Museveni hails oil as catalyst for Uganda’s development, warns against overreliance
Uganda, which discovered commercially viable oil and gas reserves in western regions in 2006, is now poised to become a major oil producer.
President Yoweri Kaguta Museveni affirmed that Uganda’s impending oil production, set to begin in 2026, will serve as a cornerstone for national infrastructure development, but urged citizens and leaders to resist overreliance on the volatile resource.
Speaking during a campaign rally in Masindi Municipality on December 10, the president emphasized that revenues from oil would fund critical projects such as roads, schools, and electricity expansion, while simultaneously stressing the need for fiscal discipline and sustainable economic planning.
Uganda, which discovered commercially viable oil and gas reserves in western regions in 2006, is now poised to become a major oil producer.
The country is nearing completion of key projects, including the Tilenga Project in Buliisa District—operated by French energy giant TotalEnergies, with a capacity of up to 190,000 barrels per day—and the Kingfisher Project, led by Chinese company CNOOC, projected to produce 40,000 barrels daily. Both initiatives are central to Uganda’s energy transition.
However, in a separate address in Buliisa on Thursday, President Museveni sounded a note of caution, warning that oil, while a “temporary economic booster,” must not become a crutch for the nation’s long-term prosperity.
“Petroleum is an exhaustible resource, while commercial farming will be here forever,” he declared, urging families to prioritize sustainable agricultural enterprises as a permanent economic foundation.
The president highlighted Uganda’s estimated oil reserves of 6.5 billion barrels, projected to last approximately 25 years, cautioning against the pitfalls of consumption-driven expenditure.
“We have 25 years to create durable wealth,” he said. “Countries that treat oil as a consumable income source eventually face decline.” To this end, Museveni referenced Norway and Saudi Arabia as models for prudent oil management, advocating for the establishment of wealth funds to preserve revenues and rely on their interest for future generations.
He condemned the “complacency” of indiscriminate spending, stating, “We can’t keep eating the money from oil while importing perfumes and whiskey.” Instead, he called for strategic investments in sectors that ensure long-term resilience, including infrastructure, education, and agriculture.
Museveni’s remarks come amid growing excitement and scrutiny over Uganda’s oil aspirations. While the sector promises to unlock new economic potential, critics have previously raised concerns about environmental risks, displacement, and corruption.
The president, accompanied by First Daughter Natasha Museveni Karugire in Buliisa, sought to reassure the public, asserting, “I am the one who discovered the oil, and I know more about it. This is about building a legacy, not immediate gratification.”
As Uganda steps closer to oil production, the balance between leveraging short-term gains and fostering sustainable development remains its most critical challenge. For now, Museveni’s vision hinges on a future where oil serves not as an end, but as a bridge to a more resilient and diversified economy.
