The opposition party says Uganda’s import dependence, foreign-exchange pressures and the Protection of Sovereignty Act threaten economic growth, proposing increased agricultural financing, manufacturing investment and public expenditure reforms.
The Forum for Democratic Change (FDC) has called for the repeal of the Protection of Sovereignty Act, arguing that the legislation could undermine Uganda’s international partnerships at a time when households and businesses are grappling with economic pressures.
Robert Centenary, the party’s vice chairperson, said Uganda’s continued dependence on imported goods and its failure to produce enough for domestic consumption and export had left the economy vulnerable to external shocks.
The opposition party linked the cost-of-living pressures to the country’s trade deficit, foreign-exchange movements and what it described as the government’s failure to translate Uganda’s economic potential into improved household incomes.
“Why, after decades of promises of economic transformation, can we still not produce enough to meet our needs and compete internationally?” Centenary asked.
FDC argued that reliance on imported goods exposes businesses and consumers to international price fluctuations and exchange-rate movements, which can raise the cost of essential commodities, production and doing business.
The party called for increased investment in local manufacturing, agricultural production, agro-processing and export-oriented industries to reduce import dependence, create jobs and strengthen the domestic economy.
Centenary also questioned the government’s justification for the Protection of Sovereignty Act, asking how the legislation had protected ordinary Ugandans from the economic consequences of reduced access to international partnerships.
FDC alleged that the law had contributed to reduced remittances and economic difficulties among households. However, the party’s briefing did not provide figures demonstrating a decline in remittances or establish a direct causal link between the legislation and the rising cost of living.
The party maintained that Uganda’s economic interests depend partly on preserving international trade, investment and financial connections.
Beyond the legislation, FDC urged the government to consider advice from the Bank of Uganda, particularly on the use of available foreign-exchange reserves to manage currency pressures.
The party also pointed to import-related taxes and the cost of doing business as factors that can contribute to higher prices for imported goods, placing additional pressure on traders and consumers.
FDC Proposes 10% Budget Allocation to Agriculture
To address the economic challenges, FDC outlined a programme centred on agricultural financing, manufacturing, affordable electricity, infrastructure development and job creation.
The party pledged that an FDC-led government would increase agriculture’s share of the national budget to 10% within its first three years in office.
Its proposals include establishing a National Bank for Agricultural Finance to expand access to affordable, long-term credit for farmers and productive businesses, including enterprises owned by women and young people.
The party also proposed constructing 150 grain silos across the country, restoring cooperatives and the cooperative bank, and improving farmers’ access to storage facilities, processing infrastructure and markets.
FDC said the measures would reduce post-harvest losses, strengthen food security, increase household incomes and create employment across agricultural value chains.
The proposals seek to address some of the structural challenges facing Uganda’s agricultural sector, where limited access to financing, storage and processing facilities can constrain productivity and farmers’ earnings.
The party also called for increased investment in manufacturing and agro-processing to enable Uganda to add value to locally produced raw materials, reduce reliance on finished imports and expand its export base.
FDC further proposed a comprehensive review of public expenditure to identify potential savings, procurement risks and resources that could be redirected towards essential services and productive investment.
The party called for the publication of progress reports on the implementation of recommendations by the Auditor General and the Inspectorate of Government.
It also urged the government to strengthen independent oversight of public resources and pursue the lawful recovery of public assets.
The proposals form part of FDC’s 2026 manifesto, titled Fixing the Economy; Money in Our Pockets, which prioritises inclusive economic growth, employment creation, affordable credit and stronger agricultural production.
The party’s proposals come amid a broader debate over how Uganda can strengthen domestic production, protect household purchasing power and sustain economic growth while maintaining access to international markets and investment.