Uganda EconomyUganda Economy and that of its people.
Uganda economy doesn’t show how Uganda should be called the pearl of Africa. Economy in Uganda is in shambles although Uganda is endowed with natural resources. Had it not been for wars, Uganda economy could be better than it is today. On this site we give you free information on what you need to know about the economy of Uganda. Endowed with significant natural resources, including ample fertile land, regular rainfall, and mineral deposits, it is thought that Uganda could feed the whole of Africa if it was commercially farmed. 
Uganda's economy is 75 percent free, according to our 2010 assessment, which makes it the world's 52nd freest economy. Its overall score is 0.7 percentage point higher than last year, reflecting improved scores in four of the 10 economic freedoms. Uganda is ranked 3rd out of 40 countries in the sub-Saharan Africa region, and its overall score is much higher than the regional average. Uganda scores well in fiscal freedom, government size, financial freedom, and labor freedom. The top income and corporate tax rates are moderate, and overall tax revenues are not large as a percentage of GDP. Government expenditures are fairly low. The small financial sector is dominated by banking. The labor sector is elastic in work hours and workforce flexibility. Business Freedom The overall freedom to start, operate, and close a business is limited by Uganda's regulatory environment. Starting a business takes an average of 28 days, compared to the world average of 43 days. Obtaining a business license takes less than the world average of 19 procedures and 234 days. Uganda Economy and Fiscal Freedom Uganda has moderate tax rates. Both the top income tax rate and the top corporate tax rate are 30 percent. Other taxes include a value-added tax (VAT), a property tax, and a vehicle tax. In the most recent year, overall tax revenue as a percentage of GDP was 12.1 percent. Freedom from Government Total government expenditures, including consumption and transfer payments, are low. Spending management is reasonably sound. In the most recent year, government spending equaled 21.6 percent of GDP. Many state-owned companies have been privatized or divested to improve their performance in the hands of private individuals. Monetary Freedom Inflation is averaging 6.8 percent between 2004 and 2006. Relatively unstable prices explain most of the monetary freedom score. The government influences prices through state-owned utilities and enterprises. An additional 5 percentage points is deducted from Uganda's monetary freedom score to account for policies that distort domestic prices. Investment Freedom Foreign investment is allowed in privatized industries. Despite presidential recognition that foreign investment is desirable, corruption has been relatively reduced but a lot is still needed to be done. Foreign investors may form 100 percent foreign-owned companies and majority or minority joint ventures with local investors and may acquire or take over domestic enterprises. Uganda's reformed commercial legal system is far faster at case resolution than the rest of the country's legal system. Residents and non-residents may hold foreign exchange accounts. There are no restrictions or controls on payments, transactions, or transfers. Uganda Economy and Financial Freedom Uganda's financial system is dominated by banking. The banking industry generally is sound and well capitalized, with a relatively small level of non-performing loans. The central bank has tightened supervision and increased regulatory requirements since several bank closures in the late 1990s. A new regulatory law bringing Uganda in line with international financial regulatory standards was adopted in 2004. Most banks are foreign-owned. Capital markets are booming and more private companies are being listed but there is still a need for massive education on capital markets. Uganda Economy and Freedom from Corruption Corruption is perceived as widespread. Uganda ranks 105th out of 163 countries in Transparency International's Corruption Perceptions Index for 2006. In addition to demands for and acceptance of bribes, bureaucratic apathy and ignorance of rules within public organizations also contribute to perceptions of corruption. Foreign businesses are not specifically targeted for bribes and payoffs. Uganda Economy and Labor Freedom Highly flexible employment regulations enhance overall productivity growth and employment opportunities. The non-salary cost of employing a worker is low, and dismissing a redundant employee is not difficult. Regulations related to the number of work hours are flexible. The economy of Uganda has great potential, and it appeared poised for rapid economic growth and development. However, chronic political instability and erratic economic management produced a record of persistent economic decline that has left Uganda among the world's poorest and least-developed countries. The national energy needs have historically been more than domestic energy generation, though large petroleum reserves have been found in the west. The Uganda economy is basically agricultural, and it occupies some four-fifths of the working population. Uganda’s moderate climate is especially congenial to the production of both livestock and crops. To simplify for you,just click on one of the following for more information on Uganda and its economy Agriculture,Forestry and Fishing Transportation and Telecommunication As it is the case with most African countries, economic development and modernization have been enormous tasks that have been impeded by the country’s political instability. 
Uganda Currency and the economy of UgandaUganda began issuing its own currency in 1966 through the Bank of Uganda. Prior to the failure of the East African Currency Board, Uganda used other countries' currency.There have been six changes of currency since 1966, but the 1987 version has been stable. Upgrades to it have been intended to decrease counterfeiting and make the currency more useful.
History » The Uganda Protectorate • History » The Uganda Protectorate » Growth of a peasant economy • History » The Uganda Protectorate » Political and administrative development • History » The Uganda Protectorate » World War II and its aftermath • History » The Republic of Uganda » Tyranny under Amin • History » The Republic of Uganda » Obote’s second presidency The First Obote Regime: The Growth of the Military Idi Amin and Military Rule and civil wars The Second Obote Regime: Repression Continues The Rise of the National Resistance Army Allied Democratic Forces National Army for the Liberation of Uganda (NALU)
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