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The Services Sector in Uganda - performance in utilization of trade opportunities Francis Mangeni

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Page 1: The Services Sector in Uganda - ileap-jeicp.orgThe Services Sector in Uganda ... Cape Town South Africa • It designed the SMS Banking software, ... Other services include provision

The Services Sector in Uganda - performance in utilization of trade opportunities

Francis Mangeni

Page 2: The Services Sector in Uganda - ileap-jeicp.orgThe Services Sector in Uganda ... Cape Town South Africa • It designed the SMS Banking software, ... Other services include provision

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INTRODUCTION

-  We are talking 50.7% of GDP, 28% increase in exports in 2009/2010, and the

National Development Plan 2010-15

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Key message •  The services sector is already making a

significant contribution towards achieving the poverty eradication objectives of Uganda and other MDGs, and the NDP 2010-15

•  Government can build on this performance through key interventions that strengthen the sector –  public-private sector dialogue and leadership is key –  partnership with regional and international

organizations working in this area will help –  Utilization of regional markets should be prioritized

Page 4: The Services Sector in Uganda - ileap-jeicp.orgThe Services Sector in Uganda ... Cape Town South Africa • It designed the SMS Banking software, ... Other services include provision

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Key questions

•  What does Uganda have, that it can export –  Identification of good performance and

success stories •  To which markets

– Regional and global, a strategy is required •  What niche products can be developed

–  Innovation should be promoted •  Which markets can be created

– Market intelligence is critical

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Key message from COMESA •  COMESA is Uganda’s largest export market •  A large market of 430 million people, and $392b GDP •  Ugandan products are outcompeted in regional markets

because Uganda is not in the FTA and its exports continue to attract customs duties

•  The various COMESA programs will assist the attainment of the NDP objectives

•  Be active and provide leadership – the ICT regional center of excellence, UMU, ACTESA and CAADP and agricultural market, take up positions and consultancies, Uganda’s leadership in COMESA will assist its regional and international standing

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What are “services”?

•  Products are normally categorized as goods, services, intellectual property

•  But there are cases where the differences are quite fine – coffee, a cup of coffee, muhabura coffee

•  11 categories of services, and any others

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Types of services United Nations Central Product Classification:

1.  Business services 2.  Communication services 3.  Construction and related engineering 4.  Distribution 5.  Educational 6.  Environmental 7.  Financial 8.  Health-related and social 9.  Tourism and travel-related 10. Recreational, cultural and sporting 11. Transport 12. Other services not included elsewhere

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How are services traded? •  A supplier in Uganda sells services abroad

without leaving Uganda – MTN everyone you go, on-line entertainment, accounting services for Canadians (cross border supply)

•  Consumers come to Uganda to spend on services – Gorilla and bird watching, white water rafting (consumption abroad)

•  Investors in Uganda – KCB (commercial presence)

•  People move abroad to provide their services – remittances remain a major contributor to the well-being of people in Uganda

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How about trading within the country? •  Services products are all over the place, and

without them life would be short and brutish –  Education –  Utilities –  Transportation –  Financial services –  Health –  Environmental

•  Services are the face of modernization, competitiveness, and poverty eradication

Page 10: The Services Sector in Uganda - ileap-jeicp.orgThe Services Sector in Uganda ... Cape Town South Africa • It designed the SMS Banking software, ... Other services include provision

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SUCCESS STORIES

-  we got stuff!

- did you know that Uganda is a global exporter of ICT products?

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Makerere University

•  Faculty of Computing and Information Technology – Largest computing and ICT training centre in

Africa – 18 academic programs – 3,589 undergrad and 236 grad students (60

PhDs) (593 foreign undergrad, 14 grad) – 6 computer labs each accommodating 700

students, other smaller labs for 200 students

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International repute

•  The faculty is an authorized Prometric testing and Pearson VUE Testing Centre. It hosts Microsoft exams like Microsoft Systems Engineer (MCSE), Microsoft Database Administrator (MCDBA), Microsoft systems Administrator (MCSA), Microsoft Solution Developer (MCSD) and ORACLE exams through Pearson VUE. The centre delivers international Computer Driving License (ICDL) exams.

