A study, which will assess the actual value of investments in the country and the jobs created, has been launched. Maria Kiwanuka, the finance, planning and economic development minister, kick-started “The Investors’ Survey 2011” on Monday in Kampala.
The survey aims at assessing the status of licensed projects in order to update the Uganda Investment Authority (UIA) database, isolate investors and abandoned projects.
It will also determine the main sources of investment and employment by sector to guide planning and decision-making at the national level, and assess individual and sectoral problems to provide the necessary policy intervention to resolve them.
The study will also determine the geographical distribution of investments to facilitate decision-making in resource distribution, examine factors affecting business operations to enhance policy formulation reformation and estimate the investment conversion rate of both domestic and foreign investments.
“This study will help bridge the information gap on the general investment performance in the country.”
The European Union (EU) has provided 112,000 euros (about sh370m) to fund the study.
Dr. Roberton Ridolfi, the EU ambassador to Uganda, said the objective of the study was to assess the actual value, as opposed to planned or forecasted data, of investment and employment generated by all the projects licensed by the Uganda Investment Authority since its creation in 1991.
“I have been informed that UIA has licensed a total of over 4,300 projects, with projected cumulative investment of over $12b, creating about 600,000 jobs on paper,” he explained.
But questions arise: “Which sectors have performed best? Which sectors need reforms to perform? Which qualifications are most needed? Which factors are affecting business operations most?”
Although this information is partially known, it is vital in providing policy-makers with reliable data to make sound decisions to guide national planning, policy formulation and reforms.
“The survey will assist the Government give pointed support to the private sector. It will help in addressing constraints affecting trade and investments, and enhance dialogue and co-operation between the private and the public sectors,” Ridolfi said.