The downgrade of Uganda's debt status from stable to negative by credit rating agency Moody's is a jolting reminder of the extent of the country's deepening economic gloom. Moody's said the outlook for Uganda is gloomy due to a deterioration in debt ratios as the country's pursuit of fiscal consolidation and growth remain slow and anaemic respectively. An economic contraction appears to be cast in stone amid shrinking foreign exchange reserves and currency depreciation. The downgrade is a new blow to a government whose fiscal largesse has often been called into question. Moody's put Uganda's debt burden at 48.6 percent after her stock of public debt soared to Shs78.8 trillion in June. This is—by all measures—punchbag territory.