Economy of Uganda
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The economy of Uganda has great potential and appears poised for rapid growth and development.<ref name="8R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Uganda is endowed with significant natural resources, including ample fertile land, regular rainfall, and mineral deposits.
Chronic political instability and erratic economic management since the implementation of self-rule has produced a record of persistent economic decline that has left Uganda among of the world's poorest and least-developed countries.<ref name="9R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The informal economy, which is predominantly female, is broadly defined as a group of vulnerable individuals without protections in regards to their work.<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Women face a plethora of barriers specific to gender when attempting to access the formal economy of Uganda, and research revealed prejudice against lending to women in the informal sector.<ref name=":1">Template:Cite book</ref><ref>Template:Cite journal</ref> The national energy needs have historically exceeded the domestic energy generation, though large petroleum reserves have been found in the country's west.<ref name="10R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
After the turmoil of the Amin period, the country began a program of economic recovery in 1981 that received considerable foreign assistance. From mid-1984 onward, overly expansionist fiscal and monetary policies and the renewed outbreak of civil strife led to a setback in economic performance.<ref name="11R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
The economy has grown since the 1990s; real gross domestic product (GDP) grew at an average of 6.7% annually during the period 1990–2015,<ref name="12R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> whereas real GDP per capita grew at 3.3% per annum during the same period.<ref name="12R"/> During this period, the Ugandan economy experienced economic transformation: the share of agriculture value added in GDP declined from 56% in 1990 to 24% in 2015; the share of industry grew from 11% to 20% (with manufacturing increasing at a slower pace, from 6% to 9% of GDP); and the share of services went from 32% to 55%.<ref name="12R"/>
International trade and financeEdit
Since assuming power in early 1986, Museveni's government has taken important steps toward economic rehabilitation. The country's infrastructure, notably its transport and communications systems which were destroyed by war and neglect, is being rebuilt. Recognizing the need for increased external support, Uganda negotiated a policy framework paper with the IMF and the World Bank in 1987. Uganda subsequently began implementing economic policies designed to restore price stability and sustainable balance of payments, improve capacity utilization, rehabilitate infrastructure, restore producer incentives through proper price policies, and improve resource mobilization and allocation in the public sector. These so-called Structural Adjustment Programs greatly improved the shape of the Ugandan economy, but did not lead to economic growth in the first decade after their implementation. Since 1995, Uganda has experienced rapid economic growth, but it is not clear to what extent this positive development can be attributed to Structural Adjustment.<ref name="13R">Template:Cite book</ref> Uganda has been a member of the World Trade Organization, since January 1st 1995 and a member of the General Agreement on Tariffs and Trade, since October 25th 1962.<ref name="14R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
CurrencyEdit
{{#invoke:Labelled list hatnote|labelledList|Main article|Main articles|Main page|Main pages}} Uganda began issuing its own currency in 1966 through the Bank of Uganda.<ref name="15R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
AgricultureEdit
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Agricultural products supply a significant portion of Uganda's foreign exchange earnings, with coffee alone, of which Uganda is Africa's second largest producer after Ethiopia,<ref name="16R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> accounting for about 17% of the country's exports in 2017 and earning the country US$545 million.<ref name="16R"/> Exports of apparel, hides, skins, vanilla, vegetables, fruits, cut flowers, and fish are growing, while cotton, tea, and tobacco continue to be mainstays.<ref name="17R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Uganda produced in 2018:
- 3.9 million tons of sugarcane
- 3.8 million tons of plantain (4th largest producer in the world, losing only to Congo, Ghana and Cameroon)
- 2.9 million tons of maize
- 2.6 million tons of cassava
- 1.5 million tons of sweet potato (7th largest producer in the world)
- 1.0 million tons of bean
- 1.0 million tons of vegetable
- 532 thousand tons of banana
- 360 thousand tons of onion
- 298 thousand tons of sorghum
- 260 thousand tons of rice
- 245 thousand tons of sunflower seed
- 242 thousand tons of peanut
- 211 thousand tons of coffee (10th largest producer in the world)
- 209 thousand tons of millet
In addition, there are smaller productions of other agricultural products, like cotton (87 thousand tons), tea (62 thousand tons), tobacco (35 thousand tons) and cocoa (27 thousand tons).<ref>Uganda production in 2018, by FAO</ref>
TransportationEdit
{{#invoke:Labelled list hatnote|labelledList|Main article|Main articles|Main page|Main pages}} As of 2017, Uganda had about Template:Convert of roads, with approximately Template:Convert (4 percent) paved.<ref name="18R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Most paved roads radiate from Kampala, the country's capital and largest city.<ref name="19R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
As of 2017, Uganda's metre gauge railway network measures about Template:Convert in length. Of this, about 56% (Template:Convert), is operational. A railroad originating at Mombasa on the Indian Ocean connects with Tororo, where it branches westward to Jinja, Kampala, and Kasese and northward to Mbale, Soroti, Lira, Gulu, and Pakwach. The only railway line still operating, however, is the one to Kampala.<ref name="18R"/>
Uganda's important link to the port of Mombasa is now mainly by road, which serves its transport needs and also those of neighboring Rwanda, Burundi, parts of the Democratic Republic of the Congo, and South Sudan.<ref name="20R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
An international airport is at Entebbe on the northern shores of Lake Victoria, about Template:Convert south of Kampala.<ref name="21R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> In January 2018, the government of Uganda began the construction of Kabalega International Airport, in the Western Region of Uganda. This will be Uganda's second international airport, which is planned to facilitate the construction of an oil refinery and boost tourism.<ref name="22R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
