Economic Assessment of the Impacts of Climate Change in Uganda

This fact sheet provides an economic assessment of climate change impacts on water availability in Uganda, projecting a significant increase in unmet water demand and associated monetary losses by 2050 across various sectors and watersheds.

• Water demand in Uganda is projected to grow substantially by 2050, with total demand increasing from 408 million cubic meters a year (MCM/y) in 2010 to 3,963 MCM/y in 2050. Under climate change scenarios, total unmet demand is expected to rise from 3.7 MCM/y to 1,651 MCM/y over the same period.
• The estimated economic cost of unmet water demand in 2050 is approximately 14,558 billion shillings (US$5.5 billion), though this is considered a conservative estimate that could be ten times higher if income effects on willingness to pay are included.
• The Lake Victoria, Albert Nile, and Lake Kyoga watersheds are expected to experience the largest overall economic losses. Historically, droughts have caused significant damage, with events in 2005-6 and 2010-11 resulting in losses of $250 million and $1,174 million respectively, averaging $237 million in annual damage per drought event.
• An analysis of the Government of Uganda's Costed Adaptation Strategy examined three programmes (A, B, and C) covering 92% of the strategy, focusing on water use efficiency, supply for agriculture and industry, and Integrated Water Resources Management. The analysis indicates that all three programmes would generate a 10% rate of return even with a very small impact on unmet demand.

APA

Climate and Development Knowledge Network (n.d.). Economic Assessment of the Impacts of Climate Change in Uganda. https://cdkn.org/sites/default/files/files/Uganda_CC-Economics_FACT-SHEET_Water.pdf

Chicago

Climate and Development Knowledge Network. Economic Assessment of the Impacts of Climate Change in Uganda. n.d. https://cdkn.org/sites/default/files/files/Uganda_CC-Economics_FACT-SHEET_Water.pdf.

Wikipedia

{{cite report |author=Climate and Development Knowledge Network |title=Economic Assessment of the Impacts of Climate Change in Uganda |url=https://cdkn.org/sites/default/files/files/Uganda_CC-Economics_FACT-SHEET_Water.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climateanddevelopmentknowledgenetworkndeconomic, author = {{Climate and Development Knowledge Network}}, title = {{Economic Assessment of the Impacts of Climate Change in Uganda}}, institution = {Climate and Development Knowledge Network}, url = {https://cdkn.org/sites/default/files/files/Uganda_CC-Economics_FACT-SHEET_Water.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }