Uganda Business, Economy and Infrastructure News - Page 8

u.g boy · June 17th, 2010, 05:24 PM

Government increases sports budget to Shs4 billion

By James Ssekandi (email the author)

Posted Thursday, June 17 2010 at 00:00

And who says sports is completely forgotten in Uganda. State Minister for Sports Charles Bakkabulindi revealed that the budget read last week had an increment of Shs1.2 billion towards the sports sector making it Shs4 billion for the 2010/11 financial year. Bakkabulindi disclosed this during the annual National Sports Associations assembly attended by 42 bodies and the National Council of Sports (NCS) Board at Oasis Bar and Restaurant in Lugogo yesterday.

A portion of the budget, Shs500m, will cater for the payment of the land occupied by Lugogo Sports Complex. The NCS offices, Lugogo Indoor Stadium, ultra-modern hockey field, Lugogo Tennis Club (LTC), cricket oval, the Lugogo hostel and Uganda Olympic Committee (UOC offices) all occupy the land in question that has been valued at Shs1billion by owners, Kampala City Council (KCC).

“Another Shs500 million will be released in the 2011/12 financial year to complete the purchase of this land,” Bakabulindi clarified on the part-payment process NCS had opted to undertake. In the same financial plan, Shs400m has been put aside to specifically fund sports development from the grassroots, tutor young coaches, renovate sports facilities and help with talent identification.

“Administrators should explore the brand of sports to do business and generate their own funds. Government will continue to increase funding but much of it will be for the youngsters,” added Bakabulindi. Meanwhile NCS chairman Anthony Katamba urged all associations affiliated to the NCS to advertise and appoint Chief Executive Officer (CEO).

Out the 42 sports associations, only Federation of Uganda Football Associations (Fufa), Uganda Amateur Boxing Federation (Uabf) and Uganda Cricket Association (UCA) have CEOs in place. officials.

Katamba also warned that associations should stop referring to their heads as presidents but as chairpersons.

“The title president is preserved for Federations, like Fufa and UABF; and only if qualified as such by council,” Katamba explained.

Uganda-Turkey trade rises to sh48b
Wednesday, 16th June, 2010

The Turkish Airlines on a maiden flight to Entebbe

By David Mugabe AND Patrick Jaramogi

TRADE volumes between Uganda and Turkey have risen to sh48.4 billion in 2009 from just $1m in 2001.The chairman of Turkish Airlines, Hamdi Topcu disclosed the trade figures at Entebbe on Monday after Turkish Airlines made its maiden flights from Istanbul to Entebbe.

The arrival of Turkish Airlines is expected to open a new travel window, spur trade and reduce travel costs to Europe as competition for the region picks up. Turkish Airlines is the fourth largest airline in Europe by passenger volumes according to officials.

The Airbus TK 601 that carries over 200 passengers touched Entebbe international airport at 7 a.m. with several dignitaries on board among them the Mayor of Istanbul, Kafir Topbas.

Current trade volumes are however largely in favour of Turkey with textiles dominating import products into Uganda.

“This development is very promising. I have no doubt that this flight that starts today will make significant contributions,” said Topbas.

Turkish airlines will fly three times weekly six hour non stop between Istanbul, Entebbe and Dar es Salaam on Monday, Wednesday and Saturday.

The airline has meanwhile launched a promotional fare running from June 14 to July 14 in which return trip tickets from Istanbul to Dar es Salaam will cost euros 367 and euros 376 from Istanbul to Entebbe including taxes.

Aviation experts say that Turkish Airlines will offer reduced costs to mainland European destinations like London, Brussels and Holland although passengers have to transit through Istanbul, Turkey. The entry of the large Airbus aircraft also adds to Entebbe’s emerging status as a regional hub away from the dominance of Nairobi.

The minister of state for industry, Simon Lokodo said in a statement that international passenger throughput at Entebbe has risen to 929,052 in 2009 up from a paltry 118,527 in 1991. Civil Aviation Authority projections put the airport’s international inflows at 1.8 million passengers by 2022.

“It is evident that added flights will immensely contribute towards this growth and even surpass the anticipated figures,” said Lokodo.

Uganda: LG to Increase Presence

16 June 2010

Kampala — Electronics manufacturer, LG, has said the promising market for its products in East Africa had offered it a leeway to increase presence in the region that is yet to open boarders to free intraregional trade.

LG Electronics boss for Middle East and Africa, Ki Wan Kim, said dwindling demand for the firm's products in Europe had compelled the firm to focus mainly in Africa and Asia.

"LG has performed well in East Africa and Uganda in particular," he said.

u.g boy · June 18th, 2010, 05:44 PM

Rastoon
Thursday, 17th June, 2010

Uganda has moved from a low developing to the medium developing country categorisation by the United Nations Human Development Index

the new vision a ugandan newpaper have a weekly cartoon (rstoon) about something going on in the country , acording to the un uganda is now a middle developing country like mexico .

Bharti chiefs in Kampala for Zain deal
Thursday, 17th June, 2010
E-mail article E-mail article Print article Print article

By David Mugabe

TOP executives of Bharti Airtel are meeting in Kampala in a five-day session to sketch out directions for the new Indian operator who acquired Zain Africa operations for $10.7b.

Fred Masade, the Zain Uganda external affairs manager, confirmed the meeting in Kampala but was cagy about the agenda and expected outcome.
“It is a private meeting, I can’t say much about it. There will be a full briefing on Friday (today),” said Masade.

Sources said one of the issues on the agenda is how to map out the rebranding process. Zain’s Africa operations are expected to rebrand to Bharti, the second rebranding in under five years since the pan-African telecom changed from Celtel to Zain.

Bharti’s expansionist trips from Asia to Africa was driven by increased domestic competition that saw call rates drop to as low as half a US cent (about sh10) a minute.

This low voice tariffs was also a competitive edge in the Asian market.
Uganda’s seven-player market is one of the fiercest in Africa, with top players recently reverting to the previously ignored tariff wars.

New aerial survey for oil begins
Thursday, 17th June, 2010
E-mail article E-mail article Print article Print article

By Frank Mugabi

A team of experts from a British geophysical survey firm, ARKeX, have embarked on an airborne study in exploration Area 5 (EA5) to identify structures with more prospective oil reservoir properties.

This comes after Neptune Petroleum, the company exploring for oil and gas in the West Nile region, confirmed the “generation and migration” of oil in the area, despite having hit two dry wells.

These include Iti-1, which was drilled in June 2009 without any obvious success and Avivi-1, which was four months back drilled to a total depth of 764 meters but did not encounter oil.

Rashid Mugabe, the Neptune environment and community affairs manager, said the survey experts will conduct their exercise in a period of three months if the weather permits.

Mugabe added that the survey would rely on hi-tech equipment and aircraft to fly over the 2,941 square kilometre concession.

“They are carrying out an aero-gravity gradiometry survey that will provide more definitive information on the basement. It will also help us focus better on the imminent seismic survey which could approach 500km,” he said.

The seismic interpretation would also provide the basis for selecting a third well location, the manager said.

Previously, Peter Kingston, the chairman of Tower Resources which owns Neptune Petroleum, said the target was to be ready to drill a third well, which is the commitment well as designated in the Production Sharing Agreement, as early as possible in 2011.

This would allow time for a follow up programme if required, since the firm’s current licence expires on March 2012, he said.

Expert trains NGOs, MPs, media on oil
Thursday, 17th June, 2010
E-mail article E-mail article Print article Print article

By Ibrahim Kasita

THE US is to train legislators, the media and the civil society groups to develop effective oil and gas laws for Uganda to benefit from the resources.

The training that started yesterday and ends on Saturday at the Imperial Resort Beach Hotel in Entebbe is aimed at promoting awareness under the theme “Equitable Sharing of the Treasures of Oil and Gas in a Transparent and Environmentally Sustainable Manner.”

It also facilitates effective contribution of the media, civil society and parliamentarians in Uganda in the governance of the country’s petroleum resources particularly in the formulation of petroleum legislation.

The training featured a key US-based oil expert, Dr. Kent Moors, who taught the civil society and media practitioners about the key elements of petroleum legislation, revenue management and benefit sharing, waste management and environmental protection, and industry oversight and corporate governance, using a multi country survey.

“The objective of the symposium is to provide a forum for dialogue on critical issues of public concern relating to petroleum development and biodiversity conservation, generate ideas to inform pending revenue sharing and administration legislation,” Henry Banyenzaki, the chairperson of the Parliamentary Network on the World Bank, explained.

“The symposium also provides an avenue for discussing the operationalisation of a parliamentary civil society working group, which is intended to be an additional forum for influencing the proper governance of oil and gas resources in Uganda.”

Uganda is increasingly becoming renowned as a mineral resource-rich country. Commercially-viable quantities of oil and gas resources have been discovered in the Lake Albert Rift in the West of the country along the eastern border of the DR Congo.

Four international oil companies including Heritage, Dominion, Tullow and Neptune have been awarded exploration licences in the oil prospecting blocks in the Albertine Graben and Production Sharing Agreements executed with the Government.

Over 39 oil and gas wells have so far been drilled, out of which 36 were found to be commercially productive.
Initial well tests estimate over two billion barrels reserve capacity and flow rate potentials of up to 350,000 barrels per day over a 25-year period, experts noted.

u.g boy · June 20th, 2010, 08:23 PM

Uganda budget seeks to create wealth for the masses

By David Malingha Doya (email the author)

Posted Monday, June 21 2010 at 00:00

Uganda’s 2010/11 budget will test the government’s ability to spur micro-economic growth in a bid to create wealth for the majority of its people.

This comes at a time when central bankers are receiving pay rises for managing the macro-economy well during the global economic downturn.

With a solid reserve base of up to 5.3 months of imports, Uganda was the only East African country that did not seek financial support from the International Monetary Fund during the crisis.

Now Finance Minister Syda Bbumba is working towards extending the estimable macro economic policies to the informal sector.

In her 2010/11 budget, she dished out stimulus packages to mass beneficiaries including both the educated and uneducated youth, farmers and teachers in billions of shillings. These packages grew the budget to Ush7.5 trillion ($3.75 billion) up from Ush7.3 trillion ($3.65 billion).

This is the first budget that is derived from Uganda’s five-year national development plan, and outlines priority sectors for investment including infrastructure development covering roads, railways, ports, an oil refinery, oil pipeline, electricity generation plants, an ICT park and fibre optic cable-network.

Other priorities include human resource development and establishing rapid transport systems for Kampala City.

Given that Uganda has the biggest demographic segment of young people in the world, a large teacher population and employs most of its citizenry in the farming sector, such stimulus packages are expected to contribute to microeconomic growth by increasing Ugandans’ individual income levels.

“Government and the central bank in particular have done well in maintaining macroeconomic stability, but we now want it to be extended to the microeconomy, by increasing incomes of individual people,” said Prof Augustus Nuwagaba, a development consultant.

It however, remains to be seen whether government will achieve this given that stimulus packages in the past have wasted away in corruption and poor management.

Charles Ocici the executive director of Enterprise Uganda said, “We should deepen the pronouncements on youths’ schemes, to ensure that they develop a business mind, and that when they get credit for a project, they are able to make it profitable, unlike previous schemes where people could not even repay the interest.”

Herman Kasekende, Standard Chartered Bank’s Head of consumer banking in Uganda said that training and salary increments will ultimately increase the country’s productivity.

“It will also make Uganda’s human capital more competitive in the region,” Mr Kasekende added.
Mr Ocici said the same should be done with the 100 farmers per parish who are going to be given key inputs, so that they can begin to think commercially.

Bharti Airtel to invest $100m in Uganda

Mr Kohli, the Bharti Airtel CEO (international) with Mr Oenga (right), the MD Uganda. The low tele-density in Uganda presents room for the firm to grow. Photo/STEPHEN WANDERA
By Faridah Kulabako (email the author)
Your Email
Message
Send Cancel

Posted Monday, June 21 2010 at 00:00

Officials of Bharti Airtel, India’s largest mobile telecom company which recently acquired Zain African operations in a $10.7 billion deal, have made their first stopover of African operations in Uganda.

Addressing a news conference in Kampala, Manoj Kohli, the international chief executive and joint managing director Bharti Airtel, said the low tele-density in Uganda presents room for the company to grow.

The company plans to invest more than $100 million in the country over the next two to three years to build the brand’s leadership goal in the country.

“Uganda’s is a very precious deal market for us and time is not far when Airtel will be a leader in this market,” Mr Kohli said.

The rate of mobile penetration in Uganda stands at 30 per cent due to high communication costs.

Mr Kohli said Bharti Airtel will make the service affordable for both the rich and poor in rural and urban areas to increase penetration levels to more than 60 per cent.

“Bharti is committed to contribute to the long term growth of the telecommunications sector in Uganda,” he said.

He said that reduction in interconnect fees and sharing infrastructural costs will help the country reduce call costs which are currently among the highest in the world.

Strengthening networks

The deal to buy Zain’s 15 African operations was concluded in April.

Of the countries; including Kenya, Tanzania, the Democratic Republic of Congo, and Gabon among others that it acquired, the fifth largest mobile company in the world with over 180 million customers decided to take its first step of the takeover in Uganda.

The money will be invested in strengthening networks, distribution and information technology systems, among others.

Zain Uganda managing director Yesse Oenga said: “This is a key moment in the development of the telecommunications industry not only in Uganda, but for Africa as a whole.”

ICT sector gets Shs2.6 billion boost

Posted Thursday, June 10 2010 at 00:00

The information and communication technology (ICT) sector, which is seen as a catalyst of national development and a source of thousands of new age jobs, received Shs2.6 billion in the 2010/2011 budget.

Ms Syda Bbumba, the Finance minister, said the budget allocation will be towards the Business Process Outsourcing (BPO) segment of the ICT sector. The move, she said, was aimed at creating jobs for the educated youth and generates exports.
BPO involves the provision of services by nationals within one country to those in other countries like the United States of America by way of the Internet and telecommunication infrastructure.

BPO revenue
The global BPO revenue today is estimated at $160 billion, with India and the Philippines enjoying a big chunk of the global market by selling services to the US and Europe.

Ms Bbumba said the money will be directed to priority allocation for the operation of the National Information Technology Authority (NITA)-Uganda, which is expected to lead to the decline of the cost of access to ICT related services.
In Uganda, the most common ICT tool used is the mobile phone facilitating both basic communication and transfer of money among millions of people.

Telecommunications
This is aided by the presence of telecommunication companies like MTN and Zain Uganda, which have mobile money transfer services like; MTN Mobile Money and Zap respectively.
The minister also stated that the third phase of the controversial National Backbone Infrastructure (NBI) project involving the construction of a 1500 kilometre of optical fiber will commence during the new financial year.

The third phase is expected to link Uganda to other East African countries through public fibre optic cables. “Sourcing of funding for the third phase of the NBI, which will link the system to other countries in the region is being finalised,” she said. This will follow the end of phase two, through which 21 districts were added to the backbone.

BUTEMBO21 · June 21st, 2010, 07:23 AM

Quote:

Originally Posted by u.g boy

the new vision a ugandan newpaper have a weekly cartoon (rstoon) about something going on in the country , acording to the un uganda is now a middle developing country like mexico .

Super lie.

u.g boy · June 21st, 2010, 01:00 PM

Quote:

Originally Posted by BUTEMBO21

Super lie.

if u say so this isnt my opinion either

go to this link:http://en.wikipedia.org/wiki/List_of...elopment_Index

u.g boy · June 21st, 2010, 01:03 PM

Uganda: Govt to Build Technical Institutions in Five Districts

Bizimungu Kisakye

15 June 2010

Kampala — The government is to construct five technical institutions in Kyenjojo, Ntoroko, Adjumani, Bukedea and Lyantonde districts Education state minister Dr. Kamada Bataringaya said each of the institutions, to be established in this financial year, will cost about sh4 b.

"We are putting up modern technical institutions for Senior Four and Six leavers. The beneficiaries will get equipped with skills in electrical installation, brick laying, carpentry and information and communication technology. This is for the purpose of bringing out job creators other than job seekers," Bataringaya said.

He was speaking during a ceremony to launch four child centres on Saturday at St. John's Cathedral in Kabarole. The centres, to be run by Compassion International, a non-governmental organisation, will cater for the needy and vulnerable children in the district.
Relevant Links

The project will be implemented in conjunction with the World Evangelical Ministries, FortPortal and St. John's Cathedral under the Rwenzori diocese. The centres in Mukubo, Kitumba, Kabarole and Kyebambe will cater for over 800 children who receive support from Compassion International.

Bataringaya also cautioned NGOs against getting involved in child trafficking and warned that those got involing in the vice will be dealt with by the Government .

Compassion country director Herbert Turyatunga said the project is currently operating in 60 districts countrywide and receives its funding from abroad.

The ceremony was attended by Rwenzori Diocese Bishop Benezeri Kisembo, area Members of Parliament Stephen Kaliba and Margaret Mugisa Muhanga.

Urban markets to be upgraded
Sunday, 20th June, 2010
E-mail article E-mail article Print article Print article

By Vision Reporters

A project to reconstruct 85 markets countrywide is to kick off in November, Joseph Kawombe, a senior advisor on the urban market project under the local government ministry, has said.

Speaking to leaders of vendors’ associations at the City Hall in Kampala on Friday, Kawombe said the sh277b ($126m) project would run for three years, the first phase catering for 26 markets in 19 urban councils.

He added that the markets would be modernised to include lockups, restaurants, kiosks, stalls, beef and fish units with cold storage facilities.

Kawombe stressed that the project was aimed at contributing to poverty reduction and economic growth through the commercialisation of agriculture.

The markets which will benefit from the project are Busia Central, Jinja Central, Jinja Napier, Tororo Central, Mbale Central, Lira Main, Soroti Main, Lugazi Central, Masaka Central, Masaka Nyendo, Mbarara Central, Fort Portal Mpanga and Kasese Central.

Others are Hoima Central, Gulu Main, Moroto Lopeduru, Entebbe Kitoro, Kabale Mwanjari, Kitgum Central, Arua Main and Ntinda, Busega, Wandegeya, Nakulabye, Kansanga and Kasubi in Kampala.

u.g boy · June 21st, 2010, 01:41 PM

Mobilisation in high gear
Relevant Links

Ejiku says they have a programme to support the farmers by giving them advances and inputs on credit to build their capacity. "We are trying to develop nuclear estates so that we can sustain the factory and so far we are looking at opening up over 100 acres of tea," he adds.

Ephraim Biraro, the councillor for Burere where the factory is located, says they have embarked on a campaign to mobilise the farmers to grow more tea.

He, however, argues that although the farmers would want to grow more tea, some cannot afford the plantlets which cost sh300 each.

"We have over 30 nursery beds with over 5 million plantlets but there is no money to buy these plantlets and supply them to the farmers. In fact they have overgrown," Biraro explains.

The Government is contributing over sh4bn while the shareholders are contributing about sh6b towards the factory construction.

Mbale to spend sh19b
Sunday, 20th June, 2010
E-mail article E-mail article Print article Print article

By Joseph Wanzusi

MBALE district is to spend sh19b, according to the budget estimates for the 2010/2011 financial year.

The finance secretary, Robert Wandwasi, said: “A total of sh2.2b has been allocated to this sector (agriculture) to run programmes aimed at modernising agriculture in order to improve household incomes for the people in the district. By the end of this year, all production staff at sub-counties will be converted to National Agricultural Advisory Services.”

He explained that in order to reduce the drop-out rate, especially for the girls, the district would build classrooms, provide textbooks and furniture, pay teachers in time and enhance inspection and monitoring using the sh8.2b allocated to the sector.

The health sector, which was allocated sh2.7b, will enable the district construct a maternity ward at Namanga parish, Lukhonje sub-county, a staff house at Bumadanda, connect electricity to health centres and build an outside patient department at Budwale, Wandwasi added.

He was presenting the budget to the district council at Malukhu Lukhobo Council Chambers.

The budget council session delayed to start as councillors wanted their allowance arrears to be paid before they could approve and adopt the budget proposals.

last year there budget was 6 billion this really shows the growing wealth.

Shumuk joins dairy sector
Sunday, 20th June, 2010

Muhumuza (left) and other Shumuk officials during the takeover of the Mbarara plant

By Chris Omony

SHUMUK Dairy, another key player in the milk sector, is to embark on the production of milk and other related products in the next two weeks as the company finally opens shop, officials announced over the weekend.

Dan Muhumuza, the Shumuk Group
general manager, told reporters in Kampala that the “Go-Fresh” milk would hit the supermarket shelves by the end of this month.

He disclosed that President Yoweri Museveni was expected to preside over the official launch of the Mbarara-based plant.

“We are set and should be opening in the next two weeks. We expect H.E to preside over the official opening ceremony,” Muhumuza said.

He said the rebranding exercise of the product had already been completed.

Last month, the company took over from the previous owners, the Zim Group after acquiring 55% of the shares in the firm. Muhumuza said they had invested up to $2.5m in the new initiative.

“We are going to market the milk under the “Go Fresh” brand. It is going to be a very competitive brand which will give us an edge over the rest.

“Our target is very broad because we are not only aiming at the Ugandan market, but we are also targeting the entire region,” Muhumuza explained.

He said over 200 farmers would be engaged in the production of up to 50,000 litres of milk daily.

Minister tips districts on investments
Sunday, 20th June, 2010
E-mail article E-mail article Print article Print article

By Goodluck Musinguzi

PROFESSOR Ephraim Kamuntu, the planning state minister, has requested districts in south-western Uganda to create business profiles and train focal point officers that will facilitate local and international investors with information.

Kamuntu argued that this would make the districts explore the present investment opportunities and innovations, making them the destinations for local and foreign investors.

He said this in a speech read by Silver Baguma, the Kabale district chairman at the closure of a business forum at White Horse Inn conducted by the Uganda Investment Authority last week.

Kamuntu urged local entrepreneurs to invest in products that local people consume.

He cited agro-processing of millet, sorghum and potatoes into flour and bread. He said through agro-processing investors would create many products from one raw material and will create jobs using the technology available.

Kamuntu said the Government was committed to improving the investment infrastructure like roads and energy to make private sector competitive.

Steven Byibisho, the Kisoro town council mayor, said they will create a special fund to be used in promoting business opportunities in Kisoro district.

SMEs get sh5b boost
Sunday, 20th June, 2010
E-mail article E-mail article Print article Print article

By Patrick Jaramogi

ACCESS to credit by small and medium enterprises (SMEs) has been eased following the guarantee of euro 1.6m (about sh4.5b) by the French Development Agency (AFD).

The risk sub-participation agreement was signed between AFD and Bank of Africa in Kampala last week.

One of the major problems facing SMEs is accessing credit from commercial banks. But the AFD move is expected to bring some relief.

Edigold Monday, the Bank of Africa Uganda managing director, said the bank would give credit to SMEs with ease.

“The difficulty in attracting finance from commercial banks is due to the inability of most enterprises to provide sufficient security that loans will be repaid on time and in full. With these funds, the risk has been reduced,” she said.

She said the partnership scheme would guarantee up to 50% of the loans issued to qualifying SMEs.

“The guarantee has the effect of reducing the credit risk exposure and will therefore enhance the banks lending capacity to SMEs,” she said.

Rene Forceville, the French ambassador, said the partnership was fulfillment to the French government mission of financing overseas development.

“AFD aims are supporting social and economic development, poverty reduction and preservation of the environment,” he said.

Forceville explained that the guarantee would serve as a risk-sharing tool for banks, which will later enhance support of the SMEs.

The AFD regional director Jean –Pierre Marcelli said they would double the funds if Bank of Africa handles the credit scheme effectively.

“We feel sustainable development can not be reached in Uganda without support to the SMEs as creators of jobs and value addition,” he said.

Bank of Africa becomes the second financial institution to get support from AFD after the dfcu Bank sealed a similar agreement for $15m (about sh33b) under a seven-year credit line to help in stimulating the growth of businesses in Uganda early this month.

Proparco is the private sector arm of the French Development Agency Group, the official French bilateral development financial institution.

Uganda Business News: Centenary Bank opens more branches

In a bid to serve Ugandans better, the Catholic owned Centenary Bank has opened more branches in Eastern and Central Uganda.

The two more Centenary Bank Branches have been opened in Mubende (Central) and Jinja, Eastern Uganda, according to the news statement the bank has issued today in Kampala.

The news statement signed by management says the first grand opening of these new bank branches took place in Mubende on 18th June, 2010. The opening of Centenary Bank branch will take place on 25th June 2010.

The Centenary Bank Mubende branch is located on plot 20 Main Street, Mubende Town, while in Jinja it is located on plot 6 Nizam Road, Jinja Town. The news release says Centenary Bank customers experience total banking!

u.g boy · June 21st, 2010, 03:30 PM

UIA
Uganda Investment Authority
your investment is our business
In the quarter ending September 2008, Uganda Investment Authority (UIA) licensed 76 projects. These were quality investments mainly in the sectors of financial services, energy, construction as well as manufacturing. The construction sector took the lead by attracting investment with planned investment of US$87 million followed by the financial services, and energy with planned investments of US$64 m and US$56m respectively.

These investments came from 17 different countries with most being indigenous projects (17) followed by India with 11 projects while 8 projects are from the United Kingdom. It suffices to mention that in terms of value of investment, Uganda topped with investment worth US$ 98.8 million, Singapore with two projects altogether planned to invest US$59 million with the respectively.

The total planned investment value from the 76 projects is US$ 297m and planned employment is 6,774. This amount is however lower than US$359m from 101 projects approved in the previous quarter. It is important to note that there were large projects licensed in the power and construction sectors with over US$ 40 million investment.

UIA has embarked on the process of surveying what is actually on the ground and this is being done in collaboration with the Bank of Uganda and Uganda Bureau of Statistics. The Private Sector Investment Survey 2008 is targeting to cover 800 projects and preliminary returns show that at least 70 percent of the companies have returned their questionnaires. The results of the PSIS 2008 will be released by the end of December 2008.

Uganda Investment Authority

Development of Industrial Parks in the Country

A. Introduction

Government has mandated the Uganda Investment Authority (UIA) to establish Industrial Parks all over Uganda in the next five yerars (2008/2013). Three of these (Namanve, Luzira and Bweyogerere) are located near Kampala but twenty two others are being located upcountry to tap the rich processing potential. These Parks are being established in Arua, Bushenyi, Fort Portal, Gulu, Iganga, Hoima, Jinja, Kabale, Kasese, Kumi, Lira, Luwero, Masaka, Mbale, Moroto, Mubende, Nakaseke, Nakasongola, Nebbi, Rakai, Soroti and Tororo.

B. Development Strategy
The development of the Parks at Luzira (65 acres) and Bweyogerere (50 acres) are in advanced stages with investors already located therein (fourteen at Luzira and eight at Bweyogerere). Infrastructure provision for the Namanve Park is in progress.
For the Parks Upcountry, 50 to 500 acres of land will be made available preferably in a single parcel. Each park will have an all weather road network; water, electricity and sewerage services will be connected in the entire acreage of the project.
In Consultation with Central Government and Local Authorities, UIA has put in place mechanisms to ensure that the Parks are well planned, Environmental Impact Studies are made and approved by NEMA, Utility Companies are consulted as well as recruiting Consultants to ensure the smooth take off of the Country's Industrialisation Strategy.
The Parks will cater for Small and Medium Scale (SME's) Enterprises as well as Medium to Large Scale Enterprises. It is also planned that facilities such as an administrative unit will be provided to manage the park and ensure its sustainability, multipurpose hall and core factory blocks be built by Government and or the private sector.

Government has provided resources to develop the Parks in Mbale, Mbarara, Gulu and Soroti during the FY 2008/09.
Given below is an outline of the progress made by the (UIA) in the implementation of the National Industrial Parks Programme for Upcountry Parks.

1. Mbarara Industrial Park
( Two estates - 12 acres and 640 acres)
The UIA has acquired a 12 acre Industrial Estate already built up with 5 blocks of buildings providing 3,685 sq m of workspace and is in the process of acquiring the 640 acres for Industrial Park Establishment. The 12 acres acquired is comprised of an 'incubator type' facility 4 km on the Mbarara - Masaka Road. Negotiations for the acquisition of the 640 acres are slated for the third week of October 2008. Roads will be opened after completion of the land acquisition and a land use plan to be prepared by the end of December 2008.

2. Soroti Industrial Park (219 acres)
UIA has identified land at Temele Arapai to set up the Industrial Park. The land is at the periphery of Soroti Municipality and is approximately 5 km from the Soroti Town Centre. There are no squatters on the land.

3. Gulu Industrial Parks (124 acres and 300 acres)
The Gulu University Council has offered the UIA 124 acres for the establishment of an Industrial Park. The District Council has also committed itself to provide 300 acres of land for Industrial Development. Boundary (cadastral surveys of the lands are planned to begin in the 3rd week of October 2008.

4. Mbale Industrial Park (619 acres)
UIA has acquired 619 acres of land at Mutoto, 1 km from the Town Centre. Boundary opening and the topo survey have been completed; compensation assessment of land occupants will soon be completed. An Environmental Impact Assessment (EIA) study and a land development plan are to be made starting October 2008.

5. Hoima (300 acres)
The District Council has offered land to the UIA for Industrial Development. UIA has been tasked to survey and carry out the necessary development studies for the land. A cadastral survey is planned to be commissioned in the first week of November 2008.

6. Fort Portal (200 acres)
The Kingdom of Toro has invited the UIA to start a partnership of Industrial Development. The Kingdom will provide land parcels to the UIA for development of the requisite infrastructure. Assessment of the lands is to begin in the first week of November 2008.

7. Nakasongola (2,000 acres)
The Industrial Park Project for the area (at Wabisi- Wajala) adjacent to the Air-force base is being re-activated. It had earlier been identified by Government as a site for an International Free Trade Zone since the airport runway (3.5 km usable length) is still in good shape. Work will begin early December 2008 by commissioning an EIA study.

8. Rakai (1,200 acres)
VIA will support local efforts in setting up a free-trade zone in the Rakaij Masaka area which will facilitate trade and industrial development for Uganda, Rwanda, Burundi and Northern Tanzania. The land has been identified by the local community. UIA will work with the local authorities (in Rakai and Masaka) to make the enterprise work.

gulu(30 and 124 acres) soroti(219) and mbarara (12 acres and 640) parks are starting construction in 2011. rakai,and naskangola have started construction if you look at naskangola on google earth u can see airport runways and roads. mbale is being built as we speak , mbarara 12 acre park is completed.hoima park i dont know. most f the park are starting late due to the kampala riot is dibalanced everthing so most park are starting a year or two late.

u.g boy · June 22nd, 2010, 06:05 PM

Uganda: Electoral Commission to Create 200,000 Jobs

David Muwanga

21 June 2010

Kampala — A number of employment opportunities will be offered as the country prepares for the elections next year.

The Electoral Commission has been allocated Ush102b (US$ 46million) for organizing the elections scheduled to take place next year.

"We expect to create over 200,000 jobs which Ugandan's must be on the look out for," Electoral Commission chairman Dr. Badru Kiggundu told a press conference in Kampala last week.

He told the East African Business Week that jobs are expected in the recruitment of polling assistants, presiding officers, transporters among others.

"We have got many forthcoming opportunities because we don't engage these people on full time basis, so Ugandans should be on the lookout," he said in an interview last week.

Already the Electoral Commission has invited bids for supply of ballot papers for presidential, general parliamentary and local government council elections slated for 2011.

A statement issued by the commission said interested eligible bidders may obtain further information from the EC and inspect the bid documents from 8.30a.m to 12.00 pm and 2.30pm to 4.30pm..

It said a complete set of bidding documents in English may be purchased by interested bidders on the submission of a written application to the commission and upon payment of a non-refundable fee of Ush200,000 ($100).

"The method of payment will be by Bank in-slip obtained from EC Cashier's Office and Deposited in Diamond Trust Bank Jinja Road Branch.

The document will be issued by hand on presentation of bank in slip at the Procurement Unit of (EC). No liability will be accepted for loss or late delivery.

The statement said the pre-bid meeting shall be held at 11.00am on Tuesday June 29 and that the bids must be delivered to the commission at or before 11.00am July 29, 2010.
Relevant Links

The Uganda Police Force (UPF) also plans to recruit 16,500 Special Police Constables (SPCs) ahead of next year's general elections.

According to the Internal Affairs Minister Kirunda Kivejinja, the force has only 38,168 officers compared to the 22,000 gazetted polling stations.

"There is a shortfall of 16,500 personnel to effectively cover the exercise. This needs to be filled by recruiting and training special Police constables," he said in a statement.

The Police Force also asked for sh2.54b to recruit the extra hands and another sh11.1b for training. It also wants an unspecified amount of money to handle other aspects of the elections.

Airtel to upgrade network in Uganda

22 June 2010

Bharti Airtel has announced plans to spend $100m on upgrading the Ugandan network it acquired from Zain

Read more: [Bharti Airtel] [Uganda] [Zain]

Indian group Bharti Airtel will spend $100 million over two years in Uganda on technology upgrades and expansion of the former Zain network. The investment will help the group double subscribers over the next two years from the current two million active users.
It is looking to raise deployment of wireless technologies and deliver broadband capacity to the farthest areas in the countryside so that people can access data and voice wherever they may be.
Revenues from the telecoms industry are estimated to increase at an annual rate of 25-30% over the next five years, according to the Uganda Communications Commission. The east African country has six GSM operators.
Airtel recently completed a $9 billion takeover of Kuwait-based Zain’s assets in 15 African countries.

u.g boy · June 23rd, 2010, 06:13 PM

Finance clarifies on SACCOs cash
Tuesday, 22nd June, 2010
E-mail article E-mail article Print article Print article

By Paul Tentena

THE formation of savings and credit cooperative societies (SACCOs) is not meant to attract the prosperity-for-all funds, the finance ministry has clarified.

John Miraze, a senior consultant, indicated that SACCOs were formed to unite people and create a savings and investment culture among them.

“People think that when we urge them to create SACCOs, they are meant to get free money from the Government. This is not true,” he argued.

Miraze was addressing parish leaders and chiefs on the criteria for the selection of lead SACCOS in their parishes at Tick Hotel in Kawempe over the weekend.

“The selected lead SACCOS for parishes and sub- counties will attract government support and access the prosperity-for-all funding,” stressed Miraze.

He added that the Government had so far disbursed over sh50b in the prosperity-for-all programme throughout the country.

He disclosed that over 800 SACCOs had been supported. Miraze noted that local leaders were selecting the lead SACCOs to access funds because they want to avoid claims that certain SACCOs were imposed on people.

Francis Okello, the programme coordinator of the Uganda Cooperative and Savings Credit Union (UCSCU), pointed out that the Government would extend SACCO support for the next two years.

“We urge you to form SACCOs. You should do it immediately. This funding is only going to last for the next two years,” explained Okello.

UCSCU is a government body that was set up to oversee the operations of SACCOs as well as extend credit facilities to them.

Alice Muwanguzi, the Kampala resident district commissioner, challenged parish leaders to collectively mobilise local communities to form SACCOs such that they can access credit from the Government.

She also asked the finance ministry to lower the number of people required to form a SACCO.

“The 200 or 300 people for a SACCO is a big number for Kampala where there are permanent and semi-permanent residents.”

Banks told to target north commercial tree farmers
Tuesday, 22nd June, 2010
E-mail article E-mail article Print article Print article

By Chris Ocowun

COMMERCIAL banks operating in northern Uganda have been advised to give loans for large commercial tree farming.

Aldo Obedmoth, the National Forestry Authority (NFA) regional manager, disclosed that they were overwhelmed by the demand for seedlings by individuals who want to undertake tree planting as a business.

“Let the banks give loans to their clients to buy seedlings and plant because these trees are good collaterals. People have the land but do not have the money to develop it.

“About 150,000 seedlings are demanded by private individuals for planting, but NFA does not have the money to raise the seedlings,” Obedmoth noted.

He was launching a tree planting drive by the Kenya Commercial Bank (KCB) at Abera Major Central Forest Reserve in Paicho sub-county in Gulu district over the weekend.

Obedmoth pointed out that the trees from the forest reserves were normally bought by people who get loans from the banks.

He said NFA raised 25,000 seedlings, which were given out to the community.

Obedmoth, who said NFA and the KCB have carried out various corporate planting of trees to green the environment, appealed to other banks to join the campaign.

“NFA supports corporate tree planting by commercial banks, because when we are selling our mature trees, those who buy them get money from the banks,” he said.

Conrad Ayebazibwe, the KCB community champion, said after planting 1,300 pine trees at Abera, the bank would plant pines at Paicho sub-county headquarters.

“KCB is giving back to the community what they think will benefit the community,” he noted.

He stated that this was part of KCB efforts to fight global warming.

Ayebazibwe said every year for the next 15 years, KCB will plant trees to protect the environment.

KCB also donated 40 double beds, 80 mattresses and other gifts to the orphans of St. Jude Orphanage Home in Gulu.

Mbale sub-counties to get sh1b power line
Tuesday, 22nd June, 2010
E-mail article E-mail article Print article Print article

Werikhe leads other officials in the site ground-breaking

By Ronald Kalyango

THE Rural Electrification Agency (REA) will spend sh1.1b to construct an 11km power line for Khamoto, Mooni, Bungokho, and Mototo in Mbale district.

“Electricity is a key to better health services, water supply, better life and general improvement in living conditions,” said Michael Werikhe, the housing state minister.

Werikhe, also the Bungokho South MP, told the beneficiaries to cooperate with the contractors during the groundbreaking ceremony on Saturday.

Dr. Patricia Litho, the REA spokesperson, said the affected communities would be compensated after the completion of the power extension exercise.

“Are you ready to receive power in Khamoto and Mooni?” Litho asked the residents. “Will you allow our contractors to access your land?”

The residents said they would allow the contractors to carry on their work. Litho also informed residents that the destroyed food, cash crops, and trees would be paid for after the evaluation process.

She assured the beneficiary households that they would be educated not only to light their homes at night but also to use the electricity for productive purposes.

“Electricity costs money and will have to be paid for. Therefore, people must use it economically. “We will educate the beneficiaries how to use electricity efficiently so that it remains affordable,” Litho said.

munakampala · June 23rd, 2010, 07:34 PM

most of the posts about uganda infrastructure and economic growth are all but government propaganda, most of the projects havent taken off or are in a stalled mode. lets keep to the facts and to information that can really help investors and not use this platform as government voice. power is still such a big problem in ug that any would be investor must know and plan for plus the road infrastructure is still so much in a sorry state 20 miles outside the capital roads are so poor and you can hardly conduct a serious business. these are the facts. otherwise the investors who are maily of our own the nkubakyeyos are the ones to be credited for the numerous buildings and projects which are cropping up around the country

u.g boy · June 24th, 2010, 05:35 PM

4 million new voters registered
Wednesday, 23rd June, 2010

By Catherine Bekunda
DATA of about 4.7 million people was captured in the just concluded voter registration exercise, Electoral Commission (EC) chief Badru Kiggundu has said.

Addressing journalists at the EC head office in Kampala yesterday, Kiggundu said the figure included new voters, persons who transferred voting stations and those whose photographs had been missing.

He, however, explained that the number was provisional, adding that the right figure would be ready by July 4.

The commission had 10.5 million voters in its database before the exercise.

The exercise, which began on May 3 and was scheduled to end on June 4, was first extended by 10 days to June 14 due to public demand. It was again extended for four more days to June 18.

Kiggundu said because of the extension of the voter update exercise, presidential and parliamentary nominations had been pushed to November. The nominations were scheduled for October.

Kiggundu, however, maintained that the general elections would take place on the scheduled dates of February 12 to March 13 next year.

According to the Constitution, presidential elections have to take place within the first 30 days of the last 90 days of the current government. The current government came into force on May 12, 2006.

Kiggundu noted that the extension of the nomination of the candidates would reduce the campaign days.

Because of these changes, the EC had to revise its roadmap and a copy of the new programme will be availed to stakeholders as soon as it is completed, Kiggundu said.

He warned people who registered twice, saying it was against the law. “They will be fined sh600,000 or face one year in jail or both.”

Kiggundu also disclosed that on June 5, President Yoweri Museveni assented to the presidential elections amendment Bill, and the parliamentary elections and electoral commission amendment Bills, which were recently passed by Parliament.

NSSF officials grilled over sh4b car deal
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

NSSF boss Grace Isabirye before Parliament yesterday

By Cyprian Musoke

THE NSSF probe committee yesterday instructed the Criminal Investigations Department (CID) to investigate the fund’s transport and procurement managers who negotiated the purchase of 67 cars from Kampala Nissan at $2m (sh4.5b).

Appearing before the committee yesterday, acting managing director Grace Isabirye named the two as Stephen Kiggundu and Josephine Kaheru.

The deal, the committee noted, was first advertised as car leasing by NSSF. After it was awarded to Kampala Nissan, it was changed to hire purchase, then to outright purchase and paid off without being re-advertised.

This, according to the Auditor General, denied other suppliers the chance to bid for the supply at more competitive rates than Kampala Nissan, who supplied at the price of $2m that they had quoted for hire purchase.

Other competitors included Europcar, Victoria Motors and Toyota Uganda.

Committee chairman Reagan Okumu questioned the rationale behind overhauling the entire fleet of NSSF at a go, when it had been accumulated over many years.

“There were criminal intentions to defraud the fund. We want to know who initiated this transaction and the motive of the people involved because they altered the terms of the contract without re-advertising,” he said.

Isabirye explained that the terms were changed after it was found that Kampala Nissan did not have money to execute the contract, and wanted to bring in a bank as a third party.

According to officials from the Auditor General, the fundamental changes in the nature of the deal led NSSF to pay more than it should have done for the cars.

Petroleum firm starts oil drilling in Lake Edward
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

By John Thawite and Ibrahim Kasita

DOMINION Petroleum, the firm exploring oil and gas in south-western Uganda, has started drilling in Lake Edward.The firm, in a statement issued on Tuesday, said the drilling started last week and is expected to be completed in July.

“We are pleased to announce that drilling has commenced on Ngaji,” Andrew Cochran, the company chief, said.

“This is the first oil well to be drilled in Lake Edward and the data gathered will guide our future work in the area,” he said.

The UK-listed company operating in Rukungiri and Kanungu districts believes that the well contains about 100 million barrels of oil.

The firm got the drilling permit from Uganda’s department of petroleum exploration and production this week.

Drilling is taking place in exploration area Block 4B, which is owned by the firm.

Cochran said if the drilling yields good results, the firm will step up activities in its neighbouring Block V on the DRC side of Lake Edward.

“The findings will support an expanded exploration and appraisal drilling programme that will start early next year,” Cochran disclosed.

The approval of the drilling permit has been an ongoing process.

In July 2007, Dominion made a production sharing agreement with Ugandan.

The agreements provided the firm with exploration rights at the block.

This agreement was extended by two years in August last year.

As a condition of the two-year extension, the company was obliged to drill at least one exploration well at the block. Failure to do so would have seen the firm’s license revoked.

Jinja to spend sh10b this financial year
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

JINJA municipal council has passed a budget of sh10.3b for the 2010/2011 financial year, reports Charles Kakamwa and Doreen Musingo.

The budget was read by the mayor, Muhammed Baswale Kezaala, during a meeting at the council chambers on Monday. Kezaala, who is also the district finance secretary, said they expect sh6b from the Central Government, sh4b from local revenue, while 0.2% will come from donors.

He said the council had come up with new revenue sources to boost the district income. Kezaala added that the major contributor to the new revenue would be parking fees, which will be levied on vehicles in industrial areas. “This will bring close to sh150m into the council coffers,” he said.

by the way their last year budget was only 6 billion shillling.

Fort Portal to build office worth sh3b
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

Asaba being helped to operate one of the construction equipment on Tuesday

By Bizimungu Kisakye

Fort Portal municipal council has commissioned the construction of an office block at about sh3b. The mayor, Edson Ruyonga Asaba, said the move was in fulfillment of the Local Government Act.

“It is historic that after 117 years of Fort Portal’s existence, we have come of age and are embarking on the construction of our own office block. We have dedicated this project to the people of Fort Portal, who entrusted us to be custodians of their property,” Asaba said.

He was speaking at the ground-breaking ceremony at Boma in west division on Tuesday Asaba said the municipal council sold off two dilapidated properties to raise over sh600m to start the construction of the office.

One of the plots sold was located in Boma, while the other was the former municipal community hall. Asaba appealed to President Yoweri Museveni for more funds.

He warned the contractors, Decon Uganda, against poor workmanship. The new building is expected to have out-door recreation and conference facilities.

UNESCO to raise sh2b for Kasubi tombs
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

By Anne Mugisa
and Joyce Namutebi

THE United Nations Educational Scientific and Cultural Organisation (UNESCO) is looking for sh2b for the reconstruction of Kasubi Tombs, which were razed by fire in March.

UNESCO director-general Irina Bokova said the organisation is looking for between $0.5m and $1m to reconstruct the tombs to international standards. Bokova, the first woman to assume the post of director general since the establishment of the global body in 1945, said the organisation had asked the Government to submit a report by the experts committee that was mandated to assess the damage to the tombs.

She was closing the 12th conference of African National Commissions for UNESCO and the director-general’s consultations with the commissions at the Sheraton Kampala Hotel last week. The conference was attended by delegates from 44 African countries.

One of the objectives of the meeting was for the national commissions for UNESCO to provide ideas and budgets to be used by the director-general in drawing up the budget for the UN body for the year 2012-2013.

Bokova said Uganda requested for help to reconstruct the tombs and the request was “supported by the entire world community”. UNESCO has a role of protecting African world heritages,” she said.

In developing countries, she said, culture is a great force of growth and a source of social cohesion, especially in conflict areas.

“UNESCO wants to invest in cultural diversity as a means of ensuring that there is knowledge and understanding,” she said.

The tombs, which are used as the burial grounds for Buganda’s kings, were listed as a UNESCO world heritage site in 2001. Some of the Buganda kings buried at the tombs are Muteesa I, Mwanga Basamula, Daudi Chwa and Edward Muteesa 11.

During her visit, Bokova, a former Bulgarian foreign minister, also met President Yoweri Museveni.

Low cost road works to start
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

Ssematimba and Kutesa after the demonstration of the new technology

By Samuel Balagadde

LOW cost road construction technology adopted from the developed world has been demonstrated in Uganda. The technology will soon be put in practice as one of the several other interventions geared towards saving taxpayers money spent on the current expensive modes of road construction.

N.S. Tandem Engineering, in partnership with UgiCom Enterprises, constituting local engineers and their foreign counterparts, have engaged landlocked specialists; Natural Paving Solutions Technology to make it applicable across the country.

Maj. Gen. Pecos Kutesa, the managing director of Tandem, explained during a demonstration in Nyanama, off Entebbe Road in Lubaga Division this week that the technology had already been applied in several countries including some on the African continent.

He disclosed that the technology had been found relatively cheaper.
Kutesa said the technology is eco-friendly without any environment impact.

“We are soon joining the bidding process for road construction under this technology, which will reduce government expenditure by over 30%.
“We have already engaged Ugandans abroad to automatically boost our operations,” disclosed Kutesa.

Peter Ssematimba, the Rubaga chairman, recommended the technology, saying, it will reduce government expenditure on road works.

Meanwhile, rising oil supplies will mostly offset higher demand over the next five years, the International Energy Agency said on Wednesday in its latest medium-term oil and gas market report.

“For the next few years, the oil market is marked by more comfortable spare capacity than envisaged last year and the duration of the current gas glut is set to last beyond 2013, at least in some regions.

Yet, we shouldn’t be complacent,” the Paris-based IEA said. Potential delays to new deepwater oil projects following the accident at BP’s oil rig and the oil spill in the US Gulf of Mexico may tighten supplies, said the agency, the advisor to 28 industrialised countries.

“Should the impact of those measures be widespread delays to deepwater projects, anything between 100,000 bpd and 800,000 bpd of new 2015 oil supply currently included in our outlook might be deferred,” the IEA said.

The agency raised its oil demand growth outlook to an average 1.4%, or 1.2 million barrels per day (bpd), for every year to 2015 on the back of robust demand from emerging markets, taking the total volume to 91.9 million bpd in 2015.

The previous forecast in its medium-term outlook in June last year was an average growth by an average 540,000 bpd per year in 2008-2014.

The outlook is based on the assumption of IEA’s average oil import price, which would reach around $85 a barrel in the latter years of the 2009-2015 period, the agency’s experts explained early on Wednesday.

ReuteGlobal oil supply will rise to 96.5 million bpd by 2015, mainly led by production outside the Organization of the Petroleum Exporting Countries.

Non-OPEC oil supply will increase to 52.5 million bpd by 2015 from 51.5 million bpd last year, the IEA said.

Despite the upward revision for the medium-term global outlook, the IEA figures showed a weak economy could curtail demand from the developed countries more quickly than it predicted in its previous outlook last year.

NHCC wants suppliers
Wednesday, 23rd June, 2010
E-mail article E-mail article Print article Print article

A view of the Buganda Road flats owned by NHCC

By Aidah Nanyonjo,/b>

NATIONAL Housing and Construction Company (NHCC) has finalised plans to acquire its own construction machinery and equipment.

According to the bid notice, the planned investment shall improve its construction capacity.

“NHCC, therefore, invites sealed bids from the international community for supply and delivery of the equipment,” the bid indicated.

The machinery and equipment are concrete batching plant, truck-mounted concrete boom pump and concrete transit mixer trucks,
steel scaffoldings, props, beam plate, decking panels and column boxes and 4WD dumpers.

NHCC was established in 1964 to increase the housing stock, rehabilitate the housing industry and encourage modern living.

Common market: 7 days to go
Wednesday, 23rd June, 2010

By David Mugabe

COMPETITION for the export market will be central as the East African Community borders open in seven days time and different nationalities move to export their skills, capital and goods.
Building confidence among businesses and the public and marketing and sharpening of skills will take centre stage among government commercial agencies.

“The fundamentals are right. Our education is not any worse than any country for human resource development, therefore, we can compete.

The other issues are simple attitudes that can be addressed,” said Ben Naturinda, the executive director of Uganda Exports Promotion Board (UEPB), in an interview.

Naturinda advises the worried business community that sometimes having a big brother like Kenya’s current larger economy is good because it allows for capital inflows to the smaller economies.

“Do not only look at Kenya, there are three other countries which Uganda can still dominate,” said Naturinda.
The common market will allow free movement of goods, labour, capital, services and with a few limitations, citizens will have the right of residence and establishment in partner states.

The business community is also being encouraged to embrace the enlarged market and learn lessons on the road.
Under UEPB’s market-linked programme, about $3m business partnerships have been concluded between Ugandan entrepreneurs and Kenyan buyers mainly in food processing.

“Our companies discovered that areas they thought they would never compete in can be very good like having our own processed foods in the Kenyan market,” said Naturinda.

UEPB this week launched the export development and promotion training programme among key sectors that were identified in the National Exports Strategy (NES).

These sectors include coffee, fruits, vegetables, natural ingredients, services, education, steel and tubes items, foods and beverages and body care products.

The training programme is to upscale the skills levels both in terms of processes, practices and personnel in order to be able to do trade competitively in a wide market with many other competitors.

UEPB will, with the advent of the common market, identify universities that are service-export ready and work with them to improve areas critical to attracting more students and building marketing and promotional strategy in the region.

“We will start with this and if it succeeds, we will embark on another component of the sector,” Naturinda said.

Uganda has a budding but greatly creative ICT sector that competes with the very best in the world.
“Some of them have approached us and think that Kenyans might outcompete them.

But we often tell them that there is always something unique every entrepreneur will bring on the table.

“We don’t think that a Kenyan IT graduate is any different from the Ugandan-trained one. Our task is to find ways of working with them to bring out their potential and aggressively promote them.”

According to UN COMTRADE Statistics 2009, export values to Tanzania from Uganda grew to $30.5m (29%) between 2004 and 2008, while exports to Rwanda grew by 53% in the same period under the customs union.

Exports to the Democratic Republic of Congo grew by 41% in the same period. The statistics are evidence of the gains of integration. Experts expect the common market to grow trade volumes more.

Regional businesses have been advised to smarten up their tax compliance to avoid delays and unnecessary assessments by the different authorities.

The snail pace of clearance has long been identified as a non-tariff barrier that exacerbates the competitiveness of businesses.

Under the fully-fledged customs union, goods originating from partner states pay 0% tariff of import duty. Also other tax heads like Value Added Tax (VAT), excise duty and withholding tax, which used to be charged at importation will also drop to a 0% rate.

The 0% rate will also be dependent on proof that the goods are produced within partner states through the issue of a certificate of origin.

There is a list of Ugandan industrial products that the EAC has decided to exempt from zero tariffs pending further discussions with the other member states.

A 2009 study: An evaluation of the implementation and impact of the East African Community Customs Union revealed that Tanzania, Uganda, Rwanda and Burundi have since found it harder to invest in Kenya.

In response, Naturinda said for the common market to succeed, the legal and regulatory processes as well as infrastructure need to be addressed.

“All countries must agree and enforceable measures against those who go against this agreement must be maintained,” said Naturinda.

Uganda’s oil policy slow but on right track
Wednesday, 23rd June, 2010

Oil exloration team testing samples at Waraga in 2006

By Ibrahim Kasita and Gerald Tenywa
WHILE Uganda is taking the right track regarding the formulation of a legal and policy framework to manage oil production, the pace of creating the laws, policies and regulations is slow, according to Dr. Kent Moors.

This, Moors said, may not be concluded within the next two years and this poses a risk where critical decisions may be taken by few players, leaving out many stakeholders.

“The draft bills are very good and if you don’t have good laws, decisions and monitoring cannot be made,” he said. “If there are no regulations, how can you criticise government?”he wondered.

He was speaking last week at Hotel Africana during a meeting on the topic: “Civil Society and the Petroleum Law in Uganda: Revenue, Environmental, and Industry Management”. The meet was organised by over 20 non-Governmental organisations with funding from the US embassy.

Moors, who is an adviser to many oil producing countries and companies, was providing training to the Civil Societies about the key elements of petroleum legislation, revenue management and benefit sharing, waste management and environmental protection, and industry oversight and corporate governance.

The country has a law and policy on petroleum, which were effective during exploration phase. However, the law is to be replaced by two laws, one on oil production and another on revenue management.

In the addition to the laws, a number of regulations will have to be formulated to implement the legal framework.
Civil society organisations were
concerned about the secrecy over the production-sharing agreements complaining that it was difficult to hold the companies accountable.

“There has never been any country that has published its production agreements with the companies. There are confidentiality clauses,” Moors explained.

“Contracts must be secret but strong regulations and legislations can prevent the oil curse and ensure transparency and accountability.”

Honey Mallinga, the assistant commissioner in the energy ministry, said: “during initial stages of the contracting investments, promotion was through road shows which were not easy.

He added: “A lot has been said about the production-sharing agreements the Government entered into with the oil companies and, from the Government point of view, this is still one of the best contracting method worldwide.”

Currently, Uganda is preparing to develop petroleum laws that will govern the nascent oil and gas industry expected to transform the country’s development and improve socio-economic conditions.

Mallinga said commercially viable quantities of oil and gas resources have been discovered in the Albertine rift valley in western Uganda, which also straddles the eastern border of the Democratic Republic of Congo.

“Government systematic efforts to promote the exploration of petroleum in the country started 20 years ago by acquisition of geological and geophysical data in the Albertine Graben.

This data was used to attract oil companies for investment into exploration for hydro-carbons.
The efforts have paid off with the discovery of commercial oil and gas resources in the country, said Mallinga.

“The first petroleum discovery was made at Mputa-1 and subsequently, remarkable progress has been made on an annual basis.”

However, petroleum exploration in Uganda had started over 90 years ago. Exploration stalled between 1940 to early 1980s mainly due to the impact of the World War II, political instability and change in colonial policy when East Africa was zoned as an agricultural area.

This, Mallinga said, was in comparison to West Africa where oil was near the surface and the region was zoned as a petroleum area.

He also said the discovery of oil has come with various challenges such as, “how to manage the oil and gas industry with the current legal and instructional frameworks, excitement and expectations created by the discoveries.

Weighbridges reopened
Wednesday, 23rd June, 2010

Overloaded trucks to pay penalty

By John Kasozi

THE road weighbridges have been reopened, the Uganda National Roads Authority (UNRA) spokesperson has said.

“We are not going to re-impose penalties until July 1, when we are fully in operation,” says Dan Alinange, UNRA corporate communications manager.
“We have made a number of staff and technical changes.

The staff that were suspected of corruption have been suspended as we carry on with investigations. New people have been recruited and trained,” he added.

The remaining staff has been reshuffled. They are no longer at the same weighbridges. Last year, the works minister, John Nasasira, suspended the operations of six weighbridges in the country and announced a probe team into the alleged corruption at the facilities.

Alinange said the authority has acquired six new mobile weighbridges, which are going to be deployed on different highways around the country.

At the same time, UNRA is undertaking the construction of two new permanent weighbridges after Kasana-Luweero which are nearing completion.

The construction of the second weighbridge at Magamaga has just taken off. They are both of similar design to the one in Mbarara.

“We are working out ways of networking so that our weighbridge staff is monitored at the UNRA headquarters.

In addition, we are talking to our partners in order to upgrade our old weighbridges,” Alinange noted.
He cautioned truck drivers not to attempt to bribe their staff.

“We now have informers scattered in different places. “This time penalties are tougher if anybody is caught bribing our staff,” he warned.

Alinange said overloading is spoiling the roads like the current finished Jinja-Bugiri highway. “We have observed defects due to overloading especially at that section of the road when coming from the border.”

“The Government is spending a lot of money on road infrastructure. We need to protect our roads. Otherwise, our roads won’t last longer,” he stressed.

Axle overloading causes early pavement failures, leading to increased road reconstruction and maintenance costs.

The objectives of axle-load control is to stop the additional damage caused to the roads by overloaded vehicles, which leads to accelerated deterioration, increased maintenance costs and the need for early rehabilitation of such roads.

