KAMPALA, April 5, 2026 — Uganda’s remittance inflows reached Shs 9.25 trillion [US$2.5 billion] in 2025, the Bank of Uganda (BoU) has revealed, underscoring the growing importance of diaspora contributions to the country’s economy.
The figures were disclosed during the launch of an interactive remittance dashboard developed by the central bank in collaboration with the International Fund for Agricultural Development [IFAD] in East Africa. The tool is expected to improve the accuracy, frequency and accessibility of remittance data.
Launching the platform a day ago, Deputy Governor Prof. Augustus Nuwagaba described remittances as a critical pillar of Uganda’s economic stability, noting that they continue to rival traditional foreign exchange earners.
“Remittances are a lifeline. They are more than statistics; they represent the sacrifices of Ugandans abroad who work to earn this money,” Nuwagaba said.
“They provide for families and households, both formally and informally, and have proven to be a sustainable source of foreign currency inflows, competing with other sources such as coffee and tourism, which support our balance of payments,” he added.
The new dashboard stems from an enhanced data collection framework that expands coverage to include remittance service providers across the financial sector, including mobile money platforms and fintech channels. This shift has significantly improved visibility into flows that were previously not captured.
According to Nuwagaba, the improved methodology has already led to the discovery of substantial additional inflows.
“This tool has already helped us capture an additional US$ 1 billion in remittances, significantly higher than previous estimates of around US$1.5 billion, showing that inflows in 2025 reached approximately US$2.5 billion,” he said.
He noted that beyond increasing the headline figures, the new system provides deeper insights into the origin, transmission channels and usage of remittances, which are essential for informed policy decisions.
“It is not simply a larger number; it is more accurate because it includes information on where the remittances come from, how they are sent, and what they are used for. That distinction matters enormously for policymaking,” he explained.
Nuwagaba also commended Ugandans living abroad for their continued support to the domestic economy, noting that remittance inflows play a stabilising role in the foreign exchange market.
“These remittances can be instrumental in boosting a country’s inflows, helping to stabilise foreign exchange markets and ease exchange rate pressures, which is an important aspect of economic fundamentals,” he said.
The dashboard replaces a system that relied largely on annual surveys and aggregated submissions from commercial banks and foreign exchange bureaus, which often came with limited detail and significant delays.
Under the new approach introduced in May 2025, data is collected more frequently and at transaction level, improving both timeliness and reliability.
The platform will be updated monthly and will provide stakeholders with accessible insights into both inbound and outbound remittance trends. The existing Annual Personal Transfers Survey will continue to complement the system by capturing non-cash and informal transfers that may not pass through formal financial channels.
The central bank emphasised that while the data currently published is subject to refinement as more inputs are incorporated, the new system marks a significant step towards greater transparency and evidence-based economic planning in Uganda’s financial sector.
https://thecooperator.news/unlocking-cross-border-remittances-a-new-chapter-for-saccos-in-kenya/
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