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Digital Reforms Could Add $3.7 Billion to Uganda’s GDP by 2030

Digital Reforms Could Add $3.7 Billion to Uganda’s GDP by 2030
Wednesday, 05 November 2025 12:07
  • GSMA, the global association of mobile network operators, unveils projections for Uganda’s digital growth.
  • Uganda could create 1.79 million jobs and connect 4 million new users through targeted reforms.
  • The ICT sector already contributes 9% to GDP and expands by nearly 15% each year.

The GSM Association (GSMA), a global organization representing more than 750 mobile network operators and over 400 technology companies, has revealed that Uganda could add UGX 14.6 trillion (about $3.7 billion) to its economy by 2030 if it implements targeted digital policy reforms. The findings, unveiled during the GSMA Digital Africa Summit in Kampala, show that such reforms could also create 1.79 million new jobs and connect 4 million more Ugandans to the internet within the next five years.

The report, titled "Driving Digital Transformation of the Economy in Uganda”, highlights how Uganda’s ICT sector is already a vital pillar of national development, contributing 9% to GDP, employing 2.3 million people, and expanding by nearly 14.8% annually. Despite 96% 4G coverage, only 22% of the population (11.46 million users) currently access mobile internet, underscoring a large “usage gap” attributed to high smartphone prices, limited digital skills, and tax burdens that inflate data costs.

To close this gap and fast-track progress under the National Development Plan IV and Digital Uganda Vision 2040, the GSMA proposes five priority reforms. These include stabilizing the investment environment by extending telecom license obligations, cutting the 12% excise duty on data services, exempting imported digital equipment from VAT, removing entry-level smartphone taxes, and improving energy reliability through an ICT–energy master plan. The association also recommends modernizing regulation to include frameworks on artificial intelligence, cloud computing, and cross-border data management.

GSMA modelling suggests that implementing these measures could expand 4G coverage from 96% to 99% with just $10 million in new investment, compared with the current $550 million required under existing conditions. The reforms could also boost internet use to 19 million users (32% of the population), generate UGX 2.1 trillion in annual tax revenue, and create millions of jobs across key sectors such as agriculture, manufacturing, trade, and services. Angela Wamola, GSMA’s Head of Africa, noted that Uganda’s digital transformation “is about people, enabling every citizen, entrepreneur and community to thrive in a connected economy.”

By Cynthia Ebot Takang

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