DST Ocailap tips on how fiscal and policy strategies can accelerate agro industrialization in Uganda.

As Uganda focuses on unlocking economic growth through agriculture, The Deputy Secretary to the Treasury, in the Finance ministry, Mr. Patrick Ocailap addressed top economics experts, industry players, and other participants the Uganda economic forum last week on the fiscal and policy strategies needed to accelerate Agro-industrialization. 

While making her welcome remarks, Ms. Francisca Ayodeji the World Bank Africa Country Manager, Uganda welcome DST as the Chief Guest representing the Permanent Secretary and Secretary to the Treasury (PSST)

Mr. Patrick Ocailap, while applauding the bank for supporting the process of projects that needs credits approval improve in the vetting process, said that Uganda’s outlook for the next financial year projects increased diversified exports, expunging tariff and non-tariff barriers, rising household aggregate demand, maintaining peace and security among others.

“Uganda has registered significant progress in key economic indicators. The Foreign Investment Environment (FIE) increased by 23% compared to the previous year, while remittances also recorded growth. In addition, tourism receipts rose, marking an upward trend in one of the country’s most important foreign exchange earners” he said

He however said that there is a need to broaden the tax base to finance domestic projects.

"We need to broaden the tax base instead of increasing taxes on the people of Uganda! We should also conduct a cost-benefit analysis of the tax reforms so that we don’t disrupt the government plans. Rather than eliminate the 10-year tax holiday, we should closely monitor their activities and have a sunset clause for each” he said

 Mr. Qimiao Fan, World Bank Division Director (Kenya, Rwanda, Somalia, Uganda) said that

“Uganda spends about 28% of it’s tax revenue on debt servicing. Any shocks could undermine resilience for the short and longer terms. Indeed, domestic revenue mobilization must be prioritized for the country to increase its capacity in manufacturing, education, agriculture and more” he said.