Mukulu Calls for Relief From Dollar Pressure on Fuel Costs

What the report says

Pan African Global Business chairman Captain Mike Mukulu says Uganda’s fuel prices remain under pressure because the country imports petroleum products and must pay for them in dollars. In remarks carried by Nile Post, he said the weakening shilling is pushing up the local-currency cost of imports even when national fuel stocks are available. He also linked higher pump prices to wider global oil market disruptions.

According to the report, Mukulu said the exchange rate had moved from about Shs3,700 to around Shs4,100 per dollar, increasing what importers must spend to bring in fuel. He argued that this leaves motorists and businesses exposed to external shocks that Uganda cannot fully control. The article also noted that global oil prices have been affected by strong demand and supply disruptions, including the Russia-Ukraine war and attacks on Russian oil infrastructure.

The report places Mukulu’s comments alongside similar concerns raised by President Yoweri Museveni during Uganda’s 64th Independence Day celebrations at State House Entebbe on October 9. Museveni also pointed to international conflicts and a weaker shilling as drivers of fuel inflation, while urging Ugandans to reduce dependence on imports and consume locally made goods.

The broader significance is that Uganda’s fuel costs are shaped not only by supply levels inside the country, but also by foreign exchange movements and global oil pricing. Mukulu did not announce specific policy measures, but his comments highlight the difficulty of shielding transport, business costs and household budgets from external market shocks.