The transport union Amalgamated Transport and General Workers Union (ATWGU) is one of the more powerful trade unions in the country with about 100,000 members, many of whom are informal workers.<ref>Template:Cite book</ref>
CommunicationsEdit
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The Uganda Communications Commission regulates communications, primarily "delivered through an enabled private sector." The companies it regulates include television networks, radio stations, mobile network operators, and fixed-line telephone companies.<ref name="23R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
Mining and petroleumEdit
{{#invoke:Labelled list hatnote|labelledList|Main article|Main articles|Main page|Main pages}} Uganda's predominant mineral occurrences are gold, tungsten, tin, beryl, and tantalite in the south; tungsten, clay, and granite between latitude zero and two degrees north; and gold, mica, copper, limestone, and iron in the north.<ref name="24R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
In late 2012, the government of Uganda was taken to court over value added tax that it placed on goods and services purchased by Tullow Oil, a foreign oil company operating in the country at the time.<ref name="25R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> The court case was heard at an international court based in the United States. The Ugandan government insisted that Tullow could not claim taxes on supplies as recoverable costs before oil production starts.<ref name="26R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref> Sources from within the government reveal that the main concern at present is the manner in which millions of dollars have been lost in the past decade, money that could allegedly have stayed in Uganda for investment in the public sector; a Global Financial Integrity report recently revealed that illicit money flows from Uganda between 2001 and 2012 totalled $680 million.<ref name="26R"/> Tullow Oil was represented in the court case by Kampala Associated Advocates, whose founder is Elly Kurahanga, the President of Tullow Uganda.<ref name="25R"/> A partner at Kampala Associated Advocates, Peter Kabatsi, was also Uganda's solicitor general between 1990 and 2002, and he has denied claims that he negotiated contracts with foreign oil firms during his time in this role.<ref name="25R"/>
In June 2015, the Ugandan government and Tullow Oil settled a longstanding dispute regarding the amount of certain capital gains taxes that the company owed to the government.<ref name="27R">Template:Cite journal</ref> The government claimed that the company owed US$435 million.<ref name="28R">Template:Cite news</ref> The claim, however, was settled for US$250 million.<ref name="27R"/>
In April 2018, the government signed agreements with Albertine Graben Refinery Consortium, an International consortium led by General Electric of the United States, to build a 60,000 barrels-per-day Uganda Oil Refinery in Western Uganda. The cost of the development is budgeted at about US$4 billion.<ref name="29R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref><ref name="30R">{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
GDP per capitaEdit
GDP per capita (PPP) according to MadissonEdit
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</timeline> Source: Maddison Historical Statistics Project <ref name=madissonpercapita>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
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</timeline> Source: Maddison Historical Statistics Project <ref name=madissonpercapita/>
Women in the economyEdit
The agriculture sector of the Ugandan economy, which composes roughly 40% of the country's GDP, is largely fulfilled by women laborers, especially in managing products, marketing, and the crop sub-sector.<ref name=":022">Template:Cite book</ref> 76% of women work in the agriculture sector and roughly 66% of men do, and women provide for 80% of food crops and 60% of traditional exports such as coffee or tea.<ref name=":1" /> In the formal, non-agricultural economy, men constitute 61% of the workforce, whereas women predominate the informal economy, and this can be attributed to the lack of equity between men and women in the country.<ref name=":022" /> The Uganda Bureau of Statistics reported, when looking at the urban workforce in 2015, 88.6% of women were employed informally, and 84.2% of men were.<ref>Template:Cite journal</ref> Women are unable to enter into certain sectors, especially in the formal economy, due to the inability to provide substantial initial funding, and remain in the trade and service sectors of the economy. Comparatively, men dominate the more profitable sectors, such as manufacturing.<ref name=":1" /> Women traders make up 70% of those in markets and 40% in shops in addition to dominating other sectors such as the service industry, crafts, and tailoring.<ref name="Lange 2003 1–8">Template:Cite journal</ref>
Women are often undervalued in data compilation, particularly when considering their role in their domestic home lives. For example, women commonly match the contribution of their husbands to their familial income, if not provide more, when taking into consideration the value of their labor and the profits made from selling excess food.<ref name=":1" /> Urban women on average earn between 50% and 70% of a household's income.<ref name="Lange 2003 1–8"/> Women are also discredited in data collection due to biases of data collectors resulting in inaccurate reports, as well as income being measured per house, rather than separating by gender.<ref name=":1" /> The barriers women face in furthering their entrepreneurial careers are different from those faced by men; this is inherent in the biased culture and institutions plaguing Uganda despite the passing of somewhat progressive policies, especially with the 1985 transition of government to the National Resistance Movement party.<ref>Template:Cite journal</ref>
DataEdit
Source: IMF<ref>{{#invoke:citation/CS1|citation |CitationClass=web }}</ref>
See alsoEdit
- Ministry of Finance, Planning and Economic Development (Uganda)
- Uganda Investment Authority
- Uganda Securities Exchange
- Banking in Uganda
- Tourism in Uganda
- Poverty in Uganda
- United Nations Economic Commission for Africa
- Economy of East Africa
ReferencesEdit
Template:Reflist Template:Reflist
External linksEdit
- Uganda Ministry of Finance, Planning and Economic Development
- Uganda Investment Authority; Sector analysis reports available
- The Uganda Business Index
- Uganda Business Directory
- Uganda latest trade data on ITC Trade Map
- Uganda Economy Gets Bigger By 20% As of 21 October 2019.
Template:Authority control Template:Uganda topics Template:Africa topic Template:World Trade Organization