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CIT stars •  Dr. Rehema Baguma improved web accessibility guidelines, to

make the web more accessible for people with disabilities •  Eng. John Wekesa designed a car tracking system that uses a

mobile phone to control the movement of vehicles (anti-theft device)

•  Dr. Idris Rai’s paper to the International conference on Internet and Web Applications and Services (ICIW 2010), received the best paper award

•  Google Africa, in partnership with Makerere University’s CIT faculty has made it possible to locate districts in Uganda on Google Maps

•  On 3 June 2010, the East African Microsoft Imagine Cup 2010 Competition was held at the Hilton Hotel, Nairobi, Kenya. For the third Year running, the winning team came from Makerere University - Faculty of Computing and Information Technology.

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Data Fundi (U) Ltd •  Data Fundi (U) Ltd was established in 2002 ie 8 years in

operation. The company employs 16 people and offers a range of services: ICT consultancy, ICT solutions, Project management services and infrastructure roll out.

•  In 2009, the company’s annual sales stood at $ 1,000,000 and 22% of these were earned from exports of services to Southern Sudan, Rwanda, and Burundi. The company has branches or partners in Nigeria and Angola.

•  The company won an award in 2009 from Synovate in the top 100 SME competition.

•  It was awarded the Government Optic Fiber cable project by major communications vendor Huwei.

•  Warid telecom used the company to deliver its turnkey satellite Gateway.

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Crystal Clear •  Crystal Clear has operated for 12 years •  Has won a number of prizes: UIA investor of the year 2003 award

for the best software developer, selected as a Top 100 mid-size company in Uganda by the Steadman group on behalf of KPMG and PSFU 2009, two of the 20 winners of the CGAP World Bank Financial Transparency Award for micro finance institutions use “Loan Performance” a software product developed in Uganda; it won the 2005 African SMME accolade in the ICT category issued by Center for Investment Analysis of the University of Stellenbosch of Cape Town South Africa

•  It designed the SMS Banking software, finger print scanning and the WAN

•  It employs 22 people and provides finance and micro finance institutions with the “Loan Performer Tool”. This tool is used in more than 50 countries all over the world and has earned the company more than US $ 400,000 operations

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Computer Forensics ltd •  employs 6 people and offers ICT forensic investigations, audit services,

forensic training, ICT security solutions and automated Law enforcement security systems. Other services include provision of enterprise resource planning systems and customized systems development.

•  The company’s annual sales were at $ 150,000 by 2009 and the company was offering services in Uganda, China and Rwanda.

•  In 2007 the company won the contract to supply the Uganda Police with an Automatic Law Enforcement System that was used during the CHOGM.

•  The company developed an M & E database management system for the Northern Uganda Aids Malaria & TB Programme (NUMAT) a USAID project.

•  It developed a vehicle licensing management system for the Transport Licensing Board of the Ministry of Works.

•  It developed an enterprise resource planning system for SMEs called AMCIS and got a Young Achievers Award in 2009 for innovation in ICT and for pioneering Forensics and security services.

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Web Biz Africa limited •  Started in 2002 and employs 6 people •  It offers E-solutions for African SMEs through

www.webbizafrica.com – an African e-commerce portal that enables smes to market their products and services, receive orders online without worrying about costs of web designing, hosting or domain name registration

•  For its innovativeness the company received the award for the “Most innovative ICT service for 2009” from Enterprise Technology Magazine- EAC ICT Magazine

•  The company offers ICT consultancy, mobile-device programming, website analysis, design and implementation to its clients

•  It was able to acquire and integrate the Secure Socket layers (SSL) certificate with extended validation from Verisign Inc - the leading SSL certificate issuer in the world

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Zundati Limited •  Started in 2006 by Mr. Mawanda Richard and his partners in the

USA •  Employs about 200 people, and provides services like data

processing, data conversion, imaging, storage, indexing and retrieval, application testing and development as well as on line research and analysis.