Uganda to have centre for coffee research
Wednesday, 23rd June, 2010

manuel Diaz, a coffee expert from Mexico, David Barry (centre) of Uganda Coffee Trade Federation and Lingle (right)

By David Ssempijja

UGANDA'S continued premier position as a Robusta Coffee production and quality is creating enormous opportunities for the sector.

The country has been chosen to host the world’s Robusta Coffee Centre of Excellence. The centre will serve as a research facility that will help to back up efforts aimed at boosting the cash crop’s quality that will enable it enhance world trade performance.

Experts at the California-based Coffee Quality Institute (CQI) said the world market had confidence in coffee from Africa especially that from Uganda.

“Uganda has consistently registered great performance not only because her Robusta command more volumes on the world market but also, the coffee’s cupping quality has always been impressive.

It is therefore, upon that background that the country was chosen to help our research drive,” said Ted Lingle, the CQI executive director.

Lingle was addressing local coffee dealers at a breakfast meeting held at Serena Kampala Hotel last week. The meeting was meant to lay strategies of intensifying the presence and demand of coffee products in the world’s supermarkets.

Lingle said building of the centre, to be located in Kampala, would start next year and end in 2012.

“CQI will ensure that this will be a world class centre equipped with research facilities about Robusta right from soil science, throughout farming, processing, cupping as well grading and certification,” he said.

CQI is a non-profit organisation working to improve the quality of coffee globally. The organisation developed the Q system, an international system for grading quality coffee.

CQI’s initiatives are supported by Livelihood Enterprises for Agriculture Development under the United States Agency for International Development and Uganda Coffee Development Authority (UCDA).

Henry Ngabirano, the executive director of UCDA, said the opportunity places the country in a better position that will benefit all stakeholders along the production chain.

“This is an opportunity for us. This will enhance confidence in our coffee, lift demand levels, raise value in terms of annual earnings from our produce compared to what the country earns currently,” he said in an interview.

Uganda exported 2.410 million bags of Robusta coffee worth $244.9m in the financial year 2008/2009 while Arabica coffee constituted 0.645 million bags worth $80.86m.

The main destination for Uganda’s coffee exports is the European Union which buys about 70% of the coffee, followed by Sudan and India.

u.g boy · June 24th, 2010, 05:37 PM

Quote:

Originally Posted by munakampala

most of the posts about uganda infrastructure and economic growth are all but government propaganda, most of the projects havent taken off or are in a stalled mode. lets keep to the facts and to information that can really help investors and not use this platform as government voice. power is still such a big problem in ug that any would be investor must know and plan for plus the road infrastructure is still so much in a sorry state 20 miles outside the capital roads are so poor and you can hardly conduct a serious business. these are the facts. otherwise the investors who are maily of our own the nkubakyeyos are the ones to be credited for the numerous buildings and projects which are cropping up around the country

i agree to an extent because one the goverment is corrupt that clear but what is also clear is that the ecnomy is growing infastrucure is impoving slowly and change for uganda is on the way but there is still alot of steps uganda need to take. my family live in kampala they say today trips to gulu take like 4 ours in the past it was a day trip . so yes there problems but there is a possative side .

u.g boy · June 25th, 2010, 07:17 PM

Power cuts to go – Museveni
Thursday, 24th June, 2010

Museveni planting a tree as Bitature (left) and Onek clap at the opening of the power plant in Tororo yesterday

By Ibrahim Kasita, Henry Mukasa and Moses Nampala

PRESIDENT Yoweri Museveni yesterday commissioned a 20MW power plant in Tororo.

Museveni observed: “It (power plant) will generate electricity that will benefit a lot to all of us. You had the problem of electricity supply but this problem will go away.”

The plant can light the whole of Kampala, Mukono and Entebbe.
The $20m-plant, that will use heavy-fuel oil to produce electricity, is owned by Electro-Maxx, the first local independent power producer.

Patrick Bitature, the Uganda Investments Authority chairman, owns the plant.

The President, who was speaking in Swahili, said although the plant was small, he expected more investors to put their money in electricity generation.
Energy minister Hilary Onek said the capacity of the plant would increase to 50MW.

“We are authorising the investor to increase capacity to 50MW so that power outages are removed as well as complete rural electrification,” he said.

Energy experts say the plant will boost power supply and accessibility, create jobs, reduce poverty and improve the quality of life.

The President also opened a food processing factory and commissioned the construction of a dry in-land port at Malaba border.

The food factory, SEBA Foods, is a subsidiary of the Export Trading Group, which has branches across East and Central Africa.

SEBA buys grain from local farmers; cleans, grades, processes and packs it for export. Such produce with value added, Museveni said, fetches guaranteed prices.

The President described the factory as a “very good facility.” The company employs 100 people.

“They add value to our produce, process, preserve and take it to the international market. These are good allies. I salute and congratulate them,” the President commented.

He encouraged them to expand and bring in other investors. “We have a problem of fruits in Soroti,” Museveni told the investors.

He also urged them to go into coffee processing, saying Uganda earns $1 per kilogramme of unprocessed coffee and $15 for instant coffee.

Museveni said the environment for investment in Uganda improves by the day.

“We are now dealing with electricity. We want to ensure that Uganda has abundant and cheap electricity,” he promised.

In the evening the President commissioned the construction of a dry inland port on a 250-acre piece of land at Malaba on the Uganda-Kenya border.

The works will be undertaken by Great Lakes Ports Limited.

Tororo to get 230mw power plant
Thursday, 24th June, 2010

By Vision Reporter

Albatros Energy is to construct a 230mw power plant in Tororo district.

President Yoweri Museveni on Wednesday held discussions with the leaders of the company over the proposed project, according to a statement issued by State House yesterday.

The investors, who responded to the Presidents’ call for private investments in the power sector, are in the final stages of the power generation deal that will be operational in the next 18 months, the statement added.

Uganda has a potential to generate at least 3,000mw of electricity. Currently, only 500mw is generated, but this will increase to 750mw upon the completion of the Bujagali hydro-power project.

Museveni commended Albatros for their decision to invest in Uganda, saying their costs of production will reduce once they start using Uganda’s gas and other oils.

The meeting was attended by the Minister for the Presidency Dr. Beatrice Wabudeya, the energy minister, Eng. Hillary Onek and the deputy presidential press secretary, Grace Akello.

Govt to construct 85 markets
Thursday, 24th June, 2010

By Conan Businge and Polly Kamukama

The Goverment is to reconstruct 85 markets across the country at a cost of $126b (about sh265b) to boost the production and marketing of agricultural commodities.

The markets are also meant to enhance the incomes of vendors, increase employment opportunities and customer satisfaction. Urban markets will be targeted in this programme.

The markets will be reconstructed in a phased approach beginning with 21 markets in Jinja, Busia, Tororo, Mbale, Soroti, Lugazi, Masaka, Mbarara, Fort Portal, Kasese, Hoima, Gulu, Lira, Kitgum and Arua.

The other districts in the first phase are Moroto, Entebbe, Kabale, and Kampala City Council.

The Government will, in Kampala, reconstruct markets in Busega, Wandegeya, Nakulabye, Ntinda, Kansanga and Kasubi. Some of the markets on private land will be relocated to other sites secured by the Government.

The local government state minister, Adolf Mwesigye, officiated at the signing of contracts for 16 markets yesterday, in Kampala.

He explained that the Government is still looking for land on which to construct the dilapidated and congested Kalerwe market, which is in Kampala district. More five contracts will be signed in the coming weeks, according to the minister.

The first phase will cost about $70b (about sh147b). It will be implemented under the Markets and Agricultural Trade Improvement Programme (MATIP-1), funded by the African Development Bank and Arab Bank for Economic Development in Africa.

The redesign of the markets in the first phase will end in August and construction will commence in November.

Mwesigye said traders in the affected markets will be registered and will receive new stalls after the refurbishment.

“We do not want to antagonise people who already own stalls in these markets. We are using public funds, therefore, no one will pay for a stall,” he said.

A survey in the city centre shows an increasing number of vendors on the streets and an unprecedented rise of non-gazetted selling places, an issue disrupting traffic flow.

Uganda ranks high in MDGs
Thursday, 24th June, 2010

By Milton Olupot

UGANDA is among the top 20 poor countries in the world which are making the most progress towards achieving three of the Millennium Development Goals (MDGs), according to a report.

The Overseas Development Institute and UN Millennium Campaign report focused on progress on Goal 1, which seeks to eradicate extreme poverty and hunger, Goal 4 of reducing child mortality and Goal 5 to improve maternal health

World leaders made promises of significantly reducing extreme poverty, illiteracy and disease by 2015.

The report, an annual assessment of regional progress towards achieving the goals, reflects data compiled by 25 UN and other agencies.

The report said half of the African countries were on track to meet the 2015 target.
The largest number of reductions of deaths of children under the age of five occurred in regions with the highest initial levels of such deaths such as sub-Saharan Africa and south Asia.

Even though the goal of reducing maternal mortality saw the least progress, access to maternal health services improved in 80% of countries.

The report credited sub-Saharan Africa for achieving the fastest progress among developing regions in making primary education available to school-age children, with primary school enrolment improving from 58% in 1999 to 76% in 2008.

However, overall, it indicated that sub-Saharan Africa was not on track to reach the target of reducing extreme poverty.

The region also remains the most affected by HIV, with 72% of worldwide new infections in 2008, although the report showed considerable progress in meeting the target of Goal 6; to halt and reverse the spread of HIV/AIDS.

Govt launches sh10b Jinja market project
Thursday, 24th June, 2010

By Doreen Musingo

THE Government has launched a project for the reconstruction of Jinja Municipal Council central market at a cost of $4.6m (about sh10.1b).

The project, to be implemented under a local government ministry plan, was launched by Jinja mayor Muhammed Baswale Kezaala at the town hall on Wednesday.

The national programme facilitator, Yasin Sendaula, said the project was expected to take two years.

Sendaula, who is also an assistant commissioner for local revenue in the ministry, explained that they wanted to reconstruct 85 markets but had secured $70m, which could fund the reconstruction of only 26 markets in 19 urban councils across the country.

Sendaula noted that they would start with six markets, two of which are in Jinja, including the central market.

“We will construct markets with land titles. So far, we have received 16 titles. We are facing a problem of slow land title processing by the local councils,” he added.

Sendaula said they drafted a memorandum of understanding, which they presented to the solicitor general for analysis.

He said vendors would sign it before the construction works.

“We shall ensure transparency by setting up notice boards and suggestion boxes at the market, through which the public can express their views,” he said.

Sendaula explained that the markets would have fire safeguards like detectors and extinguishers. He added that they would have a large working space, improved infrastructure, daycare centres, a Police booth, restaurants and toilets, among other facilities.

However, councillor Abubaker Maganda wondered what would be done with the presidential pledge of sh273m, which was for the construction of the market.
The Jinja programme co-ordinator, Eng. Muhammad Saeed, said vendors would be registered from Monday for two weeks, while relocation begins on Thursday.

KCC to get sh50b this financial year
Thursday, 24th June, 2010
E-mail article E-mail article Print article Print article

By Florence Nakaayi

KAMPALA City Council (KCC) has projected to collect over sh54b in the 2010/2011 financial year.

During the budget presentation on Tuesday at Hotel Africana in Kampala, the mayor and finance secretary, Nasser Sebaggala, said in order to meet the revenue projections, the council will engage private firms at a commission of not more than 10% to enforce tax payment.

Private firms would be engaged to collect revenue from business licences, local service tax and local hotel tax.

The budget was read by the city secretary for production, Doreen Nakaatya, on behalf of Sebaggala.
Out of the over sh54b, the council projected to get sh35b from local revenue, and sh25.4b as government grants.

The council will also benefit from another $50m (about sh100b) fund from the World Bank to work on roads and for infrastructure development.

KCC was able to increase local revenue collection from sh30b in 2008/09 to sh34b in 2009/10.

Private sector credit up 18%
Thursday, 24th June, 2010

By Sylvia Juuko

Commercial bank credit to the private sector expanded by 18.5% in the year to February 2010, suggesting that banks advanced more loans to customers despite the challenging global economy.

A finance ministry report shows that private sector credit per annum surged from sh2.6 trillion in February 2009 to sh3.5 trillion in February 2010.

The agriculture sector increased its share as a credit recipient with an increase of 38.3% in the period under review of which 90.1% was advanced to production.

This was a decline from the previous year.
“The improvement in agricultural credit is partly a result of the agricultural credit facility worth sh60b between the Government and commercial banks,” explains the report.

The report indicates that in the nine months between June 2009 and February 2010, total private sector credit increased by 15.6%.

“Commercial bank credit for building and construction grew by 64.1% from sh222.0b in February 2009 to sh388.6b by February 2010.

“This underlies the continued growth in the construction sub-sector where building for commercial and private housing remains robust,” the report notes.

Personal loans also took a large share at 23% of total commercial bank credit.

According to the sectoral distribution of commercial bank credit to the private sector, lending to agriculture accounted for 6.0% of total commercial bank credit by the end of February 2010.

The manufacturing sector accounted for 12.9%, while real estate, personal, household loans and related activities constituted the biggest share of commercial bank credit, with 38.5%, that is equivalent of sh1.6 trillion.

The transport, electricity and water sectors took about 9% of the total private sector credit.

Adam Mugume, the central bank’s director of search, pointed out recently that the monetary policy eased with the expectation that financial institutions would lower interest rates.

“Declining interest rates on government securities show what we have done to ease monetary policy.

“We thought lending rates would come down due to monetary policy easing but instead they edged upwards.

This remains a challenge,” Mugume disclosed.

This means that the private sector has not enjoyed an era of cheap credit and continues to access funds at a high cost.

Data shows that the lending rates remained high over the past year, standing at over 20% but consistent with trends over the past five years.

“Despite a slight decrease over the financial year from a peak of 21.8% in August 2009 to 19.6% in January 2010, lending rates remain high by international standards and significantly higher than in any of the other four East African Community partner states, where the average is about 15%,” the report singled out.

The high cost of credit has been blamed on high operational costs associated with infrastructural costs such as transport, energy and communications.

Another reason is the weak bankruptcy legislation codes and inadequate judicial infrastructure with respect to loan recovery.

The problem of risk assessment and identification of borrowers and the problems of the quality of collateral which are associated with dysfunctional land registries also result in high cost of funds.

Lending rates are also high due to the structural problem of lack of long-term investment finance which results into short-term commercial loans being utilised for long-term investments.

High interest rates remains the Central Bank’s biggest challenge.

This is because the business community lists this as one of the factors making doing business in Uganda uncompetitive.

Gulu dairy group to produce yoghurt
Thursday, 24th June, 2010
E-mail article E-mail article Print article Print article

By Chris Ocowun

THE Gulu District Women Dairy Farmers Association has received yoghurt-making machines from the Government through NAADS.

“This yoghurt-making machine will greatly improve the quality of our products,” Margaret Odwar, the chairperson said.
Odwar who was on Wednesday receiving the machines from McMlot Kitara, the Gulu district vice chairman, said the association produces over 300 litres of milk daily and sells to hotels, banks, Gulu University and the public.

Odwar disclosed that the association had 100 dairy cows which were given to them by the Heifer Project International, adding that, through the Northern Uganda Social Action Fund phase one, the district bought them a 300-litre milk cooler.

Odwar told journalists that each of the 100 members of the association had dairy cows and sold milk to the association at sh1,000 per litre while the association sells at sh1,200.

The production quota of yoghurts would start at 200 daily with the 500ml packets to be sold at sh1,000 each.

Arua town to get mall
Thursday, 24th June, 2010
E-mail article E-mail article Print article Print article

By Frank Mugabi

Tirupati Development, has revealed plans to construct a multi-million commercial mall in Arua town.

In line with the ambition, a team led by the firm’s managing director, Barot Harshad, was this week in Arua to carry out a survey on the best location for the mall.

“We have visited about three locations in the town and shall go back to evaluate the most suitable area for the project,” Harshad said on Tuesday.

Barot Miraj, the company’s marketing director, said the idea was to construct a structure similar to the Ovino market in Kisenyi, Kampala, although on a smaller scale.

“It will consist of about 150 shops and other facilities like restaurants and a hotel,” Miraj said.

“If all goes on schedule, construction is expected to start soon and end within 14 months or early next year,” Miraj added.

Some of the projects Tirupati has implemented include the Ovino Market with 350 shops, restaurants and a 50-room hotel, Nkumba Village and Tirupati Mazima Mall, which consists of 200 shops and offices.

this report made my day the modern ugandan is sosaring.

u.g boy · June 26th, 2010, 12:20 PM

Inland port to be built in Tororo

By Stephen Wandera (email the author)

Posted Saturday, June 26 2010 at 00:00

Kampala

The port, according to businessmen will ease the entry of goods into the country straight through Mombasa without going through any custom checks at the border.

It is designed to have a free trade zone or export processing zone, an area where some trade barriers such as tariffs and quotas are eliminated “This is a good idea,” President Museveni said on Thursday. “The cost of doing business will reduce where by the community will pay less in freight charges and taxes.”

President Museveni was on a countrywide tour of the eastern region conducting the Prosperity- for –All campaign. Great Lakes Ltd (GLT) - a consortium of local and regional businessmen won the bid to run the inland deport less than a kilometre from Malaba border post.

“The freight cost of importing a 24-foot container from Mombasa to Kampala is about $3,500 (Shs7 million). We hope that the $150 million (Shs300 billion) project will facilitate the reduction by over 20 per cent,” Chairman GLT Mr Mohamad Jaffer said.

The State Minister for Industry, Mr Simon Peter Lokodo said; “The ministry is convinced the port will reduce costs and also make Uganda the focal point for remanufacturing and redistribution into the Great Lakes region and further to the west.”

u.g boy · June 26th, 2010, 08:18 PM

Uganda holds oil talks with Total, CNOOC

By Nicholas Bariyo

KAMPALA Uganda (MarketWatch)-The Ugandan president held talks with executives of China's Cnooc Ltd. /quotes/comstock/13*!ceo/quotes/nls/ceo (CEO 175.24, +3.32, +1.93%) , France-based Total SA /quotes/comstock/13*!tot/quotes/nls/tot (TOT 46.97, -0.27, -0.57%) and UK-based Tullow Oil PLC (TLW.LN) over their investment proposals in the country's upcoming oil sector, the Ugandan presidency said late Friday.

A presidential spokeswoman said in a statement that during the talks, President Yoweri Museveni called upon company executives to establish an oil refinery in Uganda to create jobs, address shortage of fuel and lower prices.

At least a billion barrels of oil have been discovered in three blocks in Uganda's Lake Albert basin. Tullow Oil owns one block and co-owns the other two with London-listed Heritage Oil PLC (HOIL.LN).

Tullow Oil wants to take over the stakes of Heritage Oil and then bring on Total and Cnooc in a joint operating venture for the development of the oil fields in the three blocks, however the partnership awaits government's approval.

The Ugandan government is also yet to approve the takeover of Heritage interests by Tullow due to disagreements over the capital gains tax on the $1.5 billion deal.

During Friday's talks, company executives were led by Christophe de Mangerie, the Chairman and Chief Executive Officer of Total. Tullow and Cnooc representatives as well as the French Ambassador to Uganda Rene Forceville also attended.

People familiar with the situation say that the president and company executives discussed the development plan for the oil fields.

The Ugandan government insists that for companies to be allowed in the oil sector, they must have a market capitalization of at least $24 billion and must adhere to the country's oil development plans, which include early commercialization of oil, building a refinery and an export pipeline to the East African coast.

***hakz2007*** · June 27th, 2010, 05:43 AM

POWER CUTS TO GO - UGANDAN PRES MUSEVENI

Quote:

KAMPALA, June 25 (NNN-NEW VISION) -- Ugandan Pres Yoweri Museveni on Thursday commissioned a 20MW power plant in Tororo.

