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Uganda Overtakes Tanzania in GDP Per Capita

This information comes from the International Monetary Fund’s (IMF) projections for 2025.

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In a significant shift within East Africa’s economic landscape, Uganda has surpassed Tanzania to become the second-richest country in the region by GDP per capita, following Kenya. This information comes from the International Monetary Fund’s (IMF) projections for 2025. According to the IMF’s October 2024 World Economic Outlook (WEO), Uganda’s GDP per capita is estimated at $1,300, narrowly exceeding Tanzania’s $1,270, while Kenya leads the region with a GDP per capita of $2,190. Rwanda, often referred to as the “Singapore of Africa” due to its aggressive development model, has a GDP per capita of approximately $990 to $1,022. This development is a significant moment for Uganda, highlighting years of economic progress and strategic investments, even as broader regional dynamics and global economic conditions influence these results.

GDP per capita, calculated by dividing a country’s total economic output (GDP) by its population, provides insight into average economic well-being. The IMF’s 2025 projections indicate:

  • Kenya: $2,190 – Solidifying its status as East Africa’s economic powerhouse.
  • Uganda: $1,300 – A notable advance, overtaking Tanzania by a slim margin.
  • Tanzania: $1,270 – A slight decline relative to Uganda, despite having a larger overall economy.
  • Rwanda: Approximately $990 to $1,022 – Experiencing steady but slower growth compared to its neighbors.

These figures contrast with 2023 data from the World Bank, where Kenya stood at $1,952.3, Tanzania at $1,224.5, and Uganda at $1,002.3. The IMF’s forward-looking estimates suggest that Uganda’s per capita income has grown significantly, driven by a projected real GDP growth rate of 6.0% in 2024 and 7.0% in 2025, outpacing Tanzania’s expected 5.4% and 6.0% growth for the same period.

Uganda’s economic rise can be attributed to a combination of structural reforms, growth in various sectors, and strategic investments particularly in its emerging oil sector. Here are the key drivers:

  • Oil and Gas Boom: Uganda’s oil sector is approaching commercial production, with projects like the East African Crude Oil Pipeline (EACOP) and the Tilenga and Kingfisher fields poised to enhance revenues. While actual production is expected to begin around 2025-2027, preparatory investments have already spurred economic activity, attracting foreign direct investment (FDI) and stimulating related sectors such as construction and logistics.
  • Diversified Growth: Beyond oil, Uganda has shown strong performance in mining, construction, and hospitality. The African Development Bank reported a 4.6% GDP growth in 2023, decreasing from 6.3% in 2022, but projections for 2024 and 2025 suggest a rebound driven by consumer demand and regional trade. Although agriculture still employs 70% of the workforce, higher productivity sectors like services and manufacturing are emerging.
  • Population Dynamics: With a population of approximately 49 million, Uganda’s economic gains are translating more effectively into per capita terms compared to Tanzania’s larger population of 65 million. This balance allows Uganda’s GDP growth to have a more direct impact on individual income levels.

Tanzania has experienced steady but relatively slower per capita growth compared to its neighbors. In 2023, the country’s economy grew by 5.2% and is projected to grow by 5.4% in 2024 and 6.0% in 2025, according to the IMF. Key drivers of Tanzania’s economy include agriculture, manufacturing, and tourism, along with public investments and business-friendly reforms under President Samia Suluhu Hassan. However, Tanzania’s larger population dilutes its per capita figures. Its total GDP ($79.06 billion in 2023) significantly exceeds that of Uganda ($48.77 billion), highlighting the distinction between overall wealth and per capita metrics.

Kenya maintains its leading position due to its diversified and industrialized economy, which encompasses sectors such as finance, technology (e.g., M-Pesa), and agriculture, with a projected GDP growth rate of 5.0% to 5.5% for 2025. Meanwhile, Rwanda, despite its effective governance and urban development, faces challenges due to its smaller economic base. Its GDP per capita is increasing but still lags behind its regional counterparts due to reliance on tourism and agriculture.

