Bank of Uganda Deputy Governor, Prof. Edward Nuwagaba, has unveiled a bold vision to attract international investment into Uganda’s economy, pledging a raft of regulatory, fiscal, and sustainability-aligned reforms aimed at boosting investor confidence and long-term growth.
Speaking at the UK-Africa Investment Summit, Prof. Nuwagaba said Uganda is entering a new phase of financial modernization underpinned by macroeconomic stability, liberalized markets, and investor-friendly policies. He cited Uganda’s 6.1% GDP growth in the 2023/24 financial year and IMF projections of sustained 6–6.5% annual growth through 2026 as evidence of strong fundamentals, supported by developments in oil production, infrastructure, and agriculture.
He acknowledged, however, that persistent bottlenecks such as high taxes, regulatory complexity, and delays in licensing continue to hinder private sector growth. In response, he proposed targeted tax incentives for priority sectors including energy, infrastructure, agro-processing, and climate-aligned initiatives. He emphasized that Uganda must eliminate harmful taxes and simplify compliance to allow businesses to focus on productivity, not bureaucracy.
The deputy governor also pledged a fast-tracked rollout of a centralized one-stop investment center under the Uganda Investment Authority, designed to streamline licensing and reduce friction for both local and foreign investors.
On monetary policy, Nuwagaba reaffirmed the central bank’s commitment to maintaining inflation within the 5% target band currently standing at 4.8% and preserving exchange rate stability. He revealed that Uganda is exploring a phased liberalization of its capital and financial accounts to facilitate freer movement of private capital and encourage deeper financial market participation.
Infrastructure development featured prominently in his address, with Nuwagaba pointing to recent government investments in transport, energy, and digital systems as critical enablers of cost efficiency for investors. He also announced that Uganda is integrating environmental, social, and governance (ESG) standards into national investment policies, with green incentives to reward investors who adopt sustainable energy, climate-smart agriculture, and ethical manufacturing practices.
Citing data from the International Finance Corporation (IFC), he noted that Africa could attract up to $3 trillion in climate-aligned investments by 2030. Uganda, he said, is positioning itself to secure a significant share of that capital through its renewable energy and circular economy projects.
Calling for more transparency in public procurement and stronger enforcement against anti-competitive practices, Prof. Nuwagaba underscored that fair competition is vital to ensuring innovation, affordability, and sustainable economic development. He reiterated Uganda’s openness to foreign ownership in strategic sectors such as mining, telecommunications, and energy, provided it aligns with national interests and regulatory safeguards.
Concluding his address, the deputy governor delivered a strong message of optimism: “Uganda is open for business but not business as usual. Our goal is to build a competitive investment climate that rewards innovation, respects sustainability, and delivers inclusive growth for all.”