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Human Capital Development

Human Capital Development is one of Government’s priority areas aimed at accelerating socio-economic transformation and harnessing the demographic dividend. Over the NDPIII period, the Human Capital Development Programme delivered notable gains across key indicators. In particular, the literacy rate of persons above 10 years slightly increased from 74% in 2016 to 76% in 2019, before reducing to 74% in 2024. Life expectancy increased from 63.7 years in 2014 to 68.2 years in 2024. Access to safe water improved from 69% (rural) and 78% (urban) in 2020/21 to 77.8% and 79.1% respectively in 2021/22. In 2023, Uganda’s Human Development Index stood at 0.582, an improvement from 0.550 in 2022, ranking 157 out of 193 countries worldwide and second best in East African region after Kenya (0.628).

 

Looking forward to 2030, the 10-fold strategy hinges on game-changer reforms in Science, Technology, Engineering and Mathematics (STEM). The goal is to increase the ratio of STEM-to-humanities graduates and raise average years of schooling to 11 years to match emerging global standards. The Programme will prioritize accelerating quality education and lifelong learning (including STEM and digital skills); scaling TVET and apprenticeship models aligned to the priority sectors (ATMS) and strengthening early childhood development, nutrition and public health systems to ensure a healthy and productive workforce. Strategic emphasis is also being placed on digital health and specialized medical care to reduce high out-of-pocket expenditures (at 41% in FY2024/25) and reduce about US$500 million annually lost to medical tourism. By integrating social protection programs like SAGE with productivity-enhancing health interventions, Uganda aims to secure a demographic dividend where its young population drives a 10-fold increase in manufacturing and high-tech exports, ultimately transitioning the nation into a competitive, upper-middle-income economy.

 

The Programme will also deepen labour‑market linkages with the private sector, expand targeted social protection and inclusive skills programs aimed at raising labour productivity, boosting employment in strategic industries and unlocking the human-capital multiplier needed for the Tenfold growth.