Efficiency non-negotiable, says Nakyobe as Uganda pushes to cut business costs

KAMPALA — The Head of Public Service and Secretary to Cabinet, Ms. Lucy Nakyobe, has called for a culture of efficiency, integrity, and partnership across government institutions as a cornerstone for improving Uganda’s competitiveness and business environment.

Opening the 2nd Annual Doing Business Forum at Golf Course Hotel in Kampala on Thursday, Ms. Nakyobe emphasized that an efficient public sector is essential for private sector growth and national transformation.

“To drive competitiveness, the public sector must operate efficiently, with discipline, integrity, frugality, time management, and empathy,” she said. “Every Ministry, Department, and Agency must have service delivery standards, client charters, and strategic plans aligned to the National Development Plan (NDP IV) by December 30, 2025. Non-compliance will directly affect the performance of the respective Permanent Secretaries.”

She noted that while Uganda has made progress in improving the business environment, the private sector continues to face persistent challenges such as lengthy licensing procedures, fragmented infrastructure approvals, and unpredictable access to serviced industrial parks and utilities.

“Exporters still grapple with high compliance costs, excessive documentation, and delays at border points. These bottlenecks increase the cost of doing business, erode competitiveness, and discourage both local and foreign investors,” Ms. Nakyobe said, adding that efficiency in public service delivery is non-negotiable.

“Whether registering a business, obtaining a construction permit, acquiring land, or connecting to electricity — efficiency must be the standard across all institutions,” she said.

Ms. Nakyobe reaffirmed government’s commitment to creating a conducive investment climate, simplifying processes, and reducing the cost of doing business to attract both domestic and international investors.

Delivering his remarks at the same forum, the Permanent Secretary and Secretary to the Treasury (PSST), Mr. Ramathan Ggoobi, said Uganda stands at a pivotal moment in its economic journey under the National Development Plan IV (NDP IV) and the Tenfold Growth Strategy, which aims to expand the country’s GDP to USD 500 billion by 2040.

“Our shared goal is simple and urgent: make the public sector work better so the private sector can create more jobs, add more value, and attract more investment,” Mr. Ggoobi said.

Under NDP IV’s Public Sector Transformation Programme, government targets to raise transparency and accountability in service delivery from 70% to 90%, improve staffing levels from 55% to 85%, and increase local government fiscal sustainability from 34% to 50%. It also seeks to expand access to efficient public services from the current 50% of the population to at least 80% by 2030.

To improve access to standards and certifications, Mr. Ggoobi revealed that the Uganda National Bureau of Standards (UNBS) has opened regional offices in Gulu, Mbarara, and Mbale.

“The UNBS budget has increased from Shs 58.1 billion in FY 2024/25 to Shs 133.8 billion this financial year to enable staff expansion and increase the number of standards aligned to regional needs,” he said. Plans are also underway to review the funding model to ensure businesses receive services promptly after payments.

Addressing inefficiencies in procurement, the PSST said the e-Government Procurement System (e-GP)—now rolled out in 62 MDAs and 134 Local Governments—is helping reduce delays, enhance transparency, and eliminate manual processes.

He added that the National Information Technology Authority (NITA-U) is also working to expand broadband access and lower data costs to support business operations and digital transformation.

Both Ms. Nakyobe and Mr. Ggoobi underscored that building an efficient, transparent, and responsive public service is key to unlocking private sector potential and achieving Uganda’s development aspirations.

“The private sector is the engine of growth, but it can only thrive when the public sector works efficiently and with integrity,” Ms. Nakyobe said. “Efficiency is not optional—it is our national duty.”