Museveni calls for more European investments in the country

Kampala, Uganda | THE INDEPENDENT | The European Union has asked Uganda to speed up her preparations for a free trade deal saying that they are ready to open up the market on their side.

Currently, Uganda exports goods to Europe under the Everything But Arms-EBA arrangement which is a duty-free and quota-free initiative for Uganda and other low-developed countries. Kenya was removed from the list of beneficiaries after it attained the middle income status.

With Uganda nearing that threshold, it will not benefit from EBA for ever, hence the need for a new agreement. However, the East African countries have failed to agree on the deal, especially after Tanzania made it clear that it would not sign up because European countries would flood the market with their more superior products at the expense of the local industry.

Now, the EU and EAC have been mooting the idea of allowing willing countries to sign up on the Economic Partnership Agreements individually.

The EU Ambassador to Uganda, Jan Sadek is now encouraging the country to move faster and take advantage of the EU market. He pledged that the EU was ready to trade with Uganda as equal partners.

Calling on European investors to invest in Uganda, Sadek said the EU is ready to take up the advantages of the business environment in Uganda by growing their investment portfolio.

Speaking at the second Uganda-EU Business Summit in Kampala on Wednesday, Sadek warned that the job-creation rate in Uganda is too low compared to the expansion of the working age group, which could have far-reaching effects on the future of the country.

But President Yoweri Museveni asked the Europeans to increase their investments in the country instead of lecturing him on various issues.

The president has on several times rebuked human rights activists especially from Europe and the United States for ‘lecturing him’ on how to handle the affairs of Uganda and Africa especially on governance and human-rights.

His recent outbursts come as the country prepares to start construction of the East African Crude Oil Pipeline-EACOP project which has been at the centre of the campaign against climate change.

Museveni wondered why the European investments in Uganda and Africa have remained low compared to Chinese and Indians, in spite of the advantages like language and other aspects shared.

Museveni said as the population of Africa overtakes that of India and soon that of China, it is the best time for Europe to think of investing in the continent.

The two-day Business Forum has brought together Ugandan and European policymakers, public sector agencies, EU member states embassies and consulates, private sector trade support institutions, business associations, financial and non-financial intermediaries and investors, among other participants.

This year’s theme is; “Mobilizing quality investments and boosting trade between Uganda and the European Union,” and is aimed to explore a renewed commitment by both public and private sector stakeholders to building stronger business ties.

Speaking online, the EU Executive Vice President and Commissioner for Commerce and Trade, Valdis Dombrovskis told the meeting that the EU was ready to help Uganda access the market through various agreements.

The EU’s focus, according to him is on green and digital economy for the creation of jobs, adding that they are ready to support its investors to open up in Uganda, and make it a hub for trade in the region.

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