 other African currencies, as reported by Bloomberg. This trend has played a significant role in boosting the country’s economic confidence and resilience.
Export Growth and Economic Success
Dr. Ggoobi also credited the Shilling's strength to the country’s growing export sector. Uganda’s merchandise export receipts reached $9.1 billion in the 12 months to February 2025, with total receipts, including services, close to $11 billion.
This surge in exports, alongside increasing inflows of dollars from portfolio investors, has been key to stabilising the Shilling.
The Finance Ministry's recent report indicates that this steady growth in exports, combined with effective financial management, has been critical in maintaining economic stability and fostering growth.
Dr. Ggoobi assured that Uganda’s success was not a matter of luck, but rather the result of the country’s right economic decisions.