Health 3 September 2026 Nile Post

Uganda and US Seal Shs6.4 Trillion Health Sector Deal

Uganda and the United States have formalized a five-year health sector agreement valued at approximately Shs6.42 trillion (USD 1.7 billion). This strategic move shifts a substantial portion of US health aid towards direct government-to-government financing, aiming to enhance national ownership and align with Uganda's health priorities. Source: https://nilepost.co.ug/news/368842/uganda-us-sign-shs6-trillion-health-sector-agreement

A significant five-year health sector agreement has been signed between Uganda and the United States, valued at roughly Shs6.42 trillion. This accord, spanning from 2026 to 2030, marks a pivotal shift in how U.S. health assistance is delivered in Uganda.

The agreement was officially signed by Minister of State for Finance, Henry Musasizi, and U.S. Embassy Chargé d’Affaires Mikael Cleverley. It operationalizes a prior Memorandum of Understanding and will see the U.S. contribute about $1.7 billion to bolster disease prevention, detection, and emergency response capabilities within Uganda.

This new framework represents a departure from previous models where much of the U.S. aid was channeled through non-governmental organizations, operating outside the national budget. Under the current arrangement, funds will increasingly flow directly to the Ministry of Finance, Planning and Economic Development.

The objective behind this direct financing is to strengthen government ownership over health initiatives, ensure that external support aligns with national health priorities, and ultimately improve the sustainability of health programs across the country. The total co-investment package amounts to $2.3 billion, with Uganda committing to increase its domestic health financing by over $500 million during the five-year period.

Both Ugandan officials and U.S. representatives expressed optimism about the partnership. Minister Musasizi highlighted the agreement as a continuation of a strong, long-standing health partnership, emphasizing its role in saving lives and building Uganda’s capacity to handle public health emergencies. Chargé d’Affaires Cleverley described the deal as a clear indication of Washington’s confidence in Uganda’s governance and its health sector.

The shift towards direct budget support is expected to empower Uganda in managing its health challenges, including the burden of both communicable and non-communicable diseases, while building upon past successes, such as the significant reduction in HIV prevalence and the increase in life expectancy. The agreement aims to enhance Uganda’s capacity in disease management and emergency response, granting the government greater oversight in planning and executing externally funded health programs.

Source: Nile Post