Museveni observed: “It (power plant) will generate electricity that will benefit a lot to all of us. You had the problem of electricity supply but this problem will go away.”

The plant can light the whole of Kampala, Mukono and Entebbe. The $20m-plant, that will use heavy-fuel oil to produce electricity, is owned by Electro-Maxx, the first local independent power producer.

Patrick Bitature, the Uganda Investments Authority chairman, owns the plant.

The President, who was speaking in Swahili, said although the plant was small, he expected more investors to put their money in electricity generation.

Energy minister Hilary Onek said the capacity of the plant would increase to 50MW.

“We are authorising the investor to increase capacity to 50MW so that power outages are removed as well as complete rural electrification,” he said.

Energy experts say the plant will boost power supply and accessibility, create jobs, reduce poverty and improve the quality of life.

The President also opened a food processing factory and commissioned the construction of a dry in-land port at Malaba border.

The food factory, SEBA Foods, is a subsidiary of the Export Trading Group, which has branches across East and Central Africa.

SEBA buys grain from local farmers; cleans, grades, processes and packs it for export. Such produce with value added, Museveni said, fetches guaranteed prices.

The President described the factory as a “very good facility.” The company employs 100 people.

“They add value to our produce, process, preserve and take it to the international market. These are good allies. I salute and congratulate them,” the President commented.

He encouraged them to expand and bring in other investors. “We have a problem of fruits in Soroti,” Museveni told the investors.

He also urged them to go into coffee processing, saying Uganda earns $1 per kilogramme of unprocessed coffee and $15 for instant coffee.

Museveni said the environment for investment in Uganda improves by the day.

“We are now dealing with electricity. We want to ensure that Uganda has abundant and cheap electricity,” he promised.

In the evening the President commissioned the construction of a dry inland port on a 250-acre piece of land at Malaba on the Uganda-Kenya border.

The works will be undertaken by Great Lakes Ports Limited.

http://namnewsnetwork.org/v2/read.php?id=124832

sseki2010 · June 28th, 2010, 12:50 PM

Quote:

Originally Posted by hakz2007

POWER CUTS TO GO - UGANDAN PRES MUSEVENI
http://namnewsnetwork.org/v2/read.php?id=124832

he always said it from 2001 upto now Uganda blacks out day and night

Kenguy · June 28th, 2010, 01:12 PM

Quote:

Originally Posted by sseki2010

he always said it from 2001 upto now Uganda blacks out day and night

I find it really irritating. I always hope for the best though...once Bujagali is complete.

u.g boy · June 28th, 2010, 05:38 PM

Quote:

Originally Posted by Kenguy

I find it really irritating. I always hope for the best though...once Bujagali is complete.

tru say but lots of my family say its getting better i went to ug in 2001 there was always power cuts now my cousins say there rare. but in 2001 the goverment was less stable and had less money bujagali will help . buti i think we need more power.

June 24th, 2010, 05:35 PM	#152
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	4 million new voters registered Wednesday, 23rd June, 2010 By Catherine Bekunda DATA of about 4.7 million people was captured in the just concluded voter registration exercise, Electoral Commission (EC) chief Badru Kiggundu has said. Addressing journalists at the EC head office in Kampala yesterday, Kiggundu said the figure included new voters, persons who transferred voting stations and those whose photographs had been missing. He, however, explained that the number was provisional, adding that the right figure would be ready by July 4. The commission had 10.5 million voters in its database before the exercise. The exercise, which began on May 3 and was scheduled to end on June 4, was first extended by 10 days to June 14 due to public demand. It was again extended for four more days to June 18. Kiggundu said because of the extension of the voter update exercise, presidential and parliamentary nominations had been pushed to November. The nominations were scheduled for October. Kiggundu, however, maintained that the general elections would take place on the scheduled dates of February 12 to March 13 next year. According to the Constitution, presidential elections have to take place within the first 30 days of the last 90 days of the current government. The current government came into force on May 12, 2006. Kiggundu noted that the extension of the nomination of the candidates would reduce the campaign days. Because of these changes, the EC had to revise its roadmap and a copy of the new programme will be availed to stakeholders as soon as it is completed, Kiggundu said. He warned people who registered twice, saying it was against the law. “They will be fined sh600,000 or face one year in jail or both.” Kiggundu also disclosed that on June 5, President Yoweri Museveni assented to the presidential elections amendment Bill, and the parliamentary elections and electoral commission amendment Bills, which were recently passed by Parliament. NSSF officials grilled over sh4b car deal Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article NSSF boss Grace Isabirye before Parliament yesterday By Cyprian Musoke THE NSSF probe committee yesterday instructed the Criminal Investigations Department (CID) to investigate the fund’s transport and procurement managers who negotiated the purchase of 67 cars from Kampala Nissan at $2m (sh4.5b). Appearing before the committee yesterday, acting managing director Grace Isabirye named the two as Stephen Kiggundu and Josephine Kaheru. The deal, the committee noted, was first advertised as car leasing by NSSF. After it was awarded to Kampala Nissan, it was changed to hire purchase, then to outright purchase and paid off without being re-advertised. This, according to the Auditor General, denied other suppliers the chance to bid for the supply at more competitive rates than Kampala Nissan, who supplied at the price of $2m that they had quoted for hire purchase. Other competitors included Europcar, Victoria Motors and Toyota Uganda. Committee chairman Reagan Okumu questioned the rationale behind overhauling the entire fleet of NSSF at a go, when it had been accumulated over many years. “There were criminal intentions to defraud the fund. We want to know who initiated this transaction and the motive of the people involved because they altered the terms of the contract without re-advertising,” he said. Isabirye explained that the terms were changed after it was found that Kampala Nissan did not have money to execute the contract, and wanted to bring in a bank as a third party. According to officials from the Auditor General, the fundamental changes in the nature of the deal led NSSF to pay more than it should have done for the cars. Petroleum firm starts oil drilling in Lake Edward Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article By John Thawite and Ibrahim Kasita DOMINION Petroleum, the firm exploring oil and gas in south-western Uganda, has started drilling in Lake Edward.The firm, in a statement issued on Tuesday, said the drilling started last week and is expected to be completed in July. “We are pleased to announce that drilling has commenced on Ngaji,” Andrew Cochran, the company chief, said. “This is the first oil well to be drilled in Lake Edward and the data gathered will guide our future work in the area,” he said. The UK-listed company operating in Rukungiri and Kanungu districts believes that the well contains about 100 million barrels of oil. The firm got the drilling permit from Uganda’s department of petroleum exploration and production this week. Drilling is taking place in exploration area Block 4B, which is owned by the firm. Cochran said if the drilling yields good results, the firm will step up activities in its neighbouring Block V on the DRC side of Lake Edward. “The findings will support an expanded exploration and appraisal drilling programme that will start early next year,” Cochran disclosed. The approval of the drilling permit has been an ongoing process. In July 2007, Dominion made a production sharing agreement with Ugandan. The agreements provided the firm with exploration rights at the block. This agreement was extended by two years in August last year. As a condition of the two-year extension, the company was obliged to drill at least one exploration well at the block. Failure to do so would have seen the firm’s license revoked. Jinja to spend sh10b this financial year Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article JINJA municipal council has passed a budget of sh10.3b for the 2010/2011 financial year, reports Charles Kakamwa and Doreen Musingo. The budget was read by the mayor, Muhammed Baswale Kezaala, during a meeting at the council chambers on Monday. Kezaala, who is also the district finance secretary, said they expect sh6b from the Central Government, sh4b from local revenue, while 0.2% will come from donors. He said the council had come up with new revenue sources to boost the district income. Kezaala added that the major contributor to the new revenue would be parking fees, which will be levied on vehicles in industrial areas. “This will bring close to sh150m into the council coffers,” he said. by the way their last year budget was only 6 billion shillling. Fort Portal to build office worth sh3b Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article Asaba being helped to operate one of the construction equipment on Tuesday By Bizimungu Kisakye Fort Portal municipal council has commissioned the construction of an office block at about sh3b. The mayor, Edson Ruyonga Asaba, said the move was in fulfillment of the Local Government Act. “It is historic that after 117 years of Fort Portal’s existence, we have come of age and are embarking on the construction of our own office block. We have dedicated this project to the people of Fort Portal, who entrusted us to be custodians of their property,” Asaba said. He was speaking at the ground-breaking ceremony at Boma in west division on Tuesday Asaba said the municipal council sold off two dilapidated properties to raise over sh600m to start the construction of the office. One of the plots sold was located in Boma, while the other was the former municipal community hall. Asaba appealed to President Yoweri Museveni for more funds. He warned the contractors, Decon Uganda, against poor workmanship. The new building is expected to have out-door recreation and conference facilities. UNESCO to raise sh2b for Kasubi tombs Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article By Anne Mugisa and Joyce Namutebi THE United Nations Educational Scientific and Cultural Organisation (UNESCO) is looking for sh2b for the reconstruction of Kasubi Tombs, which were razed by fire in March. UNESCO director-general Irina Bokova said the organisation is looking for between $0.5m and $1m to reconstruct the tombs to international standards. Bokova, the first woman to assume the post of director general since the establishment of the global body in 1945, said the organisation had asked the Government to submit a report by the experts committee that was mandated to assess the damage to the tombs. She was closing the 12th conference of African National Commissions for UNESCO and the director-general’s consultations with the commissions at the Sheraton Kampala Hotel last week. The conference was attended by delegates from 44 African countries. One of the objectives of the meeting was for the national commissions for UNESCO to provide ideas and budgets to be used by the director-general in drawing up the budget for the UN body for the year 2012-2013. Bokova said Uganda requested for help to reconstruct the tombs and the request was “supported by the entire world community”. UNESCO has a role of protecting African world heritages,” she said. In developing countries, she said, culture is a great force of growth and a source of social cohesion, especially in conflict areas. “UNESCO wants to invest in cultural diversity as a means of ensuring that there is knowledge and understanding,” she said. The tombs, which are used as the burial grounds for Buganda’s kings, were listed as a UNESCO world heritage site in 2001. Some of the Buganda kings buried at the tombs are Muteesa I, Mwanga Basamula, Daudi Chwa and Edward Muteesa 11. During her visit, Bokova, a former Bulgarian foreign minister, also met President Yoweri Museveni. Low cost road works to start Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article Ssematimba and Kutesa after the demonstration of the new technology By Samuel Balagadde LOW cost road construction technology adopted from the developed world has been demonstrated in Uganda. The technology will soon be put in practice as one of the several other interventions geared towards saving taxpayers money spent on the current expensive modes of road construction. N.S. Tandem Engineering, in partnership with UgiCom Enterprises, constituting local engineers and their foreign counterparts, have engaged landlocked specialists; Natural Paving Solutions Technology to make it applicable across the country. Maj. Gen. Pecos Kutesa, the managing director of Tandem, explained during a demonstration in Nyanama, off Entebbe Road in Lubaga Division this week that the technology had already been applied in several countries including some on the African continent. He disclosed that the technology had been found relatively cheaper. Kutesa said the technology is eco-friendly without any environment impact. “We are soon joining the bidding process for road construction under this technology, which will reduce government expenditure by over 30%. “We have already engaged Ugandans abroad to automatically boost our operations,” disclosed Kutesa. Peter Ssematimba, the Rubaga chairman, recommended the technology, saying, it will reduce government expenditure on road works. Meanwhile, rising oil supplies will mostly offset higher demand over the next five years, the International Energy Agency said on Wednesday in its latest medium-term oil and gas market report. “For the next few years, the oil market is marked by more comfortable spare capacity than envisaged last year and the duration of the current gas glut is set to last beyond 2013, at least in some regions. Yet, we shouldn’t be complacent,” the Paris-based IEA said. Potential delays to new deepwater oil projects following the accident at BP’s oil rig and the oil spill in the US Gulf of Mexico may tighten supplies, said the agency, the advisor to 28 industrialised countries. “Should the impact of those measures be widespread delays to deepwater projects, anything between 100,000 bpd and 800,000 bpd of new 2015 oil supply currently included in our outlook might be deferred,” the IEA said. The agency raised its oil demand growth outlook to an average 1.4%, or 1.2 million barrels per day (bpd), for every year to 2015 on the back of robust demand from emerging markets, taking the total volume to 91.9 million bpd in 2015. The previous forecast in its medium-term outlook in June last year was an average growth by an average 540,000 bpd per year in 2008-2014. The outlook is based on the assumption of IEA’s average oil import price, which would reach around $85 a barrel in the latter years of the 2009-2015 period, the agency’s experts explained early on Wednesday. ReuteGlobal oil supply will rise to 96.5 million bpd by 2015, mainly led by production outside the Organization of the Petroleum Exporting Countries. Non-OPEC oil supply will increase to 52.5 million bpd by 2015 from 51.5 million bpd last year, the IEA said. Despite the upward revision for the medium-term global outlook, the IEA figures showed a weak economy could curtail demand from the developed countries more quickly than it predicted in its previous outlook last year. NHCC wants suppliers Wednesday, 23rd June, 2010 E-mail article E-mail article Print article Print article A view of the Buganda Road flats owned by NHCC By Aidah Nanyonjo,/b> NATIONAL Housing and Construction Company (NHCC) has finalised plans to acquire its own construction machinery and equipment. According to the bid notice, the planned investment shall improve its construction capacity. “NHCC, therefore, invites sealed bids from the international community for supply and delivery of the equipment,” the bid indicated. The machinery and equipment are concrete batching plant, truck-mounted concrete boom pump and concrete transit mixer trucks, steel scaffoldings, props, beam plate, decking panels and column boxes and 4WD dumpers. NHCC was established in 1964 to increase the housing stock, rehabilitate the housing industry and encourage modern living. Common market: 7 days to go Wednesday, 23rd June, 2010 By David Mugabe COMPETITION for the export market will be central as the East African Community borders open in seven days time and different nationalities move to export their skills, capital and goods. Building confidence among businesses and the public and marketing and sharpening of skills will take centre stage among government commercial agencies. “The fundamentals are right. Our education is not any worse than any country for human resource development, therefore, we can compete. The other issues are simple attitudes that can be addressed,” said Ben Naturinda, the executive director of Uganda Exports Promotion Board (UEPB), in an interview. Naturinda advises the worried business community that sometimes having a big brother like Kenya’s current larger economy is good because it allows for capital inflows to the smaller economies. “Do not only look at Kenya, there are three other countries which Uganda can still dominate,” said Naturinda. The common market will allow free movement of goods, labour, capital, services and with a few limitations, citizens will have the right of residence and establishment in partner states. The business community is also being encouraged to embrace the enlarged market and learn lessons on the road. Under UEPB’s market-linked programme, about $3m business partnerships have been concluded between Ugandan entrepreneurs and Kenyan buyers mainly in food processing. “Our companies discovered that areas they thought they would never compete in can be very good like having our own processed foods in the Kenyan market,” said Naturinda. UEPB this week launched the export development and promotion training programme among key sectors that were identified in the National Exports Strategy (NES). These sectors include coffee, fruits, vegetables, natural ingredients, services, education, steel and tubes items, foods and beverages and body care products. The training programme is to upscale the skills levels both in terms of processes, practices and personnel in order to be able to do trade competitively in a wide market with many other competitors. UEPB will, with the advent of the common market, identify universities that are service-export ready and work with them to improve areas critical to attracting more students and building marketing and promotional strategy in the region. “We will start with this and if it succeeds, we will embark on another component of the sector,” Naturinda said. Uganda has a budding but greatly creative ICT sector that competes with the very best in the world. “Some of them have approached us and think that Kenyans might outcompete them. But we often tell them that there is always something unique every entrepreneur will bring on the table. “We don’t think that a Kenyan IT graduate is any different from the Ugandan-trained one. Our task is to find ways of working with them to bring out their potential and aggressively promote them.” According to UN COMTRADE Statistics 2009, export values to Tanzania from Uganda grew to $30.5m (29%) between 2004 and 2008, while exports to Rwanda grew by 53% in the same period under the customs union. Exports to the Democratic Republic of Congo grew by 41% in the same period. The statistics are evidence of the gains of integration. Experts expect the common market to grow trade volumes more. Regional businesses have been advised to smarten up their tax compliance to avoid delays and unnecessary assessments by the different authorities. The snail pace of clearance has long been identified as a non-tariff barrier that exacerbates the competitiveness of businesses. Under the fully-fledged customs union, goods originating from partner states pay 0% tariff of import duty. Also other tax heads like Value Added Tax (VAT), excise duty and withholding tax, which used to be charged at importation will also drop to a 0% rate. The 0% rate will also be dependent on proof that the goods are produced within partner states through the issue of a certificate of origin. There is a list of Ugandan industrial products that the EAC has decided to exempt from zero tariffs pending further discussions with the other member states. A 2009 study: An evaluation of the implementation and impact of the East African Community Customs Union revealed that Tanzania, Uganda, Rwanda and Burundi have since found it harder to invest in Kenya. In response, Naturinda said for the common market to succeed, the legal and regulatory processes as well as infrastructure need to be addressed. “All countries must agree and enforceable measures against those who go against this agreement must be maintained,” said Naturinda. Uganda’s oil policy slow but on right track Wednesday, 23rd June, 2010 Oil exloration team testing samples at Waraga in 2006 By Ibrahim Kasita and Gerald Tenywa WHILE Uganda is taking the right track regarding the formulation of a legal and policy framework to manage oil production, the pace of creating the laws, policies and regulations is slow, according to Dr. Kent Moors. This, Moors said, may not be concluded within the next two years and this poses a risk where critical decisions may be taken by few players, leaving out many stakeholders. “The draft bills are very good and if you don’t have good laws, decisions and monitoring cannot be made,” he said. “If there are no regulations, how can you criticise government?”he wondered. He was speaking last week at Hotel Africana during a meeting on the topic: “Civil Society and the Petroleum Law in Uganda: Revenue, Environmental, and Industry Management”. The meet was organised by over 20 non-Governmental organisations with funding from the US embassy. Moors, who is an adviser to many oil producing countries and companies, was providing training to the Civil Societies about the key elements of petroleum legislation, revenue management and benefit sharing, waste management and environmental protection, and industry oversight and corporate governance. The country has a law and policy on petroleum, which were effective during exploration phase. However, the law is to be replaced by two laws, one on oil production and another on revenue management. In the addition to the laws, a number of regulations will have to be formulated to implement the legal framework. Civil society organisations were concerned about the secrecy over the production-sharing agreements complaining that it was difficult to hold the companies accountable. “There has never been any country that has published its production agreements with the companies. There are confidentiality clauses,” Moors explained. “Contracts must be secret but strong regulations and legislations can prevent the oil curse and ensure transparency and accountability.” Honey Mallinga, the assistant commissioner in the energy ministry, said: “during initial stages of the contracting investments, promotion was through road shows which were not easy. He added: “A lot has been said about the production-sharing agreements the Government entered into with the oil companies and, from the Government point of view, this is still one of the best contracting method worldwide.” Currently, Uganda is preparing to develop petroleum laws that will govern the nascent oil and gas industry expected to transform the country’s development and improve socio-economic conditions. Mallinga said commercially viable quantities of oil and gas resources have been discovered in the Albertine rift valley in western Uganda, which also straddles the eastern border of the Democratic Republic of Congo. “Government systematic efforts to promote the exploration of petroleum in the country started 20 years ago by acquisition of geological and geophysical data in the Albertine Graben. This data was used to attract oil companies for investment into exploration for hydro-carbons. The efforts have paid off with the discovery of commercial oil and gas resources in the country, said Mallinga. “The first petroleum discovery was made at Mputa-1 and subsequently, remarkable progress has been made on an annual basis.” However, petroleum exploration in Uganda had started over 90 years ago. Exploration stalled between 1940 to early 1980s mainly due to the impact of the World War II, political instability and change in colonial policy when East Africa was zoned as an agricultural area. This, Mallinga said, was in comparison to West Africa where oil was near the surface and the region was zoned as a petroleum area. He also said the discovery of oil has come with various challenges such as, “how to manage the oil and gas industry with the current legal and instructional frameworks, excitement and expectations created by the discoveries. Weighbridges reopened Wednesday, 23rd June, 2010 Overloaded trucks to pay penalty By John Kasozi THE road weighbridges have been reopened, the Uganda National Roads Authority (UNRA) spokesperson has said. “We are not going to re-impose penalties until July 1, when we are fully in operation,” says Dan Alinange, UNRA corporate communications manager. “We have made a number of staff and technical changes. The staff that were suspected of corruption have been suspended as we carry on with investigations. New people have been recruited and trained,” he added. The remaining staff has been reshuffled. They are no longer at the same weighbridges. Last year, the works minister, John Nasasira, suspended the operations of six weighbridges in the country and announced a probe team into the alleged corruption at the facilities. Alinange said the authority has acquired six new mobile weighbridges, which are going to be deployed on different highways around the country. At the same time, UNRA is undertaking the construction of two new permanent weighbridges after Kasana-Luweero which are nearing completion. The construction of the second weighbridge at Magamaga has just taken off. They are both of similar design to the one in Mbarara. “We are working out ways of networking so that our weighbridge staff is monitored at the UNRA headquarters. In addition, we are talking to our partners in order to upgrade our old weighbridges,” Alinange noted. He cautioned truck drivers not to attempt to bribe their staff. “We now have informers scattered in different places. “This time penalties are tougher if anybody is caught bribing our staff,” he warned. Alinange said overloading is spoiling the roads like the current finished Jinja-Bugiri highway. “We have observed defects due to overloading especially at that section of the road when coming from the border.” “The Government is spending a lot of money on road infrastructure. We need to protect our roads. Otherwise, our roads won’t last longer,” he stressed. Axle overloading causes early pavement failures, leading to increased road reconstruction and maintenance costs. The objectives of axle-load control is to stop the additional damage caused to the roads by overloaded vehicles, which leads to accelerated deterioration, increased maintenance costs and the need for early rehabilitation of such roads. Uganda to have centre for coffee research Wednesday, 23rd June, 2010 manuel Diaz, a coffee expert from Mexico, David Barry (centre) of Uganda Coffee Trade Federation and Lingle (right) By David Ssempijja UGANDA'S continued premier position as a Robusta Coffee production and quality is creating enormous opportunities for the sector. The country has been chosen to host the world’s Robusta Coffee Centre of Excellence. The centre will serve as a research facility that will help to back up efforts aimed at boosting the cash crop’s quality that will enable it enhance world trade performance. Experts at the California-based Coffee Quality Institute (CQI) said the world market had confidence in coffee from Africa especially that from Uganda. “Uganda has consistently registered great performance not only because her Robusta command more volumes on the world market but also, the coffee’s cupping quality has always been impressive. It is therefore, upon that background that the country was chosen to help our research drive,” said Ted Lingle, the CQI executive director. Lingle was addressing local coffee dealers at a breakfast meeting held at Serena Kampala Hotel last week. The meeting was meant to lay strategies of intensifying the presence and demand of coffee products in the world’s supermarkets. Lingle said building of the centre, to be located in Kampala, would start next year and end in 2012. “CQI will ensure that this will be a world class centre equipped with research facilities about Robusta right from soil science, throughout farming, processing, cupping as well grading and certification,” he said. CQI is a non-profit organisation working to improve the quality of coffee globally. The organisation developed the Q system, an international system for grading quality coffee. CQI’s initiatives are supported by Livelihood Enterprises for Agriculture Development under the United States Agency for International Development and Uganda Coffee Development Authority (UCDA). Henry Ngabirano, the executive director of UCDA, said the opportunity places the country in a better position that will benefit all stakeholders along the production chain. “This is an opportunity for us. This will enhance confidence in our coffee, lift demand levels, raise value in terms of annual earnings from our produce compared to what the country earns currently,” he said in an interview. Uganda exported 2.410 million bags of Robusta coffee worth $244.9m in the financial year 2008/2009 while Arabica coffee constituted 0.645 million bags worth $80.86m. The main destination for Uganda’s coffee exports is the European Union which buys about 70% of the coffee, followed by Sudan and India. Last edited by u.g boy; June 24th, 2010 at 05:54 PM.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode

