How Industrialization Has Ended Poverty in Uganda

 The Government of Uganda under the leadership and command of Gen Yoweri Kaguta Museveni has tremendously improved on industrialization, which has increased our level of economy and reducing the rate of poverty among Ugandans.

Industrialization has not only improved our economy and increase our per capita income, but has also created employment to hundreds of Ugandans.

Rapid industrialization has not only created employment for Ugandans but has also increased tourism because people from different Countries come to Uganda to visit good factories, hotels, Nile falls among others.

According to research conducted by spyreports online newspaper, industrialization under the leadership of President Museveni has greatly improved compared to the time Uganda got independence.

Museveni commissioning energy company in Uganda. courtesy photo

Records show that in 1986 when President Museveni took over power from dictators, our Per capita income was valued at USD 458.61m and it has increased to USD 775m by 2019. This sharp and steady increase is a result of improved industrialization that is backed up by peace and security provided by UPDF and other sister security agencies.

Research further shows that by 1986, the total revenue collections were estimated at shs 5bn but it has grown to over ug shs 12.1 trillion shillings with real GDP growth at 1% and debt ratio is at 40%. Export earnings now stand at $ 4.5bn, which has also improved our balance of payments in the region. Ugandans in Diaspora globally remit over $ 1.3 billion.

It is also on record that foreign direct investments stock has grown from USD 803M in 1986 to USD 13.3bn by 2018. The Government has further made a remarkable record where it has increased access to electricity by over 28% in 2018 from 3% in 1986 hence increased industrialization.

The good leadership steady peace and security under President Museveni has seen international reserves increase from USD 1389.74m from 1986 to now USD 3240.951 by December 2019 and the graph is still rising up and the sky will be the limit. The government has also made sure that private investments increase to allow investors come and invest in Uganda. By 1986, private investments were valued at USD 411m but currently it is estimated to be over USD 1.4bn.

The government has also emphasized on increase on foreign direct investments where by in 1986 it was only 5.2% and it has grown to 68.4% totaling to over shs 14.137bn.

Under the good leadership of President Museveni, Ugandan Government has managed to put the first ever mobile phone factory and laptop assembling plant, which was commissioned in 2019. Uganda now exports smart phones to other countries like Morocco, which has now boosted our economy.

Museveni Commissioning first mobile phone and computer company in Uganda. Courtesy photo

Currently, a total of 49000 factories have been built in 2019 and are distributed as follows,284 new factories have been constructed in Namanve industrial park,11 factories in Luzira industrial and business park,10 factories in Bweyogerere industrial estate,08 factories in Jinja industrial and business park,10 factories in Soroti industrial park,6 factories in Kasese and 42 factories in Mbarara.

The Construction of Kiira Motor vehicle factory is ongoing in Jinja, with an annual production capacity of 150,000

Under Buy Uganda Build Uganda (BUBU) – 26 drug manufacturing companies, several operational tanneries including SWT tanneries ltd, Jambo, Skyfat, Leather industries ltd, Basajjabalaba, Freba. BUBU has led to generation of 165,490 direct jobs and 400,000 indirect jobs.

  • One-Stop border posts including Katuna, Busia, Mutukula and Malaba have been established to ease trade.

   Revenue collection has grown exponentially – from UGX 5 billion in 1986 to UGX19.5tn in 2019.

  • Employment opportunities have increased through private sector.
  • Overall improvement in standard of living.
  • Regional trade has expanded – EDRC, S. Sudan, increased exports to Kenya – Uganda exports more than we import to Kenya.
  • Availability of essential items ensured – sugar, soap, salt, cooking oil, kerosene, soft drinks etc.
  • Expanded private sector investments is a sign of confidence in the political stability, security and return on investment.
  • Fiscal stability-controlled inflation, stable prices- enabling planning. Low interest rates through SACCOs – affordable money.
  • Increasingly diversified economy – tourism, investment in oil sector, significant growth in the service sector but also the volume of exports.


  • Tourism is Uganda’s leading foreign exchange earner contributing USD 1.6b USD (UGX 5.8 tr)equivalent to 7% of GDP and contributing 7% of the total national employment. A total of 667,600 people was directly employed in tourism and travel industry as of 2018.
  • Number of tourist arrivals increased by 4% from 1.402 million in 2017 to 1.505 million in 2018.
  • Forex earnings grew by 1 %from USD 45Bn in 2017 to over USD 1.6Bn in 2018.
  • UWA Bill 2017 bill was enacted.
  • 488 new staff Canine unit established. Intelligence unit to combat illegal wild life trade. 19 patrols vehicles. 02 patrols boats acquired. UPDF seconded to UWA under Special Wildlife Integrated Force for Tourism (SWIFT)
  • 1165 km of trail network and bridges maintained in parks.
  • Electric fences constructed in parks to reduce human and animal conflict.



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