•  In the year 2009 the company’s annual sales stood at US $ 250,000 and the company was supplying mainly customers in the USA.

•  It has worked on several big projects like processing documents for the USA national archives records, the company has also processed and generated a party members’ register for the NRM party.

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Others •  Eco-tourism (half the world’s population of

mountain gorillas, bird watching) •  Three world heritage sites •  Entertainment – Ndere Troupe •  Football – John Kizito •  Athletics •  Doctors and teachers – not just in Southern

Africa •  Telecommunications revolution in Uganda •  The banking industry

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PERFORMANCE OF THE SERVICES SECTOR

-  wonderful, wonderful

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Economic performance •  50.7% of GDP in 2010, ie double the

contribution of both agriculture and industry •  (51.2% according to BoU Annual Report 2009) •  Services exports grew by 28%, though Uganda

is still a net importer of services, indicating a potential domestic market for domestic suppliers

•  The industrial sector includes services, meaning the contribution of the service sector may be higher than recorded –  Construction: 61% –  Water: 6.9% –  Electricity: 3.9%

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Sectoral performance •  Wholesale and retail: 26.3%, lower this year due

to out competition in Sudan by Kenya (Kenya is in the COMESA FTA, and its exports don’t attract duties in Sudan)

•  Transport and communication: 16.2%, communications services grew by 30.3%

•  Real estate: 13.9% •  Education: 11.4% •  Hotels and restaurants: 8.7% •  Financial services: 5.7%, but registered a 21.1%

growth

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Steady increase

52.8

21.5

12.0

23.8

34.0

48.3

0.0

10.0

20.0

30.0

40.0

50.0

60.0

1990/91 2004 2005 2006 2007 2008

Agriculture, forestry and fishing

Industry

Services

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Some more facts and stats •  9/10 jobs advertised in the papers are in the

services sector – significant contribution to job creation and incomes

•  Telecommunications revolution in Uganda has had knock on effects in e-government, e-learning, e-health, e-banking, e-business – has good impact on social welfare

•  60% the value of final products on the whole is made up of services – value addition and higher incomes on products

•  A service job has a multiplier effect of 4

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COMESA investments

•  43 of the 50 largest cross-border investments in the COMESA region were in the services sector

•  43 were in business, telecommunication and financial services, more than 50% being in financial services

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UGANDA’S KEY SERVICE SECTORS

- based on performance and prioritization

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Criteria – separate paper •  Identification by stakeholders – ownership and

preparedness to follow up opportunities •  Prioritization in national policy documents – shows

political commitment •  Good performance – shows good prospects and viability,

profitability •  Employment generation – social welfare •  Legal ownership – private sector ownership shows room

for the private sector •  Geographical distribution – rural empowerment •  Levels of projected public expenditure – commitment •  Regulatory framework – laws and bodies – shows good

prospects for social economic welfare

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CPC   Sector/ sub-sector   Main criteria  1A   Business services:  

Professional services  

Good prospects for circular migration  

1B   Business services:  

Information Technology  

Rapid growth  

Note: According to the UNCTAD Handbook of Statistics 2008, p.255, Uganda is one of the leading world exporters of IT ; this is the only sector where Uganda’s performance has this ranking  

2C   Communication services:  

Telecommunications  

Strong growth since introduction of reforms  

3   Construction services   Demand is increasing in line with strong economic development  

7A   Financial services:  

Insurance  

Demand is increasing in line with strong economic development  

9   Tourism services   Further diversification will propel growth  

Source: Francis Mangeni, compiled from the Workshop Report (annex 1) and the UNCTAD Working Document entitled Strategies for Promoting Trade and Investment in the Services Sectors of Uganda, 22 August 2008  

