President Museveni has called on European investors to capitalise on Uganda's investment opportunities in infrastructure, energy, manufacturing and agriculture, arguing that investment in productive sectors is vital for job creation, market expansion and economic transformation. Speaking at State House Entebbe during a meeting with European Union ambassadors and investors, Museveni highlighted Africa's rapidly growing population and expanding consumer market as significant opportunities for European businesses seeking new investment destinations and stronger economic partnerships. He said Uganda had learnt from political instability affecting some African countries, which he partly attributed to identity-based politics including tribalism, religious divisions and ideological misunderstandings, as well as failure to recognise the private sector's role in driving growth.
Museveni specifically urged the European Investment Bank to increase financing for railway development, electricity generation and distribution, and selected road projects. He identified affordable electricity as a major factor affecting Uganda's competitiveness, particularly for manufacturers, and called for greater attention to electricity tariffs, saying affordable and reliable power was essential for industrial expansion. He also highlighted the role of the Uganda Development Bank in providing financing to businesses engaged in productive activities.
The president reaffirmed the government's support for tax incentives intended to attract investment, particularly in manufacturing, and emphasised the importance of enabling eligible businesses to benefit from a 10-year tax holiday. He said the government prioritised attracting investors who would establish businesses, increase production and employ Ugandans, arguing that the resulting economic activity would generate public revenue through indirect taxation. He stated that the government was not interested in direct tax but wanted jobs and production from investors.
Museveni identified agriculture, irrigation, fish farming and agro-processing as sectors with significant investment potential, citing Uganda's abundant raw materials as a foundation for industrial development and value addition. He pointed to maize and soya beans as examples of locally available agricultural produce that could support investment in animal-feed manufacturing and other processing industries. The president added that the government was preparing to expand irrigation and fish farming to boost agricultural productivity, improve household incomes and provide alternative livelihoods for communities living near environmentally sensitive wetlands.
On environmental protection, Museveni welcomed investments aimed at addressing environmental challenges associated with oil development, emphasising the need to safeguard Uganda's freshwater resources, and underscored the importance of conserving forests and other natural resources. He said environmental sustainability remained an important consideration in the country's development agenda. The meeting provided a platform for discussions on Uganda's investment priorities and the potential role of European capital, technology and business partnerships in supporting economic transformation.