Uganda’s economic ascent is not without challenges. The country’s public debt-to-GDP ratio rose to 49.6% in 2023, which is considered sustainable but indicates a need for fiscal discipline as oil revenues begin to ramp up. Additionally, poverty has increased, from 21.4% in 2017 to 30.1% in 2020, highlighting that per capita gains have not yet reached all segments of the population. Tanzania is currently facing tight financing conditions and exchange rate pressures, although its inflation remains low at 3.0%-4.0%. Kenya is grappling with debt servicing costs, while Rwanda’s high growth, projected at 7%-8%, is moderated by its smaller economic base.

Globally, the IMF forecasts a 3.2% growth rate for 2025, with Sub-Saharan Africa projected to grow at 4.0%-4.2%, suggesting that East Africa remains a bright spot. If Uganda manages its oil-driven trajectory effectively, it could solidify its position in the region. Still, Tanzania’s larger economy and Kenya’s regional dominance ensure a competitive landscape.

While the claim about which country is the “richest” hinges on GDP per capita, this perspective is somewhat narrow. Total GDP reflects a country’s economic size, in which Tanzania and Kenya outpace Uganda. Using purchasing power parity (PPP) or assessing wealth distribution might yield different rankings. Nonetheless, Uganda’s emerging status underscores its potential as a rising player in the region, reshaping narratives once dominated by Kenya and, to a lesser extent, Tanzania.

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How a Ugandan Content Creator Can Get Their Product on In-Flight Entertainment

In-flight entertainment (IFE) presents a valuable opportunity for content creators to reach a global audience being millions of passengers flying at 30,000 feet, all looking for distraction.

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In-flight entertainment (IFE) presents a valuable opportunity for content creators to reach a global audience being millions of passengers flying at 30,000 feet, all looking for distraction. For a Ugandan filmmaker crafting a drama about Kampala’s bustling streets, a musician blending Luganda lyrics with Afrobeat, or a game developer programming a mobile adventure inspired by Lake Victoria, IFE offers a unique platform. However, how can a creator from Uganda break into this high-flying market? With airlines like Ethiopian Airlines, Emirates, and Uganda Airlines connecting Africa and beyond, the path is challenging but achievable. Here’s a step-by-step guide, informed by industry leaders like Safran Passenger Innovations (SPI) and Anuvu, tailored to a Ugandan perspective.

Step 1: Craft IFE-Ready Content Airlines prioritize content that captivates a diverse audience while adhering to strict guidelines. Begin by ensuring your product aligns with IFE standards:

  • Know Your Audience: IFE serves everyone from business travelers to families. A Ugandan short film, like the hypothetical “Kampala Hustle,” could resonate with East African passengers on Ethiopian Airlines, while a universal story about resilience might appeal to Emirates’ global travelers. Music or games with local flair such as a Ugandan trivia app can also stand out.
  • Keep It Short and Sweet: Short-haul flights (e.g., Entebbe to Nairobi) typically favor content that lasts 20-60 minutes, while long-haul routes (e.g., Entebbe to London) are suited for feature-length films or albums. A 30-minute documentary on Uganda’s coffee trade would fit perfectly.
  • Polish Production: Invest in quality and aim for 1080p video, clear audio, and subtitles in English (which is mandatory) or in other languages like Swahili, Arabic, or French (a bonus for airlines like Qatar Airways). If budgets are tight, free tools like DaVinci Resolve or Audacity can be helpful.
  • Censor Smartly: Airlines avoid content with violence, explicit material, or plane-crash scenes. Edit your work to ensure it is family-friendly and culturally sensitive. This is especially crucial for carriers serving conservative regions.

Make sure to secure your intellectual property rights through Uganda’s Registration Services Bureau (URSB) to ensure you can license your work legally. If your project incorporates third-party music or footage, make sure to clear those rights as well for airlines typically won’t touch content with legal risks.

