President Museveni has rallied investors in the East African region to tap the benefits of risking their money in Uganda, saying they stand to benefit from various incentives and a huge market. 

Museveni said, “Uganda’s US$ 50 billion economy enjoys market linkages within the US$305 billion East African Community (EAC) economy – the fastest growing and most diversified economic bloc on the African Continent.”

He also said Uganda is centrally located, providing access to the regional markets of the EAC, the Common Market of East and Southern Africa (COMESA), and the Africa Continental Free Trade Area (AfCFTA) with over 55 Member States.

The African Continental Free Trade Area created a market of 1.4 billion consumers, making it the ideal partner for trade and investment and is expected to increase trade among Africans by about 33 percent and boost investment in Africa.

Vice President Jessica Alupo represented President Museveni during the East Africa Investment Forum and Trade Exhibition of the 19th non-aligned movement and G-77 Summits at Kampala Serena Hotel on Tuesday.

The event attracted investors from across the world including Ahmed Bin Ahmed, the Vice President of the Qatar Chamber of Commerce.

Museveni said although starting from a very low base, Uganda has maintained a relatively stable and robust economic growth rate over the years at an average of about 6.2% in the past 37 years. 

“Uganda’s GDP per capita, now at US$1,100, is fast rising and thus promising a sustainable market for local production of fast-moving consumer goods and services, making the country highly rewarding for FDI,” he noted.

“On account of prudent macroeconomic management, Uganda continues to enjoy a stable macroeconomic environment characterized by low inflation (now at 2.6%), stable currency, and high sustained growth. Uganda’s economic outlook is very optimistic. This is mainly because of the consistent support to the private sector through supportive policies that create a business-friendly environment.”

Market

Uganda is part of the East African Community, which has a population of over 300 million with a combined GDP of US$ 305 billion. Museveni said this offers a large market for exports within the region and a growing middle class.

Uganda is a resource-rich country, which provides a significant opportunity for exports and light manufacturing.

These include oil and gas with commercial production scheduled to start in 2025, Beryl, Chromite, Lead, Lithium, Silver, Zinc, Kyanite, Feldspar and Diatomite, Manganese, Diamond, uranium, iron ore, Vermiculite, Limestone and marble, gold, graphite, aluminous clay rich in Rare Earth Elements (REE), Phosphate and Iron.

In 2019, the Uganda Government gave a Graphite mining license to Blencowe Resource from the United Kingdom. Graphite is a new material for making electric car batteries, thermal sheets and steel foundries, flame retardants, gaskets and seals, lubricants and friction materials, etc.

At the function, Finance Minister Matia Kasaija said the Government had undertaken significant reforms to streamline processes, reduce bureaucratic hurdles, and improve the general environment. 

“Our goal is to make it easier for investors to set up and operate businesses in Uganda,” he said, emphasizing, “the Uganda Investment Authority’s One Stop Center is a testament to this commitment.”

The center serves as a single point of contact for all investment-related approvals, cutting through red tape and ensuring a swift and efficient set process for investors. 

Kasaija said it is designed to facilitate a seamless experience for investors, providing a range of services under one roof. 

“Whether it’s company registration, tax permits, environmental impact assessments, or work permits, our dedicated team at the One Stop Center is here to assist you at every step to set up in Uganda. This approach not only saves valuable time but also reduces the cost of doing business, making Uganda an attractive destination for your investments,” he added.

Kasaija further observed that to assist investors, Uganda has also made several strides to improve the general business environment, these include; streamlined tax procedures, improved infrastructure specifically electricity, and development of human resources. Our commitment to good governance, transparency, and the rule of law ensures a stable and predictable business environment.