In our view, economic growth in Uganda will remain strong, benefiting from public investment in energy and transport networks. We note that inflation has declined substantially, enabling the central bank to ease policy rates. We are affirming our 'B/B' ratings on Uganda. The stable outlook balances the risks from a temporary worsening in the government's fiscal position due to spending on infrastructure projects, against our expectation that the country's fiscal and external metrics will improve once the projects are completed. On Dec. 16, 2016, S&P Global Ratings affirmed its 'B/B' long- and short-term foreign and local currency sovereign credit ratings on the Republic of Uganda. The outlook is stable. The ratings on Uganda are constrained by low per capita GDP