June 17th, 2010, 05:24 PM	#141
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Government increases sports budget to Shs4 billion By James Ssekandi (email the author) Posted Thursday, June 17 2010 at 00:00 And who says sports is completely forgotten in Uganda. State Minister for Sports Charles Bakkabulindi revealed that the budget read last week had an increment of Shs1.2 billion towards the sports sector making it Shs4 billion for the 2010/11 financial year. Bakkabulindi disclosed this during the annual National Sports Associations assembly attended by 42 bodies and the National Council of Sports (NCS) Board at Oasis Bar and Restaurant in Lugogo yesterday. A portion of the budget, Shs500m, will cater for the payment of the land occupied by Lugogo Sports Complex. The NCS offices, Lugogo Indoor Stadium, ultra-modern hockey field, Lugogo Tennis Club (LTC), cricket oval, the Lugogo hostel and Uganda Olympic Committee (UOC offices) all occupy the land in question that has been valued at Shs1billion by owners, Kampala City Council (KCC). “Another Shs500 million will be released in the 2011/12 financial year to complete the purchase of this land,” Bakabulindi clarified on the part-payment process NCS had opted to undertake. In the same financial plan, Shs400m has been put aside to specifically fund sports development from the grassroots, tutor young coaches, renovate sports facilities and help with talent identification. “Administrators should explore the brand of sports to do business and generate their own funds. Government will continue to increase funding but much of it will be for the youngsters,” added Bakabulindi. Meanwhile NCS chairman Anthony Katamba urged all associations affiliated to the NCS to advertise and appoint Chief Executive Officer (CEO). Out the 42 sports associations, only Federation of Uganda Football Associations (Fufa), Uganda Amateur Boxing Federation (Uabf) and Uganda Cricket Association (UCA) have CEOs in place. officials. Katamba also warned that associations should stop referring to their heads as presidents but as chairpersons. “The title president is preserved for Federations, like Fufa and UABF; and only if qualified as such by council,” Katamba explained. Uganda-Turkey trade rises to sh48b Wednesday, 16th June, 2010 The Turkish Airlines on a maiden flight to Entebbe By David Mugabe AND Patrick Jaramogi TRADE volumes between Uganda and Turkey have risen to sh48.4 billion in 2009 from just $1m in 2001.The chairman of Turkish Airlines, Hamdi Topcu disclosed the trade figures at Entebbe on Monday after Turkish Airlines made its maiden flights from Istanbul to Entebbe. The arrival of Turkish Airlines is expected to open a new travel window, spur trade and reduce travel costs to Europe as competition for the region picks up. Turkish Airlines is the fourth largest airline in Europe by passenger volumes according to officials. The Airbus TK 601 that carries over 200 passengers touched Entebbe international airport at 7 a.m. with several dignitaries on board among them the Mayor of Istanbul, Kafir Topbas. Current trade volumes are however largely in favour of Turkey with textiles dominating import products into Uganda. “This development is very promising. I have no doubt that this flight that starts today will make significant contributions,” said Topbas. Turkish airlines will fly three times weekly six hour non stop between Istanbul, Entebbe and Dar es Salaam on Monday, Wednesday and Saturday. The airline has meanwhile launched a promotional fare running from June 14 to July 14 in which return trip tickets from Istanbul to Dar es Salaam will cost euros 367 and euros 376 from Istanbul to Entebbe including taxes. Aviation experts say that Turkish Airlines will offer reduced costs to mainland European destinations like London, Brussels and Holland although passengers have to transit through Istanbul, Turkey. The entry of the large Airbus aircraft also adds to Entebbe’s emerging status as a regional hub away from the dominance of Nairobi. The minister of state for industry, Simon Lokodo said in a statement that international passenger throughput at Entebbe has risen to 929,052 in 2009 up from a paltry 118,527 in 1991. Civil Aviation Authority projections put the airport’s international inflows at 1.8 million passengers by 2022. “It is evident that added flights will immensely contribute towards this growth and even surpass the anticipated figures,” said Lokodo. Uganda: LG to Increase Presence 16 June 2010 Kampala — Electronics manufacturer, LG, has said the promising market for its products in East Africa had offered it a leeway to increase presence in the region that is yet to open boarders to free intraregional trade. LG Electronics boss for Middle East and Africa, Ki Wan Kim, said dwindling demand for the firm's products in Europe had compelled the firm to focus mainly in Africa and Asia. "LG has performed well in East Africa and Uganda in particular," he said.

June 18th, 2010, 05:44 PM	#142
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Rastoon Thursday, 17th June, 2010 Uganda has moved from a low developing to the medium developing country categorisation by the United Nations Human Development Index the new vision a ugandan newpaper have a weekly cartoon (rstoon) about something going on in the country , acording to the un uganda is now a middle developing country like mexico . Bharti chiefs in Kampala for Zain deal Thursday, 17th June, 2010 E-mail article E-mail article Print article Print article By David Mugabe TOP executives of Bharti Airtel are meeting in Kampala in a five-day session to sketch out directions for the new Indian operator who acquired Zain Africa operations for $10.7b. Fred Masade, the Zain Uganda external affairs manager, confirmed the meeting in Kampala but was cagy about the agenda and expected outcome. “It is a private meeting, I can’t say much about it. There will be a full briefing on Friday (today),” said Masade. Sources said one of the issues on the agenda is how to map out the rebranding process. Zain’s Africa operations are expected to rebrand to Bharti, the second rebranding in under five years since the pan-African telecom changed from Celtel to Zain. Bharti’s expansionist trips from Asia to Africa was driven by increased domestic competition that saw call rates drop to as low as half a US cent (about sh10) a minute. This low voice tariffs was also a competitive edge in the Asian market. Uganda’s seven-player market is one of the fiercest in Africa, with top players recently reverting to the previously ignored tariff wars. New aerial survey for oil begins Thursday, 17th June, 2010 E-mail article E-mail article Print article Print article By Frank Mugabi A team of experts from a British geophysical survey firm, ARKeX, have embarked on an airborne study in exploration Area 5 (EA5) to identify structures with more prospective oil reservoir properties. This comes after Neptune Petroleum, the company exploring for oil and gas in the West Nile region, confirmed the “generation and migration” of oil in the area, despite having hit two dry wells. These include Iti-1, which was drilled in June 2009 without any obvious success and Avivi-1, which was four months back drilled to a total depth of 764 meters but did not encounter oil. Rashid Mugabe, the Neptune environment and community affairs manager, said the survey experts will conduct their exercise in a period of three months if the weather permits. Mugabe added that the survey would rely on hi-tech equipment and aircraft to fly over the 2,941 square kilometre concession. “They are carrying out an aero-gravity gradiometry survey that will provide more definitive information on the basement. It will also help us focus better on the imminent seismic survey which could approach 500km,” he said. The seismic interpretation would also provide the basis for selecting a third well location, the manager said. Previously, Peter Kingston, the chairman of Tower Resources which owns Neptune Petroleum, said the target was to be ready to drill a third well, which is the commitment well as designated in the Production Sharing Agreement, as early as possible in 2011. This would allow time for a follow up programme if required, since the firm’s current licence expires on March 2012, he said. Expert trains NGOs, MPs, media on oil Thursday, 17th June, 2010 E-mail article E-mail article Print article Print article By Ibrahim Kasita THE US is to train legislators, the media and the civil society groups to develop effective oil and gas laws for Uganda to benefit from the resources. The training that started yesterday and ends on Saturday at the Imperial Resort Beach Hotel in Entebbe is aimed at promoting awareness under the theme “Equitable Sharing of the Treasures of Oil and Gas in a Transparent and Environmentally Sustainable Manner.” It also facilitates effective contribution of the media, civil society and parliamentarians in Uganda in the governance of the country’s petroleum resources particularly in the formulation of petroleum legislation. The training featured a key US-based oil expert, Dr. Kent Moors, who taught the civil society and media practitioners about the key elements of petroleum legislation, revenue management and benefit sharing, waste management and environmental protection, and industry oversight and corporate governance, using a multi country survey. “The objective of the symposium is to provide a forum for dialogue on critical issues of public concern relating to petroleum development and biodiversity conservation, generate ideas to inform pending revenue sharing and administration legislation,” Henry Banyenzaki, the chairperson of the Parliamentary Network on the World Bank, explained. “The symposium also provides an avenue for discussing the operationalisation of a parliamentary civil society working group, which is intended to be an additional forum for influencing the proper governance of oil and gas resources in Uganda.” Uganda is increasingly becoming renowned as a mineral resource-rich country. Commercially-viable quantities of oil and gas resources have been discovered in the Lake Albert Rift in the West of the country along the eastern border of the DR Congo. Four international oil companies including Heritage, Dominion, Tullow and Neptune have been awarded exploration licences in the oil prospecting blocks in the Albertine Graben and Production Sharing Agreements executed with the Government. Over 39 oil and gas wells have so far been drilled, out of which 36 were found to be commercially productive. Initial well tests estimate over two billion barrels reserve capacity and flow rate potentials of up to 350,000 barrels per day over a 25-year period, experts noted.

June 20th, 2010, 08:23 PM	#143
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Uganda budget seeks to create wealth for the masses By David Malingha Doya (email the author) Posted Monday, June 21 2010 at 00:00 Uganda’s 2010/11 budget will test the government’s ability to spur micro-economic growth in a bid to create wealth for the majority of its people. This comes at a time when central bankers are receiving pay rises for managing the macro-economy well during the global economic downturn. With a solid reserve base of up to 5.3 months of imports, Uganda was the only East African country that did not seek financial support from the International Monetary Fund during the crisis. Now Finance Minister Syda Bbumba is working towards extending the estimable macro economic policies to the informal sector. In her 2010/11 budget, she dished out stimulus packages to mass beneficiaries including both the educated and uneducated youth, farmers and teachers in billions of shillings. These packages grew the budget to Ush7.5 trillion ($3.75 billion) up from Ush7.3 trillion ($3.65 billion). This is the first budget that is derived from Uganda’s five-year national development plan, and outlines priority sectors for investment including infrastructure development covering roads, railways, ports, an oil refinery, oil pipeline, electricity generation plants, an ICT park and fibre optic cable-network. Other priorities include human resource development and establishing rapid transport systems for Kampala City. Given that Uganda has the biggest demographic segment of young people in the world, a large teacher population and employs most of its citizenry in the farming sector, such stimulus packages are expected to contribute to microeconomic growth by increasing Ugandans’ individual income levels. “Government and the central bank in particular have done well in maintaining macroeconomic stability, but we now want it to be extended to the microeconomy, by increasing incomes of individual people,” said Prof Augustus Nuwagaba, a development consultant. It however, remains to be seen whether government will achieve this given that stimulus packages in the past have wasted away in corruption and poor management. Charles Ocici the executive director of Enterprise Uganda said, “We should deepen the pronouncements on youths’ schemes, to ensure that they develop a business mind, and that when they get credit for a project, they are able to make it profitable, unlike previous schemes where people could not even repay the interest.” Herman Kasekende, Standard Chartered Bank’s Head of consumer banking in Uganda said that training and salary increments will ultimately increase the country’s productivity. “It will also make Uganda’s human capital more competitive in the region,” Mr Kasekende added. Mr Ocici said the same should be done with the 100 farmers per parish who are going to be given key inputs, so that they can begin to think commercially. Bharti Airtel to invest $100m in Uganda Mr Kohli, the Bharti Airtel CEO (international) with Mr Oenga (right), the MD Uganda. The low tele-density in Uganda presents room for the firm to grow. Photo/STEPHEN WANDERA By Faridah Kulabako (email the author) Your Email Message Send Cancel Posted Monday, June 21 2010 at 00:00 Officials of Bharti Airtel, India’s largest mobile telecom company which recently acquired Zain African operations in a $10.7 billion deal, have made their first stopover of African operations in Uganda. Addressing a news conference in Kampala, Manoj Kohli, the international chief executive and joint managing director Bharti Airtel, said the low tele-density in Uganda presents room for the company to grow. The company plans to invest more than $100 million in the country over the next two to three years to build the brand’s leadership goal in the country. “Uganda’s is a very precious deal market for us and time is not far when Airtel will be a leader in this market,” Mr Kohli said. The rate of mobile penetration in Uganda stands at 30 per cent due to high communication costs. Mr Kohli said Bharti Airtel will make the service affordable for both the rich and poor in rural and urban areas to increase penetration levels to more than 60 per cent. “Bharti is committed to contribute to the long term growth of the telecommunications sector in Uganda,” he said. He said that reduction in interconnect fees and sharing infrastructural costs will help the country reduce call costs which are currently among the highest in the world. Strengthening networks The deal to buy Zain’s 15 African operations was concluded in April. Of the countries; including Kenya, Tanzania, the Democratic Republic of Congo, and Gabon among others that it acquired, the fifth largest mobile company in the world with over 180 million customers decided to take its first step of the takeover in Uganda. The money will be invested in strengthening networks, distribution and information technology systems, among others. Zain Uganda managing director Yesse Oenga said: “This is a key moment in the development of the telecommunications industry not only in Uganda, but for Africa as a whole.” ICT sector gets Shs2.6 billion boost Posted Thursday, June 10 2010 at 00:00 The information and communication technology (ICT) sector, which is seen as a catalyst of national development and a source of thousands of new age jobs, received Shs2.6 billion in the 2010/2011 budget. Ms Syda Bbumba, the Finance minister, said the budget allocation will be towards the Business Process Outsourcing (BPO) segment of the ICT sector. The move, she said, was aimed at creating jobs for the educated youth and generates exports. BPO involves the provision of services by nationals within one country to those in other countries like the United States of America by way of the Internet and telecommunication infrastructure. BPO revenue The global BPO revenue today is estimated at $160 billion, with India and the Philippines enjoying a big chunk of the global market by selling services to the US and Europe. Ms Bbumba said the money will be directed to priority allocation for the operation of the National Information Technology Authority (NITA)-Uganda, which is expected to lead to the decline of the cost of access to ICT related services. In Uganda, the most common ICT tool used is the mobile phone facilitating both basic communication and transfer of money among millions of people. Telecommunications This is aided by the presence of telecommunication companies like MTN and Zain Uganda, which have mobile money transfer services like; MTN Mobile Money and Zap respectively. The minister also stated that the third phase of the controversial National Backbone Infrastructure (NBI) project involving the construction of a 1500 kilometre of optical fiber will commence during the new financial year. The third phase is expected to link Uganda to other East African countries through public fibre optic cables. “Sourcing of funding for the third phase of the NBI, which will link the system to other countries in the region is being finalised,” she said. This will follow the end of phase two, through which 21 districts were added to the backbone.

