Uganda Approves New Loans as National Debt Hits Record High

Uganda is borrowing more money while its existing national debt reaches a new peak. This move comes as the country prepares for upcoming elections. Economists are now warning that the strategy could damage Uganda's economic future. High debt levels mean more national revenue must be used for repayments, leaving less for public services and development projects. The government has recently approved new loans to fund its budget. Critics argue this deepens a debt crisis, but officials say borrowing is necessary for infrastructure and growth. Analysts say the risk is that future economic growth will be slowed by the burden of repayments. This could limit the government's options for years to come.