Step 2: Target the Right Players Uganda’s content creators won’t pitch directly to Boeing or Airbus. IFE agreements typically occur through airlines, content service providers (CSPs), or distributors. Here’s where to focus your efforts:

  • Local Airlines: Uganda Airlines, revived in 2019, operates Airbus A330s and CRJ900s equipped with IFE systems. Its focus on East African routes makes it a natural fit for Ugandan content. Reach out to their marketing or passenger experience team via their website (ugandairlines.com) or LinkedIn.
  • Regional Giants: Ethiopian Airlines, a Star Alliance member with over 150 aircraft, partners with Anuvu for IFE and emphasizes African content (including Nollywood and Ethiopian films). Pitching to them could spotlight Ugandan stories across their extensive network.
  • Global CSPs: Companies such as Anuvu and Safran Passenger Innovations dominate IFE delivery. Anuvu, which works with clients like Air Canada and TUI Airways, curates over 600 films for Ethiopian Airlines, including regional selections. Safran’s RAVE system, used by Lufthansa and ANA, supports diverse content on its seatback screens. Both accept submissions—Anuvu via distribution.anuvu.com, and Safran through its office in Brea, California.
  • African Distributors: Firms like Kenya’s Multichoice or Nigeria’s Afrinolly may bundle Ugandan content into IFE packages. Network at events like FESPACO, Burkina Faso’s film festival, to make connections.

Step 3: Pitch Like a Pro With airlines and CSPs receiving hundreds of pitches, yours must stand out:

  • Create a Pitch Package: Include a one-page synopsis (e.g., “A Ugandan musician’s journey from Gulu to global stardom”), runtime, target audience (e.g., East African travelers), and a trailer or demo. Highlight the cultural value, Uganda’s vibrant arts scene is a notable selling point.
  • Offer Affordable Terms: While blockbusters can cost over $90,000 per license, indie content may start at $5,000-$20,000 for 2-3 months. Propose a trial run on Uganda Airlines’ Entebbe-Dubai route to demonstrate demand.
  • Email Strategically: For Anuvu, use their media inquiries email or reach out to LinkedIn contacts in their content team. For Safran, connect with SPI’s acquisition representatives. Highlight how your work aligns with their technology e.g., RAVE’s Bluetooth audio compatibility suits Ugandan music playlists.
  • Leverage Uganda’s Film Scene: Cite successes like “Queen of Katwe” (Disney, 2016) or the Uganda Film Festival to illustrate market potential. If you have won local awards, be sure to showcase them.

Step 4: Deliver and Negotiate If interest arises, be ready to finalize the deal:

  • Provide Files: Deliver DRM-ready files (e.g., MP4 format with encryption) via secure platforms like WeTransfer. Anuvu’s Open™ platform or Safran’s RAVE OS can provide guidance on format specifications and please don’t hesitate to ask for their technical sheets.
  • Negotiate Terms: Expect a 2-6 month license covering specific routes (e.g., Entebbe to Addis Ababa). Retain rights for streaming platforms like iROKOtv to maximize revenue. Consider consulting a lawyer from Kampala’s legal community to help with contract details.

Step 5: Amplify and Grow

  1. Promote Locally: Announce your partnership on platforms like X or Uganda’s NTV with a message like “Now on Ethiopian Airlines!” to generate excitement. Be sure to tag
    @anuvu_official or @Ug_Airlines to increase visibility.
  2. Track Success: Request viewership statistics from the airline or content service provider (CSP) to help pitch for renewals or new projects.
  3. Scale Up: Use this initial success to approach larger carriers like Emirates or pitch at global events such as APEX Expo (USA) or DISCOP (Africa’s content market).

With Safran’s technological innovation and Anuvu’s content reach, Uganda’s creative voices can gain global recognition, one flight at a time.

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Creative Side Gigs for Ugandan Musicians to Cash In

Uganda’s music scene is vibrant and diverse, yet financial stability can seem elusive.

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In Uganda, where music flows through the streets of Kampala, the hills of Kabale, and the shores of Lake Victoria, being a musician is both a calling and a hustle. From the soulful strums of Kadongo Kamu to the infectious beats of Afrobeat and Lugaflow, artists pour their hearts into their craft. However, the paycheck doesn’t always reflect the passion. With streaming platforms offering minuscule royalties, live gigs disrupted by everything from weather to politics, and piracy cutting into profits, Ugandan musicians need more than just talent to thrive, they need side hustles. Fortunately, their skills in performance, creativity, and connection can open doors to lucrative ventures. Here’s a list of 10 side hustles tailored specifically for Ugandan musicians, combining practicality with a touch of flair.