June 21st, 2010, 01:03 PM	#146
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Uganda: Govt to Build Technical Institutions in Five Districts Bizimungu Kisakye 15 June 2010 Kampala — The government is to construct five technical institutions in Kyenjojo, Ntoroko, Adjumani, Bukedea and Lyantonde districts Education state minister Dr. Kamada Bataringaya said each of the institutions, to be established in this financial year, will cost about sh4 b. "We are putting up modern technical institutions for Senior Four and Six leavers. The beneficiaries will get equipped with skills in electrical installation, brick laying, carpentry and information and communication technology. This is for the purpose of bringing out job creators other than job seekers," Bataringaya said. He was speaking during a ceremony to launch four child centres on Saturday at St. John's Cathedral in Kabarole. The centres, to be run by Compassion International, a non-governmental organisation, will cater for the needy and vulnerable children in the district. Relevant Links The project will be implemented in conjunction with the World Evangelical Ministries, FortPortal and St. John's Cathedral under the Rwenzori diocese. The centres in Mukubo, Kitumba, Kabarole and Kyebambe will cater for over 800 children who receive support from Compassion International. Bataringaya also cautioned NGOs against getting involved in child trafficking and warned that those got involing in the vice will be dealt with by the Government . Compassion country director Herbert Turyatunga said the project is currently operating in 60 districts countrywide and receives its funding from abroad. The ceremony was attended by Rwenzori Diocese Bishop Benezeri Kisembo, area Members of Parliament Stephen Kaliba and Margaret Mugisa Muhanga. Urban markets to be upgraded Sunday, 20th June, 2010 E-mail article E-mail article Print article Print article By Vision Reporters A project to reconstruct 85 markets countrywide is to kick off in November, Joseph Kawombe, a senior advisor on the urban market project under the local government ministry, has said. Speaking to leaders of vendors’ associations at the City Hall in Kampala on Friday, Kawombe said the sh277b ($126m) project would run for three years, the first phase catering for 26 markets in 19 urban councils. He added that the markets would be modernised to include lockups, restaurants, kiosks, stalls, beef and fish units with cold storage facilities. Kawombe stressed that the project was aimed at contributing to poverty reduction and economic growth through the commercialisation of agriculture. The markets which will benefit from the project are Busia Central, Jinja Central, Jinja Napier, Tororo Central, Mbale Central, Lira Main, Soroti Main, Lugazi Central, Masaka Central, Masaka Nyendo, Mbarara Central, Fort Portal Mpanga and Kasese Central. Others are Hoima Central, Gulu Main, Moroto Lopeduru, Entebbe Kitoro, Kabale Mwanjari, Kitgum Central, Arua Main and Ntinda, Busega, Wandegeya, Nakulabye, Kansanga and Kasubi in Kampala.

June 21st, 2010, 01:41 PM	#147
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Mobilisation in high gear Relevant Links Ejiku says they have a programme to support the farmers by giving them advances and inputs on credit to build their capacity. "We are trying to develop nuclear estates so that we can sustain the factory and so far we are looking at opening up over 100 acres of tea," he adds. Ephraim Biraro, the councillor for Burere where the factory is located, says they have embarked on a campaign to mobilise the farmers to grow more tea. He, however, argues that although the farmers would want to grow more tea, some cannot afford the plantlets which cost sh300 each. "We have over 30 nursery beds with over 5 million plantlets but there is no money to buy these plantlets and supply them to the farmers. In fact they have overgrown," Biraro explains. The Government is contributing over sh4bn while the shareholders are contributing about sh6b towards the factory construction. Mbale to spend sh19b Sunday, 20th June, 2010 E-mail article E-mail article Print article Print article By Joseph Wanzusi MBALE district is to spend sh19b, according to the budget estimates for the 2010/2011 financial year. The finance secretary, Robert Wandwasi, said: “A total of sh2.2b has been allocated to this sector (agriculture) to run programmes aimed at modernising agriculture in order to improve household incomes for the people in the district. By the end of this year, all production staff at sub-counties will be converted to National Agricultural Advisory Services.” He explained that in order to reduce the drop-out rate, especially for the girls, the district would build classrooms, provide textbooks and furniture, pay teachers in time and enhance inspection and monitoring using the sh8.2b allocated to the sector. The health sector, which was allocated sh2.7b, will enable the district construct a maternity ward at Namanga parish, Lukhonje sub-county, a staff house at Bumadanda, connect electricity to health centres and build an outside patient department at Budwale, Wandwasi added. He was presenting the budget to the district council at Malukhu Lukhobo Council Chambers. The budget council session delayed to start as councillors wanted their allowance arrears to be paid before they could approve and adopt the budget proposals. last year there budget was 6 billion this really shows the growing wealth. Shumuk joins dairy sector Sunday, 20th June, 2010 Muhumuza (left) and other Shumuk officials during the takeover of the Mbarara plant By Chris Omony SHUMUK Dairy, another key player in the milk sector, is to embark on the production of milk and other related products in the next two weeks as the company finally opens shop, officials announced over the weekend. Dan Muhumuza, the Shumuk Group general manager, told reporters in Kampala that the “Go-Fresh” milk would hit the supermarket shelves by the end of this month. He disclosed that President Yoweri Museveni was expected to preside over the official launch of the Mbarara-based plant. “We are set and should be opening in the next two weeks. We expect H.E to preside over the official opening ceremony,” Muhumuza said. He said the rebranding exercise of the product had already been completed. Last month, the company took over from the previous owners, the Zim Group after acquiring 55% of the shares in the firm. Muhumuza said they had invested up to $2.5m in the new initiative. “We are going to market the milk under the “Go Fresh” brand. It is going to be a very competitive brand which will give us an edge over the rest. “Our target is very broad because we are not only aiming at the Ugandan market, but we are also targeting the entire region,” Muhumuza explained. He said over 200 farmers would be engaged in the production of up to 50,000 litres of milk daily. Minister tips districts on investments Sunday, 20th June, 2010 E-mail article E-mail article Print article Print article By Goodluck Musinguzi PROFESSOR Ephraim Kamuntu, the planning state minister, has requested districts in south-western Uganda to create business profiles and train focal point officers that will facilitate local and international investors with information. Kamuntu argued that this would make the districts explore the present investment opportunities and innovations, making them the destinations for local and foreign investors. He said this in a speech read by Silver Baguma, the Kabale district chairman at the closure of a business forum at White Horse Inn conducted by the Uganda Investment Authority last week. Kamuntu urged local entrepreneurs to invest in products that local people consume. He cited agro-processing of millet, sorghum and potatoes into flour and bread. He said through agro-processing investors would create many products from one raw material and will create jobs using the technology available. Kamuntu said the Government was committed to improving the investment infrastructure like roads and energy to make private sector competitive. Steven Byibisho, the Kisoro town council mayor, said they will create a special fund to be used in promoting business opportunities in Kisoro district. SMEs get sh5b boost Sunday, 20th June, 2010 E-mail article E-mail article Print article Print article By Patrick Jaramogi ACCESS to credit by small and medium enterprises (SMEs) has been eased following the guarantee of euro 1.6m (about sh4.5b) by the French Development Agency (AFD). The risk sub-participation agreement was signed between AFD and Bank of Africa in Kampala last week. One of the major problems facing SMEs is accessing credit from commercial banks. But the AFD move is expected to bring some relief. Edigold Monday, the Bank of Africa Uganda managing director, said the bank would give credit to SMEs with ease. “The difficulty in attracting finance from commercial banks is due to the inability of most enterprises to provide sufficient security that loans will be repaid on time and in full. With these funds, the risk has been reduced,” she said. She said the partnership scheme would guarantee up to 50% of the loans issued to qualifying SMEs. “The guarantee has the effect of reducing the credit risk exposure and will therefore enhance the banks lending capacity to SMEs,” she said. Rene Forceville, the French ambassador, said the partnership was fulfillment to the French government mission of financing overseas development. “AFD aims are supporting social and economic development, poverty reduction and preservation of the environment,” he said. Forceville explained that the guarantee would serve as a risk-sharing tool for banks, which will later enhance support of the SMEs. The AFD regional director Jean –Pierre Marcelli said they would double the funds if Bank of Africa handles the credit scheme effectively. “We feel sustainable development can not be reached in Uganda without support to the SMEs as creators of jobs and value addition,” he said. Bank of Africa becomes the second financial institution to get support from AFD after the dfcu Bank sealed a similar agreement for $15m (about sh33b) under a seven-year credit line to help in stimulating the growth of businesses in Uganda early this month. Proparco is the private sector arm of the French Development Agency Group, the official French bilateral development financial institution. Uganda Business News: Centenary Bank opens more branches In a bid to serve Ugandans better, the Catholic owned Centenary Bank has opened more branches in Eastern and Central Uganda. The two more Centenary Bank Branches have been opened in Mubende (Central) and Jinja, Eastern Uganda, according to the news statement the bank has issued today in Kampala. The news statement signed by management says the first grand opening of these new bank branches took place in Mubende on 18th June, 2010. The opening of Centenary Bank branch will take place on 25th June 2010. The Centenary Bank Mubende branch is located on plot 20 Main Street, Mubende Town, while in Jinja it is located on plot 6 Nizam Road, Jinja Town. The news release says Centenary Bank customers experience total banking!

June 21st, 2010, 03:30 PM	#148
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	UIA Uganda Investment Authority your investment is our business In the quarter ending September 2008, Uganda Investment Authority (UIA) licensed 76 projects. These were quality investments mainly in the sectors of financial services, energy, construction as well as manufacturing. The construction sector took the lead by attracting investment with planned investment of US$87 million followed by the financial services, and energy with planned investments of US$64 m and US$56m respectively. These investments came from 17 different countries with most being indigenous projects (17) followed by India with 11 projects while 8 projects are from the United Kingdom. It suffices to mention that in terms of value of investment, Uganda topped with investment worth US$ 98.8 million, Singapore with two projects altogether planned to invest US$59 million with the respectively. The total planned investment value from the 76 projects is US$ 297m and planned employment is 6,774. This amount is however lower than US$359m from 101 projects approved in the previous quarter. It is important to note that there were large projects licensed in the power and construction sectors with over US$ 40 million investment. UIA has embarked on the process of surveying what is actually on the ground and this is being done in collaboration with the Bank of Uganda and Uganda Bureau of Statistics. The Private Sector Investment Survey 2008 is targeting to cover 800 projects and preliminary returns show that at least 70 percent of the companies have returned their questionnaires. The results of the PSIS 2008 will be released by the end of December 2008. Uganda Investment Authority Development of Industrial Parks in the Country A. Introduction Government has mandated the Uganda Investment Authority (UIA) to establish Industrial Parks all over Uganda in the next five yerars (2008/2013). Three of these (Namanve, Luzira and Bweyogerere) are located near Kampala but twenty two others are being located upcountry to tap the rich processing potential. These Parks are being established in Arua, Bushenyi, Fort Portal, Gulu, Iganga, Hoima, Jinja, Kabale, Kasese, Kumi, Lira, Luwero, Masaka, Mbale, Moroto, Mubende, Nakaseke, Nakasongola, Nebbi, Rakai, Soroti and Tororo. B. Development Strategy The development of the Parks at Luzira (65 acres) and Bweyogerere (50 acres) are in advanced stages with investors already located therein (fourteen at Luzira and eight at Bweyogerere). Infrastructure provision for the Namanve Park is in progress. For the Parks Upcountry, 50 to 500 acres of land will be made available preferably in a single parcel. Each park will have an all weather road network; water, electricity and sewerage services will be connected in the entire acreage of the project. In Consultation with Central Government and Local Authorities, UIA has put in place mechanisms to ensure that the Parks are well planned, Environmental Impact Studies are made and approved by NEMA, Utility Companies are consulted as well as recruiting Consultants to ensure the smooth take off of the Country's Industrialisation Strategy. The Parks will cater for Small and Medium Scale (SME's) Enterprises as well as Medium to Large Scale Enterprises. It is also planned that facilities such as an administrative unit will be provided to manage the park and ensure its sustainability, multipurpose hall and core factory blocks be built by Government and or the private sector. Government has provided resources to develop the Parks in Mbale, Mbarara, Gulu and Soroti during the FY 2008/09. Given below is an outline of the progress made by the (UIA) in the implementation of the National Industrial Parks Programme for Upcountry Parks. 1. Mbarara Industrial Park ( Two estates - 12 acres and 640 acres) The UIA has acquired a 12 acre Industrial Estate already built up with 5 blocks of buildings providing 3,685 sq m of workspace and is in the process of acquiring the 640 acres for Industrial Park Establishment. The 12 acres acquired is comprised of an 'incubator type' facility 4 km on the Mbarara - Masaka Road. Negotiations for the acquisition of the 640 acres are slated for the third week of October 2008. Roads will be opened after completion of the land acquisition and a land use plan to be prepared by the end of December 2008. 2. Soroti Industrial Park (219 acres) UIA has identified land at Temele Arapai to set up the Industrial Park. The land is at the periphery of Soroti Municipality and is approximately 5 km from the Soroti Town Centre. There are no squatters on the land. 3. Gulu Industrial Parks (124 acres and 300 acres) The Gulu University Council has offered the UIA 124 acres for the establishment of an Industrial Park. The District Council has also committed itself to provide 300 acres of land for Industrial Development. Boundary (cadastral surveys of the lands are planned to begin in the 3rd week of October 2008. 4. Mbale Industrial Park (619 acres) UIA has acquired 619 acres of land at Mutoto, 1 km from the Town Centre. Boundary opening and the topo survey have been completed; compensation assessment of land occupants will soon be completed. An Environmental Impact Assessment (EIA) study and a land development plan are to be made starting October 2008. 5. Hoima (300 acres) The District Council has offered land to the UIA for Industrial Development. UIA has been tasked to survey and carry out the necessary development studies for the land. A cadastral survey is planned to be commissioned in the first week of November 2008. 6. Fort Portal (200 acres) The Kingdom of Toro has invited the UIA to start a partnership of Industrial Development. The Kingdom will provide land parcels to the UIA for development of the requisite infrastructure. Assessment of the lands is to begin in the first week of November 2008. 7. Nakasongola (2,000 acres) The Industrial Park Project for the area (at Wabisi- Wajala) adjacent to the Air-force base is being re-activated. It had earlier been identified by Government as a site for an International Free Trade Zone since the airport runway (3.5 km usable length) is still in good shape. Work will begin early December 2008 by commissioning an EIA study. 8. Rakai (1,200 acres) VIA will support local efforts in setting up a free-trade zone in the Rakaij Masaka area which will facilitate trade and industrial development for Uganda, Rwanda, Burundi and Northern Tanzania. The land has been identified by the local community. UIA will work with the local authorities (in Rakai and Masaka) to make the enterprise work. gulu(30 and 124 acres) soroti(219) and mbarara (12 acres and 640) parks are starting construction in 2011. rakai,and naskangola have started construction if you look at naskangola on google earth u can see airport runways and roads. mbale is being built as we speak , mbarara 12 acre park is completed.hoima park i dont know. most f the park are starting late due to the kampala riot is dibalanced everthing so most park are starting a year or two late.

June 22nd, 2010, 06:05 PM	#149
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Uganda: Electoral Commission to Create 200,000 Jobs David Muwanga 21 June 2010 Kampala — A number of employment opportunities will be offered as the country prepares for the elections next year. The Electoral Commission has been allocated Ush102b (US$ 46million) for organizing the elections scheduled to take place next year. "We expect to create over 200,000 jobs which Ugandan's must be on the look out for," Electoral Commission chairman Dr. Badru Kiggundu told a press conference in Kampala last week. He told the East African Business Week that jobs are expected in the recruitment of polling assistants, presiding officers, transporters among others. "We have got many forthcoming opportunities because we don't engage these people on full time basis, so Ugandans should be on the lookout," he said in an interview last week. Already the Electoral Commission has invited bids for supply of ballot papers for presidential, general parliamentary and local government council elections slated for 2011. A statement issued by the commission said interested eligible bidders may obtain further information from the EC and inspect the bid documents from 8.30a.m to 12.00 pm and 2.30pm to 4.30pm.. It said a complete set of bidding documents in English may be purchased by interested bidders on the submission of a written application to the commission and upon payment of a non-refundable fee of Ush200,000 ($100). "The method of payment will be by Bank in-slip obtained from EC Cashier's Office and Deposited in Diamond Trust Bank Jinja Road Branch. The document will be issued by hand on presentation of bank in slip at the Procurement Unit of (EC). No liability will be accepted for loss or late delivery. The statement said the pre-bid meeting shall be held at 11.00am on Tuesday June 29 and that the bids must be delivered to the commission at or before 11.00am July 29, 2010. Relevant Links The Uganda Police Force (UPF) also plans to recruit 16,500 Special Police Constables (SPCs) ahead of next year's general elections. According to the Internal Affairs Minister Kirunda Kivejinja, the force has only 38,168 officers compared to the 22,000 gazetted polling stations. "There is a shortfall of 16,500 personnel to effectively cover the exercise. This needs to be filled by recruiting and training special Police constables," he said in a statement. The Police Force also asked for sh2.54b to recruit the extra hands and another sh11.1b for training. It also wants an unspecified amount of money to handle other aspects of the elections. Airtel to upgrade network in Uganda 22 June 2010 Bharti Airtel has announced plans to spend $100m on upgrading the Ugandan network it acquired from Zain Read more: [Bharti Airtel] [Uganda] [Zain] Indian group Bharti Airtel will spend $100 million over two years in Uganda on technology upgrades and expansion of the former Zain network. The investment will help the group double subscribers over the next two years from the current two million active users. It is looking to raise deployment of wireless technologies and deliver broadband capacity to the farthest areas in the countryside so that people can access data and voice wherever they may be. Revenues from the telecoms industry are estimated to increase at an annual rate of 25-30% over the next five years, according to the Uganda Communications Commission. The east African country has six GSM operators. Airtel recently completed a $9 billion takeover of Kuwait-based Zain’s assets in 15 African countries.

