Facing declines in export prices, a slowdown in remittances and continuing high agricultural input prices, Uganda's economy will struggle to hit the 7% to 7.5% growth initially estimated by the International Monetary Fund (IMF). Revised forecasts suggest that 5% to 6% is more realistic in 2009/10, although the east African country is still one of Africa's best performers.
Over the past five years, growth has averaged 7.9% but inflation is the major preoccupation for finance minister Dr Ezra Suruma. Imported inflation from Kenya, food price rises and infrastructures issues, which feed import prices and slow regional economic integration, are feeding into an inflation rate of more than 14%.