Priority Service Sectors

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Priority Service Sectors

CPC Code   No. of times   Sector/ sub-sector  

1A   4   Professional services  

1F   4   Energy  

7B   4   Banking  

11   4   Transport  

5   3   Education  

8   3   Health  

1B   2   IT  

2C   2   Telecommunications  

3   1   Construction  

6   1   Environmental  

9   1   Tourism  

Source: Francis Mangeni, compiled from 4 policy documents  

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Energy Sector Profile Petroleum

Petrol   Aviation fuel  

Diesel   Fuel oil   Kerosene   LPG  

2003   199,016   80,009   244,075   46,176   47,493   3,461  

2004   186,285   79,131   260,978   53,313   49,340   4,500  

2005   174,054   88,932   319,574   44,423   39,836   4,486  

2006   198,125   89,995   417,449   38,289   42,897   5,800  

2007   191,713   92,616   464,122   34,384   34,309   7,273  

Percentage change  

2006   13.83   1.20   30.63   -13.81   7.68   29.29  

2007   -3.24   2.91   11.18   -10.20   -20.02   25.39  

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Energy Sector Profile Electricity: Electricity Capacity and generation

Capacity/ generation   2003   2004   2005   2006   2007  

Installed capacity (MW)  

- Dam   300   300   300   300   300  - Other stations   3   3   3   3   3  

Total capacity   303   303   303   303   303  

Units generated  (Million KWh)  - hydro   1,755.60   1,894.40   1,856   1,172.28   1,904  - thermal   1.2   1.2   1.2   1.2   -  Total units generated   1,756.8   1,895.6   1,857.2   1,173.48   -  

Of which  -transit and distribution losses  

28.2   35.7  

- units accounted by consumption  

-   -   -   -   -  

- maximum demand (MW)  

279.1   264.5   238.7   159.4   -  

Annual load factor   71.9   82   88.8   85   -  

Source: UMEME Ltd

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Energy Sector Profile Electricity: Electricity Sold

2003   2004   2005   2006   2007  

No. of consumers   244,248   262,123   268,785   -   -  

No. of units  (Million KWh)  

1,276   1,023   1,015   -   -  

Revenue collected  (Million UG Sh)  

208,971   184,622.8   125,684   -   -  

Source:  Uganda  Sta/s/cal  Abstract,  2008,  p151  

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Telecommunications Sector Profile Telecommunications Statistics

2003   2004   2005   2006   2007  

Fixed telephone lines   65,793   82,495   100,777   129,863   165,788  

mobile cellular subscribers  

893,035   1,165,035   1,525,125   2,697,616   5,163,414  

Telephone traffic (‘000 minutes)  

1,308,194   1,559,162   1,723,964   2,307,391   3,004,738  

Payphones   3,456   4,634   10,263   -   -  Mobile cellular operators   3   3   3   3   4  

Internet services operators  

18   18   17   17   -  

Private FM radio stations (registered)  

125   148   145   145   -  

Private TV stations (registered)  

23   31   34   34   -  

Courier service operators   19   19   22   22   -  

Source: Uganda Statistical Abstract, 2008, p.153

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Telecommunications Sector Profile Internet Market

Subscribers and users   2002   2003   2004   2005   2006  

- subscribers   6,500   7,024   8,000   9,500   15,000  

- estimated internet users  

233,675   252,513   287,600   1,000,000   1,600,000  

Source: Uganda Statistical Abstract, 2008, p.47

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Tourism Sector Profile : Basic Tourism Indicators

2003   2004   2005   2006   2007  

Inbound  tourism  

Visitor  arrivals  (‘000)   306   512   468   539   642  

Visitor  arrivals  by  region  

Africa   235   407   337   398   411  Americas     16   23   29   36   42  Europe     39   49   62   71   77  Asia     11   18   20   22   25  Middle  East     1   2   3   3   4  Oceania     2   2   4   4   4  Other  and  not  stated     1   11   13   4   8  

Visitor  arrivals  by  mode  of  transport    

Air     97   131   172   200   234  Road     209   381   296   336   408  

Arrivals  by  purpose  of  visit  (‘000)    