The Ugandan Music Hustle: Why Diversify?
Uganda’s music scene is vibrant and diverse, yet financial stability can seem elusive. A hit song might go viral on TikTok, but the royalties barely cover a boda boda (motorcycle taxi) ride. Gigs at popular venues such as Kyadondo Rugby Grounds or local bars can be goldmines, but the income can fluctuate due to unpredictable turnout or last-minute cancellations. With the costs of studio time and the impact of piracy, it becomes clear that relying solely on music is a gamble. Side hustles are not just a backup plan; they are a strategic move that allows musicians to transform their talents into steady income while keeping their artistic passions alive.

10 Side Hustles for Ugandan Musicians

  1. Music Lessons with a Ugandan Beat
    Teach vocals, instruments like the endongo or guitar, or even beat-making, either in your community or online. Uganda’s rich musical tradition and growing youth interest make this an excellent option. Offer one-on-one sessions (UGX 50,000–150,000/hour) or group workshops at schools or cultural centers. Use WhatsApp or Zoom for virtual lessons.
  2. Merch That Screams Uganda!
    Sell branded gear—think kitenge (traditional Ugandan fabric) hoodies, beaded chains, or mugs featuring your lyrics. Collaborate with local tailors or artisans for affordable production. Market your products at gigs, on Instagram, or through platforms like Jumia. Consider creating items like “Kla Vibe” T-shirts or necklaces inspired by your latest track.
  3. Mixing and Mastering Magic
    Polish tracks for other artists. Mixing balances sounds, while mastering ensures tracks shine. With Uganda’s DIY music boom, many independent artists need affordable, skilled engineers. Learn from free resources on YouTube or take low-cost courses on Udemy. Charge between UGX 50,000 and 500,000 per job.
  4. Gigging at Private Parties
    Perform at weddings, birthdays, or corporate events for a steady income. Record a promotional video of your live set and pitch it to event planners or hotels like Speke Resort. Charge between UGX 500,000 and 2,000,000 per gig.
  5. TikTok and YouTube Hustle
    Create short music videos, tutorials, or vlogs to earn ad revenue, tips, or sponsorships. With over 30 million mobile internet users in Uganda as of 2024, these platforms offer a lucrative opportunity to reach fans. Monetize through YouTube ads or by receiving tips via mobile money (e.g., MTN MoMo).
  6. Licensing Your Tracks
    Sell your music for use in advertisements, TV shows, or Ugandan films. The rise of local content, such as shows on Pearl Magic Prime, creates a demand for fresh soundtracks. Upload your tracks to platforms like AudioJungle or pitch directly to filmmakers in Kampala’s growing movie scene.
  7. Voice-Overs for Cash
    Lend your voice to radio jingles, TV ads, or animations. Uganda’s flourishing media market seeks dynamic voices, and your stage-ready voice is an asset. Record a demo in English, Luganda, or other local languages and reach out to radio stations or ad agencies.
  8. Hosting Music Camps or Jams
    Lead workshops or retreats focused on teaching songwriting, vocals, or production. Uganda’s tourism hotspots and rich musical heritage make this an attractive offering. Partner with venues in Entebbe or Fort Portal, charging UGX 50,000–200,000 per person for a day event.
  9. Brand Collaborations and Jingles
    Partner with companies to perform, endorse, or create catchy jingles. Ugandan brands, such as Bell Lager or Movit, appreciate authentic voices that connect with consumers. Even a modest following can lead to deals worth UGX 1,000,000 or more.
  10. Podcasting the Ugandan Sound
    Start a podcast focused on music, culture, or your personal journey, monetizing through ads or fan support. With Uganda’s growing podcast audience eager for local stories, this is an opportunity to connect with listeners. Record episodes using a phone and free software like Audacity, then distribute via Anchor and promote on WhatsApp.

Making It Work in Uganda
These hustles thrive in Uganda’s unique mix of urban energy and rural roots. In cities like Kampala and Mbale, digital tools such as WhatsApp for bookings and TikTok for promotion can amplify your reach. In smaller towns, word-of-mouth and community connections (think church events or market days) can be goldmines. Mobile money simplifies transactions, whether it’s UGX 50,000 from a fan in Soroti or a substantial payment from a Kampala-based brand. Challenges like unreliable power or internet access can be managed with solar chargers and data bundles. Resilience is undeniably the Ugandan way.

