President Yoweri Museveni on Tuesday took centre stage at the Non-Aligned Movement (NAM) summit, captivating delegates with a compelling explanation of why Uganda stands as the most attractive destination for investment.
President Museveni whose speech was delivered by Vice President Jessica Alupo outlined Uganda’s strategic advantages, emphasizing its stable political environment, robust economic growth, and a burgeoning market ripe for investment opportunities. “As the world grapples with economic uncertainties, Uganda emerges as a beacon of stability and promise.”
He showcased Uganda’s robust economy, highlighting its strategic position and vast opportunities for global investors. The President reported, ” Uganda’s US$ 50 billion economy enjoys market linkages within the US$305 billion East African Community (EAC) economy – the fastest growing and most diversified economic bloc on the African Continent.”
President Museveni emphasized Uganda’s central location, providing access to regional markets, including the EAC, Common Market of East and Southern Africa (COMESA), and the Africa Continental Free Trade Area (AfCFTA). He stated, “Uganda is centrally located, providing access to the regional markets of the EAC, COMESA, and the AfCFTA with over 55 Member States.”
The President expressed optimism about Uganda’s economic future, citing the country’s stable macroeconomic environment. “On account of prudent macroeconomic management, Uganda continues to enjoy a stable macroeconomic environment characterized by low inflation (now at 2.6 per cent), stable currency, and high sustained growth,” reported President Museveni.
He also highlighted the government’s commitment to supporting the private sector through favourable policies. “Uganda is part of the East African Community, which has a population of over 300 million with a combined GDP of US$ 305 billion. This offers a large market for exports within the region and a growing middle class.”.
Underscored Uganda’s open trade policies and liberal investment regime. “Uganda is a liberal economy with open trade policies and a liberal investment regime, and all sectors are open for investment. The country allows free movement of exports and imports and free movement of capital with unrestricted transfer of dividends,” he reported. President Museveni also pointed out the high return on investment, especially in agribusinesses, with an average return of about 14 per cent.
The President also highlighted Uganda’s rich resource base and recent mining ventures. “Uganda is a resource-rich country, which provides a significant opportunity for exports and light manufacturing. In 2019, 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,” he announced.
President Museveni went ahead and detailed Uganda’s generous incentives regime for investors. “Uganda has a very generous incentives regime to ensure profitability of investments and business growth. This includes, among others, free land, serviced industrial parks and manufacturing zones, available and cheap electricity to manufacturers, good transport network, tax holidays for those adding value to our raw material and creating jobs plus other financial incentives. These are detailed in our tax laws and investment code,” he stated.
As Uganda continues to gain competitiveness in various tradable goods, the President’s address positions the country as an attractive destination for global investors seeking a stable and prosperous business environment.
On the issue of market access opportunities, Gen Museveni informed the delegates that Uganda has negotiated Quota free and Tariff free access to regional and global markets for investors to exploit
“For instance, the following key markets are readily available: The East African Community (EAC) with a population of over 300 million. The Common Market of East and Southern Africa (COMESA) with a population of over 600 million.
The Africa Continental Free Trade Area (AfCFTA) with a population of 1.4 billion. Uganda has an “Everything but Arms” trade deal with the European Union. Uganda has trade deals with China and India and investors can access all these markets by domiciling in Uganda,” he said.
He revealed that Uganda has an excellent working and living environment and is rated as the 3rd most welcoming country in the world and 4th best country in the world to visit. “Uganda offers the lowest cost of living with excellent housing. Its fast-growing workforce and flexible labour regulations provide a key advantage for companies investing in labour-intensive operations.”
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