Uganda: Economy & Money

Economy

Inheriting an economy that had been destroyed by decades of greed and incompetence under the dictators meant that Museveni had to begin again.

IMF assistance, sound fiscal policies and an open market bore fruit and the 1990s saw economic growth of up to 10 percent. Agriculture, reflecting Uganda's fertile soils, remains the mainstay of the Ugandan economy, accounting for 70 percent of GDP and employing 90 percent of the workforce.

Manufacturing and mining are industries that have shrunk over the last few years; it is hoped that revenue from tourism will take up the slack.

The country has an interesting arrangement with a number of other countries whereby goods (often coffee) are exchanged for imports - in effect a barter system.

Money

The national currency is the Ugandan Shilling (USh), a weak but relatively stable currency. Most tourist establishments want payment in the local currency although the larger hotels and lodges will happily take US dollars.

Take US dollars in small and large denominations and shop around for the best exchange rates - banks and hotels tend to give the worst rates.

Please note that, as in most of East Africa, many establishments don't take US bills older than those issued in 2002.

A further piece of advice: some lodges or hotels will, rather bizarrely, give different exchange rates depending on the size of the bill.

Travellers' cheques are rarely accepted outside of the capital and only Standard Chartered Bank ATMs accept international credit cards.

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