Overview:
Minister says roads, water and electricity must be in place before parks are licensed as UIA reports $5.9 billion in investments and more than 164,000 jobs created.
Finance Minister Henry Musasizi has directed the Uganda Investment Authority (UIA) to expedite the completion of critical infrastructure in industrial parks, saying roads, water and electricity are essential to attracting investors and driving industrial growth.
Speaking during a meeting with the UIA management led by Director General Robert Mukiza, Mr Musasizi said industrial parks should only be licensed once they have adequate supporting infrastructure.
He noted that investment promotion and facilitation remain a core mandate of the Ministry of Finance and stressed the need to ensure industrial parks are fully serviced before being opened to investors.
Mr Mukiza said 14 of the country’s 25 planned industrial and agricultural business parks are now fully operational, hosting 463 companies engaged in manufacturing and other sectors.
He said the industrial park ecosystem has mobilised investments worth $5.881 billion and created 164,230 direct and indirect jobs, with manufacturing accounting for the largest share of employment.
However, Mr Mukiza said more work is needed to improve investor services, calling for the operationalisation of regional One Stop Centres in functioning industrial parks to bring licensing and investment facilitation services closer to investors.
He also appealed for increased government funding for the development and maintenance of industrial parks, while urging authorities to negotiate more competitive electricity tariffs and establish dedicated substations to guarantee reliable power supply.
State Minister for Privatisation and Investment Evelyn Anite Mukalazi said the investment licensing process should be strengthened through improved monitoring and follow-up to ensure investor challenges are addressed promptly.
She also called for the One Stop Centre to be staffed with officers empowered to make decisions that speed up licensing, adding that all investment incentives should be clearly communicated to prospective investors.
Ms Mukalazi further urged government to review land management in industrial parks, proposing that land allocated to investors but left undeveloped for a specified period should revert to government for reallocation to investors ready to utilise it.