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Agriculture Sector Allocation increases To Shs2.26 Trillion in Fy 2026/27

The Government has increased funding to the agriculture sector to Shs2.26 trillion in the 2026/27 financial year, reflecting its continued focus on agro-industrialisation as a key driver of economic transformation.

Finance Minister Henry Musasizi announced the allocation while presenting the national budget, saying the funds will support efforts aimed at boosting commercial agriculture, increasing productivity, enhancing value addition and improving household incomes across the country.

The increase comes as government intensifies implementation of programmes designed to modernise agriculture and strengthen the entire value chain from production to marketing.

Agriculture remains one of Uganda’s most important sectors, employing the majority of the population and contributing significantly to export earnings. Government officials say the additional resources will help expand access to quality seeds, irrigation, extension services, mechanisation and post-harvest handling facilities.

The allocation is also expected to support the Parish Development Model and other interventions aimed at transitioning households from subsistence farming to participation in the money economy.

Analysts have welcomed the increased funding, noting that greater investment in agriculture is critical for enhancing food security, creating jobs and improving rural incomes. However, they have called for effective implementation and timely release of funds to ensure the sector delivers the expected results.

Government says agriculture will continue to play a central role in achieving the country’s long-term development agenda and the goal of expanding Uganda’s economy through commercial production and agro-industrialisation.

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