President Yoweri Museveni yesterday unveiled eight factories which are part of ten that he will have commissioned by the end of tomorrow in Jinja and Buikwe districts.
This development comes as an important piece to a very elaborate plan by the President to turn our economy into an industrialized economy as means of achieving a middle income status.
Below we look at the key facets in this plan and how the various pieces fit together.
The Hydro-Electric power dams
Late last year, the President commissioned the opening of the 180MW Isimba power station drawing our total power production close to 1000MW. Sceptics questioned the need for the new dam but it is clear, demand for this power is their locally and it is this very availability of affordable power that has spurred these factories.
The road infrastructure
Government has invested a lot of time and money in upgrading the transport infrastructure especially the roads and we can now see that goods produced can easily reach markets far from the source of production and raw materials can easily be delivered.
With opening of new factories, farmers in different parts of the country can be assured of stable prices and market for their produce.
Completion of the Nile bridge that links the two districts is also symbolic of the growth in the region and its role as a link to the coastline.
Job creation
Job creation is also another significant effect of these factories(expected to be over 5000) especially among the youth who provide a much needed energetic workforce. This should help reduce unemployment and also help build local capacity among the labour force.
Youth unemployment is one of the biggest challenges for governments worldwide, and with increased industrialization, we can expect a reduction in unemployment rates.
The market for raw materials
Uganda produces a wide myriad of raw materials, from minerals to crops and has in the past been guilty of exporting them at low prices creating a trade deficit with our partners.
However we can now look forward to the export of finished goods and help reduce on our balance of payments especially with our regional neighbours and a reduction in our import bill, spurring the growth of the economy.
Campaign promises have been made and its good to see that so many are now coming to fruition.
Middle income status is the key target for Uganda’s 2040 plan and evolving into an industrial economy should boost our prospects in that regard.
Two million jobs in first one hundred days.
So he promised. Political clowns are known to make political jokes. However the wellbeing of our population should not be a laughing matter. The youth yearn for tangible promises not fantasies and castles in the sky.
