The Government of Uganda has over the last 10 years implemented policies and programmes that aimed at developing a private sector led economy. In 2000, the first investment and private sector development strategy, the Medium Term Competitiveness Strategy (MTCS), 2000-2005 was launched. This was followed by the Competitiveness and Investment Climate Strategy (CICS), 2006-2010. The CICS contributes to the recently concluded Poverty Eradication Action Plan (PEAP) through the Second Pillar (Enhancing production, competitiveness and incomes).
The Competitiveness and Investment Climate (CICS) is Uganda’s Public-Private Partnership (UP3) strategy that supports the Enhancement of Production and Competitiveness for private sector development.
The CICS contributes to Uganda’s Competitiveness agenda by:
- Addressing factors affecting the competitiveness of the country’s key productive sectors;
- Undertaking measures to improve the domestic business environment;
- Addressing factors that impede Uganda’s capacity to compete in International and Regional markets.
Competitiveness of the Key Productive Sectors
Uganda’s competitiveness will primarily be driven by the key productive sectors, which reflect Uganda’s competitive advantage. Sectors which are able to successfully balance the advantages arising from Uganda’s rich agro-based resources, with the disadvantages associated with, its landlocked location, are the ones which will be able to compete internationally and help to stimulate economic growth.
Improving the Business Environment.
The second output of CICS focuses on reducing the cost of doing business, and minimizing delays associated with “bureaucratic red-tape.’ Action areas include:
- Undertaking key infrastructural investments aimed at ameliorating the power deficit.
- Improving transit trade facilitation and transport infrastructure on key import/export corridors
- Improving access to affordable financial services.
- Deepening the financial sector, in order to improve access to long term finance and diversify financing products
- Fast tracking of the revision process of modifying for key commercial laws.
- Completing reform of the business registries.
Uganda’s Competitiveness in the International Market place
The third output of CICS addresses Uganda’s International trading relations and covers negotiations relating to international and regional trading arrangements; transit trade facilitation and regional transportation issues and the systems which must be established to conform with export standards in international markets.
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