The economy of Uganda has a great potential and appears poised for rapid growth and development. Uganda is endowed with significant natural resources, including ample fertile land, regular rainfall, and mineral deposits.
Chronic political instability and erratic economic management since the implementation of self-rule has produced a record of persistent economic decline that has left Uganda among the world's poorest and least-developed countries. The informal economy, which is predominantly female, is broadly defined as a group of vulnerable individuals without protections in regards to their work. Women face a plethora of barriers specific to gender when attempting to access the formal economy of Uganda, and research revealed prejudice against lending to women in the informal sector. The national energy needs have historically exceeded the domestic energy generation, though large petroleum reserves have been found in the country's west.
After the turmoil of the Amin period, the country began a program of economic recovery in 1981 that received considerable foreign assistance. From mid-1984 onward, overly expansionist fiscal and monetary policies and the renewed outbreak of civil strife led to a setback in economic performance.
The economy has grown since the 1990s; real gross domestic product (GDP) grew at an average of 6.7% annually during the period 1990–2015, whereas real GDP per capita grew at 3.3% per annum during the same period. During this period, the Ugandan economy experienced economic transformation: the share of agriculture value added in GDP declined from 56% in 1990 to 24% in 2015; the share of industry grew from 11% to 20% (with manufacturing increasing at a slower pace, from 6% to 9% of GDP); and the share of services went from 32% to 55%.
International trade and finance
Since assuming power in early 1986, Museveni's government has taken important steps toward economic rehabilitation. The country's infrastructure, notably its transport and communications systems which were destroyed by war and neglect, is being rebuilt. Recognizing the need for increased external support, Uganda negotiated a policy framework paper with the IMF and the World Bank in 1987. Uganda subsequently began implementing economic policies designed to restore price stability and sustainable balance of payments, improve capacity utilization, rehabilitate infrastructure, restore producer incentives through proper price policies, and improve resource mobilization and allocation in the public sector. These so-called Structural Adjustment Programs greatly improved the shape of the Ugandan economy, but did not lead to economic growth in the first decade after their implementation. Since 1995, Uganda has experienced rapid economic growth, but it is not clear to what extent this positive development can be attributed to Structural Adjustment. Uganda is a member of the World Trade Organization, since 1 January 1995 and a member of the General Agreement on Tariffs and Trade, from 25 October 1962.
Currency
Uganda began issuing its own currency in 1966 through the Bank of Uganda.
Agriculture
Agricultural products supply a significant portion of Uganda's foreign exchange earnings, with coffee alone, of which Uganda is Africa's second largest producer after Ethiopia, accounting for about 17% of the country's exports in 2017 and earning the country US$545 million. Exports of apparel, hides, skins, vanilla, vegetables, fruits, cut flowers, and fish are growing, while cotton, tea, and tobacco continue to be mainstays.
Uganda produced in 2018:
3.9 million tons of sugarcane; 3.8 million tons of plantain (4th largest producer in the world, losing only to Congo, Ghana and Cameroon); 2.9 million tons of maize; 2.6 million tons of cassava; 1.5 million tons of sweet potato (7th largest producer in the world); 1.0 million tons of bean; 1.0 million tons of vegetable; 532 thousand tons of banana; 360 thousand tons of onion; 298 thousand tons of sorghum; 260 thousand tons of rice; 245 thousand tons of sunflower seed; 242 thousand tons of peanut; 211 thousand tons of coffee (10th largest producer in the world); 209 thousand tons of millet;
In addition to smaller productions of other agricultural products, like cotton (87 thousand tons), tea (62 thousand tons), tobacco (35 thousand tons) and cocoa (27 thousand tons).
Transportation
As of 2017, Uganda had about of roads, with approximately (4 percent) paved. Most paved roads radiate from Kampala, the country's capital and largest city.