President Museveni pledges to reduce cost of doing business

President Museveni addresses investors at Sheraton Kampala Hotel yesterday. Uganda’s economy is projected to grow to between 6 and 7 per cent this financial year. PHOTO BY STEPHEN WANDERA. 

By FARIDAH KULABAKO

President Yoweri Museveni has promised to ensure the country’s regulatory framework reduces the cost of doing business, improves efficiency and increases private sector competitiveness.

The intervention will seek to eliminate constraints presented by the lengthy procedures taken to obtain business licenses to ensure that investors have their businesses running within the shortest time possible.

With about 16 different procedures, it currently takes an investor up to 34 days to get a license. The process and all other business licensing processes to investors are estimated at 84.5 per cent of income per capita.

It should also be noted that many of the licences and procedures of licensing a business in Uganda are obsolete while others can be amalgamated and streamlined to increase efficiency.

Business licences
A Business License Reform Survey report released mid last year, indicated that Uganda has 760 different business licences, which potential investors must fulfill before businesses are allowed to start operating, something that slows down business.

Speaking at the Common Wealth Business Council and Investment Forum in Kampala yesterday, Mr Museveni urged investors to explore the immense opportunities in tourism, agro-processing, especially fruit juice and business process outsourcing for the youth.

Mr Museveni added that although government may have money to invest in such projects, it is reluctant as they (projects) may not be run efficiently. He, however, cautioned that although he is ready to accept wealthy investors, he will not entertain traders.

Much as Uganda is still faced with some challenges, especially in road, railway and energy infrastructure development, Mr Museveni said investors can turn such challenges into opportunities.

Finance Minister Maria Kiwanuka said Uganda is among the few economies in the world that have been resilient to the global economic shocks and managed to post good economic growth throughout the years.