Leisure,  recrea/on  and  holidays     77   86   9   30   140  Business  and  professional     67   81   31   72   110  Visi/ng  friends  and  rela/ves     52   71   35   89   272  Other     110   274   393   345   120  

Tourism  expenditure  In  the  country  by  reference  (USD  million)   265   321   327   375   449  

Visitors  to  na=onal  parks  (na=onals  and  non-­‐na=onals)  

102,567   124,337   128,810   110,092   126,553  

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Insurance Services Profile

Policies issued  

Year   Number  

2002   148,581  

2003   161,135  

2004   153,902  

2005   184,656  

2006   177,007  

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Education Services Profile: Primary School Education Indicators in Uganda 2003 -2007 Year   2003   2004   2005   2006   2007  Enrollment (in ‘000s)  

7,633   7,377   7,224   7,362   7,537  

Percent Annual change in enrollment  

3.6   -3   -2   1.9   2  

Number of Primary Teachers (‘000s)  

146   147   145   150   132  

Net Enrollment rate  

100.8   90   93   92   93.3  

Gross Intake rate  

155.7   147.1   152.8   129   128.5  

Number of Primary Schools  

13,353   13,371   13,576   14,385   14,728  

Pupil Teacher Ratio  

52   50   50   48   57  

Pupil Classroom ratio  

87   79   74   72   72  

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Employment

Employment 2001/2   Employment 2006/7  Sector   No. of

businesses  Total employed  

No. of businesses  

Total employed  

Agriculture and forestry   449   14,783   412   28,407  Fishing   174   999   124   1,012  Mining and quarrying   427   1,609   39   1,493  Food processing   11,968   87,131   1,200   39,633  Other manufacturing   23   3,444   2,080   32,456  Utilities   247   7,340   29   2,738  Construction   107,486   178,275   282   8,993  Trade   20,483   54,131   5,269   46,776  Hotels and restaurant   834   13,898   3,411   32,796  Transport, storage, and communications  

417   7,023   928   17,665  

Finance and insurance   122   1,077   1,158   13,537  Business services   2,414   20,179   1,738   27,540  Education   479   9,603   2,415   20,675  Health and social works   3,273   17,396   5,341   31,071  Community, social and personal services  

12,086   27,230   1,041   13,003  

Total   160,883   444,118   25,467   317,795  

Source: Uganda Statistical Abstract, 2008, p.142  

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Legal Ownership

Service sector   Sole Proprietor  

Partnership   Private Limited  

Government and cooperative  

Others   Total  

Utilities   3.4%   31.0%   10.3%   44.8%   10.3%   100.0%  

Construction   8.2%   6.7%   79.8%   5.3%   100.0%  

Trade   43.4%   41.9%   10.2%   4.4%   100.0%  

Hotels and Restaurants  

77%   9%   9%   5%   100%  

Transport,   16%   9%   68%   7%   100%  

Posts and Telecommunications  

4%   1%   84%   11%   100%  

Business Services   25%   18%   46%   11%   100%  

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Legal Ownership

Service sector   Sole Proprietor  

Partnership   Private Limited  

Government and cooperative  

Others   Total  

Utilities   3.4%   31.0%   10.3%   44.8%   10.3%   100.0%  

Construction   8.2%   6.7%   79.8%   5.3%   100.0%  

Trade   43.4%   41.9%   10.2%   4.4%   100.0%  

Hotels and Restaurants  

77%   9%   9%   5%   100%  

Transport,   16%   9%   68%   7%   100%  

Posts and Telecommunications  

4%   1%   84%   11%   100%  

Business Services   25%   18%   46%   11%   100%  

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Legal Ownership

Service Sector  

Sole Proprietorship  

Partnership   Private Limited  

Joint Government  

Government   Religious   Others   Total  

Education   56.0%   10.8%   7.4%   5.4%   9.7%   10.7%   100.0%  

Insurance   8   8   133   3   1   12   165  

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Legal Ownership

Service sector  

Sole Proprietor  

Partnership   Private limited  

Religious  

NGO   Government  

Others   Total  

Health & Social Works  

3,762   242   201   157   572   60   347   5,341  

Community and personal services  

39.9%   7.5%   18.9%   18.0%   15.8%   100.0%  

Financial Intermediation  

7.4%   4.5%   35.4%   3.5%   18.1%   5.3%   25.7%   100%  

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Geographical Distribution Service sector   Western   Kampala   Eastern   Northern   Central  

