Government intervention in the economy is quite significant. The state has and is still playing a paramount role in economic activities.

The government has and is endeavouring to establish, maintain and expand the productive infrastructure e.g roads, communication network, power generation, banks, etc. Such infrastructure forms a basis for sound economic progress.

The state has endeavoured to ensure adequate distribution of incomes through taxation and subsidization policies.

Government influences the level, and direction of economic activities so as to attain the targeted objectives of development.

The state has created an enabling atmosphere for the smooth operation of economic activities. Peace, stability, law and order, etc, are being emphasized to support government economic policies.

The government today, still supports social services such as health, education (UPE especially), safe water, sanitation facilities, etc.

The state encourages the marketing of Uganda's exports abroad, in a bid to earn the required foreign exchange needed for national development.

The government mobilises, channels, deploys, streamlines and monitors financial resources aimed at implementing economic recovery programmes.

State expenditure currently, targets education as a priority, defence and state welfare services i.e infrastructure