Uganda's EAC trade deficit hits $809 million
Imports from Kenya and Tanzania far outstripped Uganda's exports in August 2026, widening the regional trade gap.
Uganda's trade deficit with the East African Community (EAC) reached $809 million in August 2026, driven by a surge in imports from Kenya and Tanzania. The country earned $241.29 million from exports to the bloc but spent $1.05 billion on imports, creating a significant imbalance.
Kenya alone accounted for $714.5 million in Ugandan imports, with only $41.05 million in Ugandan exports to Kenya, resulting in a $673.45 million deficit. Tanzania contributed another $189.8 million deficit, with imports at $203.6 million against exports of $13.8 million.
These deficits with Kenya and Tanzania outweighed surpluses with the Democratic Republic of Congo ($77.1 million), South Sudan ($56.71 million), and Rwanda ($21.89 million). The Bank of Uganda linked this widening deficit to pressure on the Uganda shilling and concerns about imported inflation.
Why it mattersUganda's trade balance with its East African neighbours has worsened, impacting the national currency and increasing the cost of imported goods.