Utilities   38%   31%   14%   10%   7%  Construction   11%   63%   6%   11%   9%  Trade   -41% for sale

and repair of motor vehicles and cycles. -23% for wholesale trade. -35% for retail trade.  

-30% for sale and repair of motor vehicles and circles. -17% for wholesale trade. -52% for retail trade.  

-35% for sale and repair of motor vehicles and cycles. -15% for wholesale trade. -50% for retail trade.  

-26% for sale and repair of motor vehicles and cycles. -21% for whole sale trade. -52% for retail trade.  

-54% for sale and repair of motor vehicles and cycles -12% for whole sale trade. 34% for retail trade.  

Hotels and restaurants   17%   38%   16%   12%   17%  

Transport   Less than 10%   64%   18%   Less than 10%   Less than 10%  

Posts and Telecommunications  

19%   34%   19%   10%   17%  

Financial Intermediation   290 businesses  

281 businesses  

132 businesses   84 businesses  

206 businesses  

Insurance   12%   55%   15%   6%   12%  Business Services   9%   67%   11%   5%   8%  Education   11.2%   25.1%   12.9%   2.0%   48.8%  Health and Social work   13%   39%   12%   9%   27%  

Community and personal services  

13%   53%   11%   9%   14%  

Source: Francis Mangeni, compiled from the Business Register, 2007  

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Projected Public Expenditure

Table: medium term expenditure allocations (sector shares, %)  Sector   2007/8   2008/9   2009/10   2010/11   2011/12   2012/13  

Security   9.3   8.2   7.7   6.9   6.4   6.2  Works and transport   13.2   18.6   17.7   17.2   13.8   13.5  

Agriculture   4.3   3.8   3.7   3.5   3.4   3.2  Education   16.1   15.4   14.4   13.3   13.2   13.0  Health   9.0   10.8   9.8   9.0   8.4   8.2  Water and environment   3.3   2.6   2.7   3.1   2.9   2.7  

Justice/Law   4.9   4.8   4.0   3.7   3.7   3.4  Accountability   7.1   7.6   6.2   5.6   5.3   5.0  E n e r g y a n d m i n e r a l development  

9.5   7.9   6.2   5.5   5.3   5.0  

Tourism, trade and industry   0.9   0.5   0.5   0.5   0.5   0.5  

Lands, Housing and urban development  

0.2   0.2   0.2   0.3   0.3   0.2  

Social development   0.5   0.4   0.4   0.4   0.4   0.4  

ICT   0.1   0.1   0.1   0.1   0.1   0.1  Public sector management   10.2   8.8   8.7   8.0   7.8   7.5  

Public administration   3.7   2.3   2.3   2.7   1.8   1.8  

Legislature   1.7   1.5   1.3   1.2   1.1   1.0  Interest payments due   6.1   6.5   4.6   4.2   4.3   3.9  

Contingency   0.0   0.0   9.6   14.8   21.5   24.5  Total   100.0   100.0   100.0   100.0   100.0   100.0  

Source: Background to the Budget FY 2008/9, p.75  

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Priority sectors of Uganda

•  Transport •  Telecommunications •  Financial services •  Business services (energy, professional, ICT) •  Health •  Tourism •  Education •  Construction

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WTO commitments •  Uganda has opened up the following:

–  Tourism –  Telecommunications

•  Uganda, together with other LDCs, continues to request developed countries to open up sectors of export interest, particularly in movement of natural persons both high skilled and low skilled

