By Rogers Wanambwa
KIU, Main Campus – According to the Permanent Secretary to the Ministry of Finance, Planning and Economic Development, Prof. Ramathan Ggoobi, Uganda's debt to GDP ratio is still largely sustainable.
Prof. Ramathan said this as he addressed an audience on Thursday, 16th December 2021, at the Serena Hotel, Kampala.
According to him, “At 49.9%, Uganda's National Debt is one of the lowest in the region, and we want it to remain sustainable by keeping it within our Charter for Fiscal Responsibility that we have already gotten through Parliament.”
He assured the country that although rumours are going on that the government has over-borrowed, that is not the case.
To emphasize his point, he gave statistics of the other countries in the region, citing Kenya having a debt to GDP of 75%, Rwanda, 66%, Burundi, 76%, Ethiopia, 56%, and Tanzania, 36%.
Furthermore, the Permanent Secretary said that the government is going to borrow largely concenssionally or a longer debted commercial in order to reduce the refinancing risk.