Why you should Invest in Uganda

Predictable Environment: Uganda has been able to\r\nachieve macro-economic stability when clouds of uncertainty rocked many regions\r\nof the world.

\r\n\r\n
    \r\n
  • Inflation\r\n is single digit for over 10 years from a record high of 240% in 1988
  • \r\n
  • Stable\r\n annual economic growth averaging 6% per annum
  • \r\n
  • Market\r\n driven exchange rates
  • \r\n
\r\n\r\n

Fully Liberalized Economy:

\r\n\r\n
    \r\n
  • All\r\n sectors liberalized for investment and marketing
  • \r\n
  • Free\r\n inflow and outflow of capital
  • \r\n
  • 100%\r\n foreign ownership of investment permitted
  • \r\n
\r\n\r\n

Market Access:

\r\n\r\n
    \r\n
  • Uganda\r\n enjoys a unique location at the heart of Sub-Saharan Africa giving it a\r\n commanding base for regional trade and investment
  • \r\n
  • Uganda is\r\n a member of the commonwealth market for eastern and Southern African\r\n States (COMESA), a region with a market of over 300 million people in 20\r\n countries
  • \r\n
  • Uganda is\r\n a member of the East African Community comprising Kenya, Uganda, Tanzania,\r\n Rwanda and Burundi
  • \r\n
  • Duty and\r\n quota free access into the US (AGOA) and EU (EBA) markets.
  • \r\n
\r\n\r\n

Strong natural Resource Base

\r\n\r\n
    \r\n
  • Rich\r\n endowment of rainfall, soils, and favorable temperature range. A number of\r\n crops are grown organically
  • \r\n
  • Unexploited\r\n mineral deposits, and tourism opportunities. Confirmed deposits include\r\n Gold, Zinc, Wolfram, Petroleum, diamond, vermiculite, silica etc
  • \r\n
\r\n\r\n

Government Commitment to Private Sector

\r\n\r\n
    \r\n
  • Government\r\n and private sector dialogue in policy formulation
  • \r\n
  • Continuous\r\n improvement in providing infrastructure and other social services
  • \r\n
\r\n\r\n

Trainable Labour

\r\n\r\n
    \r\n
  • Uganda\r\n presently produces over 10,000 University graduates per year
  • \r\n
  • Quality of\r\n labour is one of the biggest attractions
  • \r\n
\r\n\r\n

Security of Investment

\r\n\r\n
    \r\n
  • Guaranteed\r\n under the Constitution and the Investment Code 1991.
  • \r\n
  • Uganda is\r\n a signatory to main international investment related institutions
  • \r\n
  • Multi-lateral\r\n Investment Guarantee Agency (MIGA)
  • \r\n
  • Overseas\r\n Private Investment Corporation (OPIC) of US
  • \r\n
  • Convention\r\n on the recognition and enforcement of foreign arbitral award (CREFAA),\r\n ICSID, TRIMS, GATS, and TRIPS
  • \r\n
\r\n\r\n

Investment Incentives

\r\n\r\n

1. Investment Capital Allowances

\r\n\r\n
    \r\n
  • Initial\r\n Allowance on plant and machinery 50-75%
  • \r\n
  • Startup\r\n cost spread over 4 years¡¯ 25% p.a.
  • \r\n
  • Scientific\r\n research expenditure 100%
  • \r\n
  • Training\r\n expenditure 100%
  • \r\n
  • Mineral\r\n exploration expenditure 100%
  • \r\n
\r\n\r\n

Initial Allowance on Hotel and Industrial Buildings 20%

\r\n\r\n

Deductible annual Allowances (depreciable assets) 
\r\nDepreciation rates of assets range 20-40% 
\r\nDepreciation rate for Hotels, Industrial Buildings & Hospitals 5%

\r\n\r\n

2. Investors who register as investment traders are entitled to\r\nVAT refund on building 
\r\nmaterials for industrial/commercial buildings

\r\n\r\n

3. Duty and Tax free import of Plant & Machinery

\r\n\r\n

4. First Arrival Privileges in the form of duty exemptions for\r\npersonal effects and 
\r\nmotor vehicle (previously owned for at least 12 months) to all investors and 
\r\nexpatriates coming to Uganda

\r\n\r\n

5. Export Zones (Provisional) 
\r\n* A ten year corporation tax holiday
\r\n* Duty exemption on raw materials, plant and machinery and other inputs
\r\n* Stamp duty exemption
\r\n* Duty draw back to apply on input of goods from domestic tariff area
\r\n* No export tax
\r\n* Exemption of withholding tax on interest on external loans
\r\n* Dividends repatriated to get relief from double taxation

\r\n\r\n

Where should you invest?

\r\n\r\n

Investment opportunities abound in the following areas

\r\n\r\n
    \r\n
  • Agriculture
  • \r\n
  • Livestock
  • \r\n
  • Fisheries
  • \r\n
  • Forestry
  • \r\n
  • Manufacturing
  • \r\n
  • Mining
  • \r\n
  • Infrastructure
  • \r\n
  • Financial\r\n services
  • \r\n
  • Tourism
  • \r\n
  • Printing\r\n and publishing
  • \r\n
For more information on investment in Uganda go to:

Consular Information