Investment Policy Review - Uganda

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Over the past decade, the Government of Uganda has reversed earlier policy and management failures that were destructive to the economy and the investment climate. With economic fundamentals restored, investor and donor confidence have grown. The need for Uganda to continue the momentum of recovery towards sustainable development is the central message of this publication. Investment Policy Review discusses foreign direct investment (FDI) trends and the improved economic and investment climate, which have placed Uganda as one of the front runners for inward FDI. Reviews the policy and operational framework for FDI and considers opportunities for FDI in utilities, infrastructure and financial services. It also provides an eight-point action plan on investment promotion and highlights priority actions to attract FDI.



Foreign direct investment in Uganda

Uganda is one of the fastest growing economies in Africa, averaging an annual rate of growth of 6.5 percent in the 1990s. Domestic investment and FDI into Uganda have increased rapidly. Much of this investment and growth has been driven by the imperative to erase an earlier decade of self-destruction, and the economy has only now begun to recover to the levels of production that existed prior to the turbulent 1970s and early 1980s. As the recovery runs its course, the sources of economic growth will need to shift from rehabilitation to expansion. Investors will need to enlarge their focus from catch-up investment, to the development of new products and markets.


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