•  A general assessment is that utilization of WTO opportunities has been fraught with restrictions abroad and the economic needs tests, yet the negotiations seem stalled for the time being

•  Security services in Iraq are not WTO opportunities, indicating the possibility of alternatives

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EAC, COMESA and Tripartite Services

Markets for utilization

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7 EAC commitments •  Business services •  Communication •  Distribution •  Education •  Financial •  Tourism •  Transport

–  It is still early to assess utilization of opportunities, however, the commitments took into account performance and stakeholder support, and reflected the negotiated outcome with the other 4 countries

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6 priority sectors of SADC

•  Financial (EAC) •  Telecommunications (EAC) •  Transport (EAC) •  Tourism (EAC) •  Energy •  Construction

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7 COMESA service sectors

•  Financial – EAC, SADC, COMESA •  Communication – EAC, SADC, COMESA •  Transport – EAC, SADC, COMESA •  Tourism – EAC, SADC, COMESA •  Business – EAC, COMESA •  Construction – EAC, COMESA •  Energy – SADC, COMESA

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Tripartite services market

•  Financial – EAC, SADC, COMESA •  Communication – EAC, SADC, COMESA •  Transport – EAC, SADC, COMESA •  Tourism – EAC, SADC, COMESA

–  In the Tripartite negotiations, Uganda can prioritize these sectors as common to the three RECs, and seek to add others in which it has good potential, for instance, education and health, subject of course to good practices such as circular migration

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HOW TO DEVELOP THE SERVICES SECTOR EXAMPLES FROM NEIGHBOURS

- key message: political leadership and

commitment are key requirements, to brand the country, mobilize all line ministries, and provide

a framework for the private sector

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Focus e.g. ITES and BPO

•  Only 15% so far tapped of a potential global market of ITeS estimated at $475b

•  How is the ICT Software Cluster Kampala doing?

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Kenya •  High Level ITES advisory team formed by the

Prime Minister of Kenya in December 2009; a National BPO/ITES Working Group then established, a branding body established (Brand Kenya)

•  To guide and facilitate an effective working system between various government ministries & agencies in order to develop a strong ITES sector in Kenya

•  To monitor and evaluate the impact of ITES related activities in Kenya

•  To develop a strategy for Rural BPO in Kenya

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ALIVE WITH POSSIBILITY

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-

•  Starts with a Strategy to be adopted by Parliament

•  Strategies related to Work streams / identified strategic pillars

•  Identify Niche Offerings •  Package what the country offers •  Identify key source markets

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KEY BRANDING MESSAGES…

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Mauritian Economy The Re-Invention Process

From Trade Preferences…

…to Global Competiveness

1970s: Sugar - 70% export earnings Per capita @ US$ 320

1980s: Manufacturing & Tourism Tourist arrivals hits 100K mark / Industrial boom through EPZ Per capita @ US$ 1,000

1990s: Export of Services Financial Services, Logistics, IT Services and BPO Per capita @ US$ 2,500

2009: Open & Diversified Platform Knowledge-based economy Per capita @ US$ 7,500 and projected @ US$10,000 by 2015

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FINAL REMARKS, WAY FORWARD •  Uganda has highly skilled ICT specialist personnel. In

addition to this it has the potential to train and export ICT skills and products to other countries. It is a global exporter of ICT products and is well positioned to enter the ITES and BPO markets.

•  It can offer niche tourism services being home to half the

remaining Mountain Gorilla population in the World as well as Bird watching, it is home also to three world Heritage Sites two of which are National Parks.

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FINAL REMARKS, WAY FORWARD •  In addition Uganda can also export Health, Education,

Recreation (Entertainment), Sports, Banking and Telecommunication Services within the region.

•  Develop a national brand name. Identify and target niche markets that are as yet unexploited.

•  Joining the COMESA FTA would make its products more competitive in Sudan and COMESA market. Tripartite FTA is a potential new market that can be further exploited