TOP
  • Home
  • National
  • China backs Uganda as investment destination

China backs Uganda as investment destination

By Taddeo Bwambale

Added 16th July 2018 09:16 PM

Government spokesperson and head of the Uganda Media Centre, Ofwono Opondo, thanked China for its support to Uganda in infrastructure, agriculture and investment.

China 703x422

Government spokesperson and head of the Uganda Media Centre, Ofwono Opondo with a Chinese official

Government spokesperson and head of the Uganda Media Centre, Ofwono Opondo, thanked China for its support to Uganda in infrastructure, agriculture and investment.

China will encourage more investors to set up businesses in Uganda, a senior Chinese diplomat has said, but asked the East African country to create a better environment to attract the investments.

Wan Li, the Director General for African Affairs at China’s foreign affairs ministry, told a visiting delegation from Uganda that the two countries have enormous potential to grow the bilateral ties.

“Ugandans are very hospitable to Chinese people. I felt at home when I was there and I am deeply grateful for the hospitality,” Li said at a meeting in China’s capital, Beijing.

“China and Uganda have had a long history of cordial relations for more than 56 years. We are good friends, partners and brothers.”

Government spokesperson and head of the Uganda Media Centre, Ofwono Opondo, thanked China for its support to Uganda in infrastructure, agriculture and investment.

Opondo entreated the ministry to encourage more Chinese to set up investments in Uganda, especially in tourism and hospitality industries, and to partner with local companies to boost local production.

“If you do so, you will be teaching us how to fish. Ugandans will benefit from skills transfer, technology and management competencies of the Chinese,” Opondo told the Chinese diplomat.

Li encouraged Uganda to improve the investment climate to attract more Chinese investment, whose portfolio has been rising in recent years.

Chinese companies now have investments worth $4.2b (sh15.5 trillion) in Uganda, Li disclosed, making China Uganda’s largest source of foreign investment.

Tourism

On account of positive reviews, the number of Chinese tourists coming to Uganda has been rising, Wan revealed, with at least 20,000 Chinese nationals visiting Uganda in the year 2016.

“Uganda has rich resources and 20,000 visitors from China is still a small number. However, there is huge potential for Uganda to benefit from our close ties,” Li advised.

The diplomat, who visited Uganda about a decade ago while accompanying Yang Jiechi, a high-ranking Chinese politician and diplomat, described Ugandans as very approachable people.

Opondo said Uganda was keen to learn from China’s development experience over the last 40 years under ambitious market reforms that have led to rapid growth and decline in poverty.

The two leaders agreed to increase exchange visits for their professionals, support each other in international issues and promote mutual understanding of their people.

Infrastructure, development support

China is funding a number of development projects in Uganda where over 200 Chinese companies are involved in key infrastructure projects. Uganda is building a 600MW Karuma hydropower project worth $1.8b (sh6 trillion), the 183MW Isimba dam, the Kampala-Entebbe expressway worth $350m (sh1.2trillion), and the Entebbe Airport expansion ($500m), all with funding from China Exim bank.

 

Related Articles

More From The Author

Related articles