By Diana Kintu
Early July 2025 – The Uganda Revenue Authority (URA) has recorded an impressive revenue collection performance for the financial year 2024/25, surpassing its target by Shs262.43 billion. According to the annual revenue performance brief released at the beginning of this week, URA collected Shs31.63 trillion against a set target of Shs31.37 trillion, achieving a performance rate of over 100%.
This represents a 15.86% revenue growth compared to the previous financial year, with an increase of Shs4,330.37 billion. The strong performance has been attributed to improvements in the economy, enhanced administrative measures, and increased taxpayer compliance.
In a statement signed by Commissioner General John R. Musinguzi, URA noted that while revenue growth slowed in 2023/24, the economy rebounded strongly in 2024/25, growing by 6.7% at the mid-year mark. “The average net revenue collection growth over the past five years has shown continuous expansion,” the report stated. “Uganda’s economy is experiencing robust growth, with projections indicating a solid performance ahead. Recent reports highlight a positive trend, particularly in the service and industrial sectors, and the country is expected to rank among the fastest-growing economies in Africa.”
URA remains committed to increasing Uganda’s tax-to-GDP ratio from the current 13% to 18% in the coming years. This will be achieved through digital public infrastructure improvements, enhanced tax administration, and closing existing tax loopholes. The authority aims to reduce reliance on external funding by strengthening domestic revenue collection.
The strong revenue performance reflects broader economic resilience, with key sectors such as services and industry driving growth. URA’s efforts in expanding the tax base, improving compliance, and leveraging technology have played a crucial role in this success.
As Uganda positions itself among Africa’s fastest-growing economies, URA’s continued focus on efficiency, transparency, and taxpayer engagement will be critical in sustaining this upward trajectory.