Overview:

However, the telecom sector registered a decline in earnings during the same period. Gross industry revenue fell to Shs1.60 trillion in the January–March quarter, down from Shs1.66 trillion in the final quarter of 2025.

Kampala — Uganda’s mobile money industry continued to expand in the first quarter of 2026, with active subscribers rising to 36.7 million despite a slight slowdown in overall telecommunications revenue.

New figures released by the Uganda Communications Commission (UCC), drawing from Bank of Uganda data, show that the number of active mobile money accounts — defined as users active within 90 days — increased from 36.3 million recorded at the end of 2025.

The growth highlights the continued deepening of financial inclusion and the increasing reliance on digital financial services across the country.

However, the telecom sector registered a decline in earnings during the same period. Gross industry revenue fell to Shs1.60 trillion in the January–March quarter, down from Shs1.66 trillion in the final quarter of 2025.

Analysts attribute the decline partly to seasonal trends following the festive spending surge typically experienced in the last quarter of the year. The temporary disruption and phased restoration of internet services around the January 2026 General Elections also affected data consumption and commercial digital activity.

Even with the softer revenues, the mobile money ecosystem maintained strong momentum. Total registered mobile money accounts — including inactive users — jumped sharply to 58.7 million from 53.6 million in the previous quarter, signalling continued onboarding of previously unbanked Ugandans into formal financial systems.

The sector also recorded progress in digital infrastructure expansion. Uganda’s national fibre-optic network grew to 71,740 kilometres during the quarter, strengthening internet capacity and connectivity nationwide.

Key Sector Indicators

  • Active mobile money users: 36.7 million, up from 36.3 million
  • Gross telecom revenue: Shs1.60 trillion, down from Shs1.66 trillion
  • Registered mobile money accounts: 58.7 million, up from 53.6 million
  • Active smartphones on networks: 20.3 million, up from 20 million

According to the UCC report, mobile money platforms processed 2.37 billion transactions during the quarter, slightly lower than the 2.48 billion transactions recorded in Q4 2025.

Domestic on-net voice traffic remained dominant, with subscribers making 20.9 billion minutes of calls over the period.

Internet usage also remained strong despite temporary election-related disruptions. Public internet download traffic reached 256.8 million gigabytes.

The average active mobile subscriber consumed about 3GB of data monthly, while the average mobile money user made two peer-to-peer transactions per month, each valued at approximately Shs100,690.

Industry observers expect telecom revenues to recover in the second quarter as political conditions stabilise, smartphone prices continue to decline, and discussions on sector taxation intensify between government agencies and technology industry players.