Poverty reduction among households in agriculture accounts for 79 percent of national poverty reduction from 2006 to 2013. According to the World Bank Group’s latest Poverty Assessment, the proportion of the Ugandan population living beneath the national poverty line declined from 31.1 percent in 2006 to 19.7 percent in 2013. Similarly, the country was one of the fastest in Sub-Saharan Africa to reduce the share of its population living on $1.90 PPP per day or less, from 53.2 percent in 2006 to 34.6 percent in 2013.
The growth in agricultural incomes of households over this decade was driven by favorable food prices and good rainfall, enabling poor smallholder farmers to obtain higher incomes from their produce. The government’s increased spending on road infrastructure, education, growth in urban centers, promotion of trade and access to new regional markets, as well as the return of peace to the war-torn northern region contributed significantly to further poverty reduction.
Despite these gains, the country’s performance on some important non-monetary dimensions of well-being is low. Access to basic services such as electricity and sanitation facilities remains limited, educational completion and progression remain low, and one in three Ugandan children are stunted, pointing to persistent malnutrition. Lack of progress in these areas poses a formidable barrier to the country’s aspiration of becoming a low middle income country by 2020. It must be noted however, that Uganda has made significant progress in other human development outcomes, such as child and infant mortality, maternal mortality and access to improved water, in the last decade.