In Uganda, the cost of living differs across various towns and cities. While Kampala, the capital, is the most expensive place to live, there are other towns where living costs are significantly lower. These towns provide affordable housing, food, and transport, making them great options for people looking for a budget-friendly lifestyle.
Below are some of the most affordable towns to live in Uganda:
Jinja

Jinja, located on the shores of Lake Victoria, is one of the most affordable towns in Uganda. The cost of living is much lower compared to Kampala, especially in terms of rent, food, and transportation. The town offers a blend of urban and rural settings, giving residents access to both modern amenities and a peaceful environment. Many expatriates and Ugandans choose Jinja because of its relaxed atmosphere and friendly community.
Apart from being affordable, Jinja is also known for its natural beauty and tourism. It is famous for the source of the Nile River and various outdoor activities like white-water rafting, bungee jumping, and fishing. These attractions create employment opportunities for locals while also making Jinja a lively place to stay. With a good number of schools, hospitals, and markets, the town provides essential services at reasonable prices.
Mbale

Mbale, situated in eastern Uganda, is another town where the cost of living is lower than in major cities. Housing in Mbale is relatively cheap, with affordable rental rates and utility costs. Food prices are also lower, as the town has a strong agricultural presence, ensuring fresh and inexpensive produce. Compared to busier cities, Mbale provides a calmer and less congested environment, making it ideal for people who prefer a peaceful lifestyle.
Aside from affordability, Mbale is known for its stunning scenery and proximity to Mount Elgon, which attracts visitors and hikers. The town has a growing economy, supported by agriculture, trade, and tourism. The presence of good schools, health facilities, and a reliable transport network makes Mbale a suitable choice for families and individuals looking for a comfortable but inexpensive place to live.
Masaka

Masaka is located in the central region of Uganda and is one of the cheapest towns to live in. The cost of renting a house is much lower than in Kampala, and food is also more affordable due to the town’s strong agricultural sector. People living in Masaka can buy fresh produce at local markets at a fraction of the price found in bigger cities. Transportation is also cheaper, and public transport is readily available for daily commuting.
One of Masaka’s advantages is its proximity to Kampala, which makes it a convenient place to live while still having access to the capital. Many people working in Kampala prefer to stay in Masaka and commute when necessary. The town is peaceful, with a welcoming community and a relaxed lifestyle. Basic services such as healthcare and education are also available at lower costs, making it a great option for families.
Mbarara

Mbarara, a town in western Uganda, is known for its affordability and rapid growth. Housing costs are lower than in bigger cities, and expenses like food and transport are also budget-friendly. The town has a thriving business environment, which provides various job opportunities for its residents. The presence of dairy farms and agricultural activities ensures that food prices remain low.
In addition to being an affordable town, Mbarara is a key economic hub in western Uganda. It has several universities, hospitals, and commercial centers that serve both the local community and neighboring districts. The town’s infrastructure is improving, with better roads and increasing business opportunities. This makes Mbarara a good option for those looking to settle in a growing but still affordable location.
Gulu

Gulu, the largest town in northern Uganda, is also an affordable place to live. The cost of housing is relatively low, with many rental options at budget-friendly prices. Food is cheap due to the region’s agricultural activities, and transportation costs are also lower compared to bigger cities. People living in Gulu enjoy a more relaxed lifestyle with less congestion and pollution than in Kampala.
Despite being affordable, Gulu is a growing urban center with increasing business and investment opportunities.
It has good educational institutions, hospitals, and markets that cater to the needs of its residents. The town has also developed significantly in recent years, making it a promising location for people looking to live in a low-cost but developing environment.