June 23rd, 2010, 06:13 PM	#150
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Finance clarifies on SACCOs cash Tuesday, 22nd June, 2010 E-mail article E-mail article Print article Print article By Paul Tentena THE formation of savings and credit cooperative societies (SACCOs) is not meant to attract the prosperity-for-all funds, the finance ministry has clarified. John Miraze, a senior consultant, indicated that SACCOs were formed to unite people and create a savings and investment culture among them. “People think that when we urge them to create SACCOs, they are meant to get free money from the Government. This is not true,” he argued. Miraze was addressing parish leaders and chiefs on the criteria for the selection of lead SACCOS in their parishes at Tick Hotel in Kawempe over the weekend. “The selected lead SACCOS for parishes and sub- counties will attract government support and access the prosperity-for-all funding,” stressed Miraze. He added that the Government had so far disbursed over sh50b in the prosperity-for-all programme throughout the country. He disclosed that over 800 SACCOs had been supported. Miraze noted that local leaders were selecting the lead SACCOs to access funds because they want to avoid claims that certain SACCOs were imposed on people. Francis Okello, the programme coordinator of the Uganda Cooperative and Savings Credit Union (UCSCU), pointed out that the Government would extend SACCO support for the next two years. “We urge you to form SACCOs. You should do it immediately. This funding is only going to last for the next two years,” explained Okello. UCSCU is a government body that was set up to oversee the operations of SACCOs as well as extend credit facilities to them. Alice Muwanguzi, the Kampala resident district commissioner, challenged parish leaders to collectively mobilise local communities to form SACCOs such that they can access credit from the Government. She also asked the finance ministry to lower the number of people required to form a SACCO. “The 200 or 300 people for a SACCO is a big number for Kampala where there are permanent and semi-permanent residents.” Banks told to target north commercial tree farmers Tuesday, 22nd June, 2010 E-mail article E-mail article Print article Print article By Chris Ocowun COMMERCIAL banks operating in northern Uganda have been advised to give loans for large commercial tree farming. Aldo Obedmoth, the National Forestry Authority (NFA) regional manager, disclosed that they were overwhelmed by the demand for seedlings by individuals who want to undertake tree planting as a business. “Let the banks give loans to their clients to buy seedlings and plant because these trees are good collaterals. People have the land but do not have the money to develop it. “About 150,000 seedlings are demanded by private individuals for planting, but NFA does not have the money to raise the seedlings,” Obedmoth noted. He was launching a tree planting drive by the Kenya Commercial Bank (KCB) at Abera Major Central Forest Reserve in Paicho sub-county in Gulu district over the weekend. Obedmoth pointed out that the trees from the forest reserves were normally bought by people who get loans from the banks. He said NFA raised 25,000 seedlings, which were given out to the community. Obedmoth, who said NFA and the KCB have carried out various corporate planting of trees to green the environment, appealed to other banks to join the campaign. “NFA supports corporate tree planting by commercial banks, because when we are selling our mature trees, those who buy them get money from the banks,” he said. Conrad Ayebazibwe, the KCB community champion, said after planting 1,300 pine trees at Abera, the bank would plant pines at Paicho sub-county headquarters. “KCB is giving back to the community what they think will benefit the community,” he noted. He stated that this was part of KCB efforts to fight global warming. Ayebazibwe said every year for the next 15 years, KCB will plant trees to protect the environment. KCB also donated 40 double beds, 80 mattresses and other gifts to the orphans of St. Jude Orphanage Home in Gulu. Mbale sub-counties to get sh1b power line Tuesday, 22nd June, 2010 E-mail article E-mail article Print article Print article Werikhe leads other officials in the site ground-breaking By Ronald Kalyango THE Rural Electrification Agency (REA) will spend sh1.1b to construct an 11km power line for Khamoto, Mooni, Bungokho, and Mototo in Mbale district. “Electricity is a key to better health services, water supply, better life and general improvement in living conditions,” said Michael Werikhe, the housing state minister. Werikhe, also the Bungokho South MP, told the beneficiaries to cooperate with the contractors during the groundbreaking ceremony on Saturday. Dr. Patricia Litho, the REA spokesperson, said the affected communities would be compensated after the completion of the power extension exercise. “Are you ready to receive power in Khamoto and Mooni?” Litho asked the residents. “Will you allow our contractors to access your land?” The residents said they would allow the contractors to carry on their work. Litho also informed residents that the destroyed food, cash crops, and trees would be paid for after the evaluation process. She assured the beneficiary households that they would be educated not only to light their homes at night but also to use the electricity for productive purposes. “Electricity costs money and will have to be paid for. Therefore, people must use it economically. “We will educate the beneficiaries how to use electricity efficiently so that it remains affordable,” Litho said.

June 23rd, 2010, 07:34 PM	#151
munakampala Registered User Join Date: Apr 2010 Posts: 6 Likes (Received): 0	most of the posts about uganda infrastructure and economic growth are all but government propaganda, most of the projects havent taken off or are in a stalled mode. lets keep to the facts and to information that can really help investors and not use this platform as government voice. power is still such a big problem in ug that any would be investor must know and plan for plus the road infrastructure is still so much in a sorry state 20 miles outside the capital roads are so poor and you can hardly conduct a serious business. these are the facts. otherwise the investors who are maily of our own the nkubakyeyos are the ones to be credited for the numerous buildings and projects which are cropping up around the country

June 25th, 2010, 07:17 PM	#154
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Power cuts to go – Museveni Thursday, 24th June, 2010 Museveni planting a tree as Bitature (left) and Onek clap at the opening of the power plant in Tororo yesterday By Ibrahim Kasita, Henry Mukasa and Moses Nampala PRESIDENT Yoweri Museveni yesterday commissioned a 20MW power plant in Tororo. Museveni observed: “It (power plant) will generate electricity that will benefit a lot to all of us. You had the problem of electricity supply but this problem will go away.” The plant can light the whole of Kampala, Mukono and Entebbe. The $20m-plant, that will use heavy-fuel oil to produce electricity, is owned by Electro-Maxx, the first local independent power producer. Patrick Bitature, the Uganda Investments Authority chairman, owns the plant. The President, who was speaking in Swahili, said although the plant was small, he expected more investors to put their money in electricity generation. Energy minister Hilary Onek said the capacity of the plant would increase to 50MW. “We are authorising the investor to increase capacity to 50MW so that power outages are removed as well as complete rural electrification,” he said. Energy experts say the plant will boost power supply and accessibility, create jobs, reduce poverty and improve the quality of life. The President also opened a food processing factory and commissioned the construction of a dry in-land port at Malaba border. The food factory, SEBA Foods, is a subsidiary of the Export Trading Group, which has branches across East and Central Africa. SEBA buys grain from local farmers; cleans, grades, processes and packs it for export. Such produce with value added, Museveni said, fetches guaranteed prices. The President described the factory as a “very good facility.” The company employs 100 people. “They add value to our produce, process, preserve and take it to the international market. These are good allies. I salute and congratulate them,” the President commented. He encouraged them to expand and bring in other investors. “We have a problem of fruits in Soroti,” Museveni told the investors. He also urged them to go into coffee processing, saying Uganda earns $1 per kilogramme of unprocessed coffee and $15 for instant coffee. Museveni said the environment for investment in Uganda improves by the day. “We are now dealing with electricity. We want to ensure that Uganda has abundant and cheap electricity,” he promised. In the evening the President commissioned the construction of a dry inland port on a 250-acre piece of land at Malaba on the Uganda-Kenya border. The works will be undertaken by Great Lakes Ports Limited. Tororo to get 230mw power plant Thursday, 24th June, 2010 By Vision Reporter Albatros Energy is to construct a 230mw power plant in Tororo district. President Yoweri Museveni on Wednesday held discussions with the leaders of the company over the proposed project, according to a statement issued by State House yesterday. The investors, who responded to the Presidents’ call for private investments in the power sector, are in the final stages of the power generation deal that will be operational in the next 18 months, the statement added. Uganda has a potential to generate at least 3,000mw of electricity. Currently, only 500mw is generated, but this will increase to 750mw upon the completion of the Bujagali hydro-power project. Museveni commended Albatros for their decision to invest in Uganda, saying their costs of production will reduce once they start using Uganda’s gas and other oils. The meeting was attended by the Minister for the Presidency Dr. Beatrice Wabudeya, the energy minister, Eng. Hillary Onek and the deputy presidential press secretary, Grace Akello. Govt to construct 85 markets Thursday, 24th June, 2010 By Conan Businge and Polly Kamukama The Goverment is to reconstruct 85 markets across the country at a cost of $126b (about sh265b) to boost the production and marketing of agricultural commodities. The markets are also meant to enhance the incomes of vendors, increase employment opportunities and customer satisfaction. Urban markets will be targeted in this programme. The markets will be reconstructed in a phased approach beginning with 21 markets in Jinja, Busia, Tororo, Mbale, Soroti, Lugazi, Masaka, Mbarara, Fort Portal, Kasese, Hoima, Gulu, Lira, Kitgum and Arua. The other districts in the first phase are Moroto, Entebbe, Kabale, and Kampala City Council. The Government will, in Kampala, reconstruct markets in Busega, Wandegeya, Nakulabye, Ntinda, Kansanga and Kasubi. Some of the markets on private land will be relocated to other sites secured by the Government. The local government state minister, Adolf Mwesigye, officiated at the signing of contracts for 16 markets yesterday, in Kampala. He explained that the Government is still looking for land on which to construct the dilapidated and congested Kalerwe market, which is in Kampala district. More five contracts will be signed in the coming weeks, according to the minister. The first phase will cost about $70b (about sh147b). It will be implemented under the Markets and Agricultural Trade Improvement Programme (MATIP-1), funded by the African Development Bank and Arab Bank for Economic Development in Africa. The redesign of the markets in the first phase will end in August and construction will commence in November. Mwesigye said traders in the affected markets will be registered and will receive new stalls after the refurbishment. “We do not want to antagonise people who already own stalls in these markets. We are using public funds, therefore, no one will pay for a stall,” he said. A survey in the city centre shows an increasing number of vendors on the streets and an unprecedented rise of non-gazetted selling places, an issue disrupting traffic flow. Uganda ranks high in MDGs Thursday, 24th June, 2010 By Milton Olupot UGANDA is among the top 20 poor countries in the world which are making the most progress towards achieving three of the Millennium Development Goals (MDGs), according to a report. The Overseas Development Institute and UN Millennium Campaign report focused on progress on Goal 1, which seeks to eradicate extreme poverty and hunger, Goal 4 of reducing child mortality and Goal 5 to improve maternal health World leaders made promises of significantly reducing extreme poverty, illiteracy and disease by 2015. The report, an annual assessment of regional progress towards achieving the goals, reflects data compiled by 25 UN and other agencies. The report said half of the African countries were on track to meet the 2015 target. The largest number of reductions of deaths of children under the age of five occurred in regions with the highest initial levels of such deaths such as sub-Saharan Africa and south Asia. Even though the goal of reducing maternal mortality saw the least progress, access to maternal health services improved in 80% of countries. The report credited sub-Saharan Africa for achieving the fastest progress among developing regions in making primary education available to school-age children, with primary school enrolment improving from 58% in 1999 to 76% in 2008. However, overall, it indicated that sub-Saharan Africa was not on track to reach the target of reducing extreme poverty. The region also remains the most affected by HIV, with 72% of worldwide new infections in 2008, although the report showed considerable progress in meeting the target of Goal 6; to halt and reverse the spread of HIV/AIDS. Govt launches sh10b Jinja market project Thursday, 24th June, 2010 By Doreen Musingo THE Government has launched a project for the reconstruction of Jinja Municipal Council central market at a cost of $4.6m (about sh10.1b). The project, to be implemented under a local government ministry plan, was launched by Jinja mayor Muhammed Baswale Kezaala at the town hall on Wednesday. The national programme facilitator, Yasin Sendaula, said the project was expected to take two years. Sendaula, who is also an assistant commissioner for local revenue in the ministry, explained that they wanted to reconstruct 85 markets but had secured $70m, which could fund the reconstruction of only 26 markets in 19 urban councils across the country. Sendaula noted that they would start with six markets, two of which are in Jinja, including the central market. “We will construct markets with land titles. So far, we have received 16 titles. We are facing a problem of slow land title processing by the local councils,” he added. Sendaula said they drafted a memorandum of understanding, which they presented to the solicitor general for analysis. He said vendors would sign it before the construction works. “We shall ensure transparency by setting up notice boards and suggestion boxes at the market, through which the public can express their views,” he said. Sendaula explained that the markets would have fire safeguards like detectors and extinguishers. He added that they would have a large working space, improved infrastructure, daycare centres, a Police booth, restaurants and toilets, among other facilities. However, councillor Abubaker Maganda wondered what would be done with the presidential pledge of sh273m, which was for the construction of the market. The Jinja programme co-ordinator, Eng. Muhammad Saeed, said vendors would be registered from Monday for two weeks, while relocation begins on Thursday. KCC to get sh50b this financial year Thursday, 24th June, 2010 E-mail article E-mail article Print article Print article By Florence Nakaayi KAMPALA City Council (KCC) has projected to collect over sh54b in the 2010/2011 financial year. During the budget presentation on Tuesday at Hotel Africana in Kampala, the mayor and finance secretary, Nasser Sebaggala, said in order to meet the revenue projections, the council will engage private firms at a commission of not more than 10% to enforce tax payment. Private firms would be engaged to collect revenue from business licences, local service tax and local hotel tax. The budget was read by the city secretary for production, Doreen Nakaatya, on behalf of Sebaggala. Out of the over sh54b, the council projected to get sh35b from local revenue, and sh25.4b as government grants. The council will also benefit from another $50m (about sh100b) fund from the World Bank to work on roads and for infrastructure development. KCC was able to increase local revenue collection from sh30b in 2008/09 to sh34b in 2009/10. Private sector credit up 18% Thursday, 24th June, 2010 By Sylvia Juuko Commercial bank credit to the private sector expanded by 18.5% in the year to February 2010, suggesting that banks advanced more loans to customers despite the challenging global economy. A finance ministry report shows that private sector credit per annum surged from sh2.6 trillion in February 2009 to sh3.5 trillion in February 2010. The agriculture sector increased its share as a credit recipient with an increase of 38.3% in the period under review of which 90.1% was advanced to production. This was a decline from the previous year. “The improvement in agricultural credit is partly a result of the agricultural credit facility worth sh60b between the Government and commercial banks,” explains the report. The report indicates that in the nine months between June 2009 and February 2010, total private sector credit increased by 15.6%. “Commercial bank credit for building and construction grew by 64.1% from sh222.0b in February 2009 to sh388.6b by February 2010. “This underlies the continued growth in the construction sub-sector where building for commercial and private housing remains robust,” the report notes. Personal loans also took a large share at 23% of total commercial bank credit. According to the sectoral distribution of commercial bank credit to the private sector, lending to agriculture accounted for 6.0% of total commercial bank credit by the end of February 2010. The manufacturing sector accounted for 12.9%, while real estate, personal, household loans and related activities constituted the biggest share of commercial bank credit, with 38.5%, that is equivalent of sh1.6 trillion. The transport, electricity and water sectors took about 9% of the total private sector credit. Adam Mugume, the central bank’s director of search, pointed out recently that the monetary policy eased with the expectation that financial institutions would lower interest rates. “Declining interest rates on government securities show what we have done to ease monetary policy. “We thought lending rates would come down due to monetary policy easing but instead they edged upwards. This remains a challenge,” Mugume disclosed. This means that the private sector has not enjoyed an era of cheap credit and continues to access funds at a high cost. Data shows that the lending rates remained high over the past year, standing at over 20% but consistent with trends over the past five years. “Despite a slight decrease over the financial year from a peak of 21.8% in August 2009 to 19.6% in January 2010, lending rates remain high by international standards and significantly higher than in any of the other four East African Community partner states, where the average is about 15%,” the report singled out. The high cost of credit has been blamed on high operational costs associated with infrastructural costs such as transport, energy and communications. Another reason is the weak bankruptcy legislation codes and inadequate judicial infrastructure with respect to loan recovery. The problem of risk assessment and identification of borrowers and the problems of the quality of collateral which are associated with dysfunctional land registries also result in high cost of funds. Lending rates are also high due to the structural problem of lack of long-term investment finance which results into short-term commercial loans being utilised for long-term investments. High interest rates remains the Central Bank’s biggest challenge. This is because the business community lists this as one of the factors making doing business in Uganda uncompetitive. Gulu dairy group to produce yoghurt Thursday, 24th June, 2010 E-mail article E-mail article Print article Print article By Chris Ocowun THE Gulu District Women Dairy Farmers Association has received yoghurt-making machines from the Government through NAADS. “This yoghurt-making machine will greatly improve the quality of our products,” Margaret Odwar, the chairperson said. Odwar who was on Wednesday receiving the machines from McMlot Kitara, the Gulu district vice chairman, said the association produces over 300 litres of milk daily and sells to hotels, banks, Gulu University and the public. Odwar disclosed that the association had 100 dairy cows which were given to them by the Heifer Project International, adding that, through the Northern Uganda Social Action Fund phase one, the district bought them a 300-litre milk cooler. Odwar told journalists that each of the 100 members of the association had dairy cows and sold milk to the association at sh1,000 per litre while the association sells at sh1,200. The production quota of yoghurts would start at 200 daily with the 500ml packets to be sold at sh1,000 each. Arua town to get mall Thursday, 24th June, 2010 E-mail article E-mail article Print article Print article By Frank Mugabi Tirupati Development, has revealed plans to construct a multi-million commercial mall in Arua town. In line with the ambition, a team led by the firm’s managing director, Barot Harshad, was this week in Arua to carry out a survey on the best location for the mall. “We have visited about three locations in the town and shall go back to evaluate the most suitable area for the project,” Harshad said on Tuesday. Barot Miraj, the company’s marketing director, said the idea was to construct a structure similar to the Ovino market in Kisenyi, Kampala, although on a smaller scale. “It will consist of about 150 shops and other facilities like restaurants and a hotel,” Miraj said. “If all goes on schedule, construction is expected to start soon and end within 14 months or early next year,” Miraj added. Some of the projects Tirupati has implemented include the Ovino Market with 350 shops, restaurants and a 50-room hotel, Nkumba Village and Tirupati Mazima Mall, which consists of 200 shops and offices. this report made my day the modern ugandan is sosaring.

June 26th, 2010, 12:20 PM	#155
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Inland port to be built in Tororo By Stephen Wandera (email the author) Posted Saturday, June 26 2010 at 00:00 Kampala The port, according to businessmen will ease the entry of goods into the country straight through Mombasa without going through any custom checks at the border. It is designed to have a free trade zone or export processing zone, an area where some trade barriers such as tariffs and quotas are eliminated “This is a good idea,” President Museveni said on Thursday. “The cost of doing business will reduce where by the community will pay less in freight charges and taxes.” President Museveni was on a countrywide tour of the eastern region conducting the Prosperity- for –All campaign. Great Lakes Ltd (GLT) - a consortium of local and regional businessmen won the bid to run the inland deport less than a kilometre from Malaba border post. “The freight cost of importing a 24-foot container from Mombasa to Kampala is about $3,500 (Shs7 million). We hope that the $150 million (Shs300 billion) project will facilitate the reduction by over 20 per cent,” Chairman GLT Mr Mohamad Jaffer said. The State Minister for Industry, Mr Simon Peter Lokodo said; “The ministry is convinced the port will reduce costs and also make Uganda the focal point for remanufacturing and redistribution into the Great Lakes region and further to the west.”

June 26th, 2010, 08:18 PM	#156
u.g boy Registered User Join Date: Sep 2009 Posts: 5,495 Likes (Received): 25	Uganda holds oil talks with Total, CNOOC By Nicholas Bariyo KAMPALA Uganda (MarketWatch)-The Ugandan president held talks with executives of China's Cnooc Ltd. /quotes/comstock/13!ceo/quotes/nls/ceo (CEO 175.24, +3.32, +1.93%) , France-based Total SA /quotes/comstock/13!tot/quotes/nls/tot (TOT 46.97, -0.27, -0.57%) and UK-based Tullow Oil PLC (TLW.LN) over their investment proposals in the country's upcoming oil sector, the Ugandan presidency said late Friday. A presidential spokeswoman said in a statement that during the talks, President Yoweri Museveni called upon company executives to establish an oil refinery in Uganda to create jobs, address shortage of fuel and lower prices. At least a billion barrels of oil have been discovered in three blocks in Uganda's Lake Albert basin. Tullow Oil owns one block and co-owns the other two with London-listed Heritage Oil PLC (HOIL.LN). Tullow Oil wants to take over the stakes of Heritage Oil and then bring on Total and Cnooc in a joint operating venture for the development of the oil fields in the three blocks, however the partnership awaits government's approval. The Ugandan government is also yet to approve the takeover of Heritage interests by Tullow due to disagreements over the capital gains tax on the $1.5 billion deal. During Friday's talks, company executives were led by Christophe de Mangerie, the Chairman and Chief Executive Officer of Total. Tullow and Cnooc representatives as well as the French Ambassador to Uganda Rene Forceville also attended. People familiar with the situation say that the president and company executives discussed the development plan for the oil fields. The Ugandan government insists that for companies to be allowed in the oil sector, they must have a market capitalization of at least $24 billion and must adhere to the country's oil development plans, which include early commercialization of oil, building a refinery and an export pipeline to the East African coast.