- Fastest growing economy in East Africa Community with a GDP of over US$ 40.43 Billion (WB, 2021). GDP forecast for 2023, 6.2%.
- FDI inflows in Uganda has consistently increased despite Covid-19 Pandemic Example: From US$807.00m in 2019 to US$ 1.14Bn in 2021.
- FDI inflows in Uganda continues to increase due to Uganda’s stable and consistent macro-economic policies, liberalized business environment and increased regional trade.
- Uganda is the 2nd most bio diverse country in Africa 2020.
- Uganda has the Lowest Labour Cost in EAC region Average yearly wage for unskilled production operative.
- Uganda has the highest adult literacy in EAC, workforce aged 15-24 about 90%.
- One of the best tourist destinations in the world.
- Uganda is the Number one, regional leader in Capital Markets Growth.
Process of Investing in Uganda.
- Company Registration
- Tax Identification Number Registration
- Obtaining Investment License
- Obtaining Secondary licenses
- Issuance of Work Permits.
Investment Opportunities in Uganda at a Glance;
- Commercial Agriculture Agro-processing & Agribusiness
- Manufacturing (Industrial Parks, Pharmaceuticals)
- Tourism infrastructure & Accommodation.
- Services (Health, Education, Financial)
- Infrastructure development & housing.
- Minerals value addition
- ICT
Agriculture value addition:
Instant Soluble coffee Plant – USD 60m;
- Setting up a state-of-the-art soluble coffee plant to manufacture 4.000 tonnes of freeze-dried and 1.000 tonnes of spray-dried instant coffee per year.
Fruit Processing Factory – USD 97m;
- The project goal is to stimulate production through processing and adding value to fruits in Uganda – pulp and concentrates food and confectionery industry.
Mining Sector:
Sukulu Phosphate Rock Project – USD 50m;
- Output capacity: The bulk of the deposit at Bukusu consists of soft apatite-bearing soil, varying from 13% P205 with an estimated resource of 50 million metric tonnes.
Muko Iron and Steel Project – USD 500m;
Output capacity
- Muko in South Western Uganda hosts hematite deposits of iron ore with 150 million tonnes
Key Incentives for investors in Uganda:
Agricultural sector:
- 10 years Tax Holiday for Agro processors operating in industrial park, free zone (export tax oriented.)
- 0% import duty on importation of Plant and Machinery for use in Agro Processing.
- Almost all agricultural inputs are exempt from import duty and VAT.
Key Incentives for investors in Uganda
Manufacturing sector:
- 10 years income tax holiday for exporters of finished consumer and capital goods (80% of production) outside domestic market. VAT is exempt on raw materials.
- VAT deferment on plant and machinery at importation 0%
- 0% import duty on plant and machinery utilized for setting up industry.
Key Incentives for investors in Uganda
Tourism sector:
- Tourism specific vehicles are exempt from import taxes.
- Hotel equipment, fixtures and furniture are exempt from taxes at importation.
- Vat is exempt on Accommodation in tourist hotels and lodges located up-country.
- Human Capital Development:
- 100% tax allowable on training costs and research.
Industrial Park development:
- 10 Year Tax holiday on income derived for letting out facilities of Industrial Park.