Your Next Move
Ugandan musicians, your talent is a powerful asset, don’t let it go unused. Whether you’re mixing a track in a rented studio, selling kitenge tees at your next gig, or teaching a child in Busoga to sing like Sheebah, the possibilities are endless.

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Balancing Growth and Stability in 2025

The Uganda Economic Update report provides a broader perspective on this landscape. It estimates that growth for FY23/24 will be 6%, up from 5.3%, driven by a rebound in agriculture, oil-related construction, and a services sector buoyed by telecommunications and trade.

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Uganda’s financial landscape is a vibrant yet complex mix of fintech innovation, cautious monetary policy, and ambitious economic goals. From the bustling markets of Kampala to the rural fields in the north, the nation finds itself at a pivotal moment poised for growth while navigating challenges that test its resilience.

At the forefront of this financial evolution is the fintech sector, driven by the remarkable success of mobile money. Platforms like MTN Mobile Money and Airtel Money have transformed basic phones into powerful financial tools, reaching millions who were previously excluded from traditional banking services. By 2025, mobile money transactions have outpaced the formal economy, accounting for over 90% of GDP. This phenomenon extends beyond mere cash transfers; partnerships with banks have resulted in micro-loans and digital savings accounts, empowering individuals such as a boda boda driver in Kampala to repair his motorcycle or a savings group in Masaka to secure its funds. Additionally, new fintech players are emerging, offering asset financing and digital platforms for community savings, creating a diverse and thriving ecosystem. This boom, celebrated widely on March 6, reflects a surge in digital transactions fueled by expanding mobile networks and a push towards digitalization that is reshaping how Ugandans live and work.

However, this fintech flourish unfolds against a backdrop of stringent monetary policy. The Bank of Uganda has maintained its key lending rate at 10% since February 6, 2025, a decision made with caution in light of global uncertainties such as volatile oil prices and supply chain disruptions. The Uganda Economic Update report characterizes 2023/24 as a challenging year for businesses, with tight policy driving up borrowing costs and limiting access to credit. Core inflation, which reached 4.2% in January 2025 and is projected to remain between 4% and 5% this year, reinforces this cautious approach keeping prices in check but leaving businesses struggling with high loan costs. As of March 6, no changes to the interest rate have been reported, suggesting a continuation of this stability. While it offers predictability, it also provides little relief. Businesses ranging from small traders to manufacturers face a difficult choice: reduce operations or pass increased costs onto consumers, a trend evidenced by six consecutive months of rising output charges.

The Uganda Economic Update report provides a broader perspective on this landscape. It estimates that growth for FY23/24 will be 6%, up from 5.3%, driven by a rebound in agriculture, oil-related construction, and a services sector buoyed by telecommunications and trade. Industry and services lead the way, contributing 25% and 44% to GDP, respectively, while agriculture despite employing the majority of Ugandans continues to contend with climate-related challenges. Looking ahead, growth is projected at 6.2% for FY24/25, potentially reaching 7% as oil production begins later in the year. This aligns with an ambitious vision to achieve a $59.3 billion economy by June 2025, as targeted earlier this year. Yet, risks remain: high debt levels, weak domestic revenue, and poverty still affecting 40% of the population pose threats to this trajectory.

The financial system has shown resilience. A cybersecurity breach in February 2025 resulted in the theft of $21 million from the central bank, revealing vulnerabilities, yet fintech’s decentralized structure ensured that mobile money transactions continued uninterrupted. Currently, no major financial crises dominate the news cycle, although the repercussions of that breach may still be felt. At the same time, the private sector is showing signs of recovery, with improved business conditions reported on March 6, a potential nod to the buoyancy of fintech and the stability of monetary policy.

Uganda’s financial landscape in 2025 presents a study in contrasts. Mobile money and fintech innovations are rewriting the rules, driving financial inclusion and economic activity at an unprecedented pace. Nonetheless, tight monetary policy and structural challenges such as gaps in rural connectivity and high borrowing costs temper this progress, requiring resilience from both businesses and citizens. With oil production on the horizon and a youthful population eager for opportunities, the nation stands at a crossroads between promise and peril. As March 6 unfolds, Uganda is a country in motion, stable and growing, yet ever vigilant of the challenges that could tip the balance.

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