EX-Minister Probed Over US$125m Deal

By Okello Jabweli and John KakandePRESIDENT Yoweri Museveni is investigating a former minister who allegedly scared away a US$125m investment project in 1995.The revelation was made yesterday by Vice-President Dr. Specioza Kazibwe while delivering the President’s State of the Nation Address to Parliament. Museveni did not name the former minister.In a wide-ranging address, Museveni warned public officials against frustrating investors and urged investors to report corrupt public officials who stand in their way to Mr. Onegi-Obel and Mrs. Susan Muhwezi of his Export Promotion’s office.“Corrupt public officials who work to extort shares from intending investors will be dealt with severely. Any investor who faces the contemptible request for unearned shares in prospective enterprises by the parasitic elements in our society should report to officials of my Export Promotion’s office without delay,” the President said. “I will show no mercy to these parasites that do not have an iota of patriotism in their brains. They kill the job opportunities of our children by scaring away investors,” he said. Kazibwe, dressed in a black, flowing outfit, stuck to the text prepared by the President. Museveni is away in Rome, Italy, for the World Food Summit. It was Kazibwe’s first time to deliver the state of the Nation address since 1994 when she became vice-president.Museveni said Uganda was secure for both person and property, and added that the political atmosphere was conducive for increased tourism, investment and economic growth. He said building an independent, integrated and self-sustaining economy was the only way Uganda can be transformed from a backward, pre-industrial state to a modern one.Museveni said although the overall economy had remained stable, more could be done at the individual and family levels to increase income. He said once Parliament passes the Micro Deposit taking Institutions Bill (MDI), rural areas and small to medium-scale businesses will access credit.“It (MDI) will provide an opportunity of financing small businesses that currently cannot access credit from commercial banks,” Museveni said. Rural financial services in Uganda are limited to about 500,000 clients, with savings estimated at sh65 billion. Edward Ssekandi, the House Speaker, presided over the session attended by diplomats, religious leaders, Movement Vice-chairman Moses Kigongo and Premier Apolo Nsibambi.Museveni said to distribute micro-finance institutions evenly, government will create Savings and Credit Co-operative Societies at sub-counties throughout the country.“Incentives should also be given in the form of reducing production costs and risks,” he said.“The private sector and our partners in development have listed problems relating to clearing imported goods through customs, obtaining investment finance, costly utility services and tax policy and administration.”The president said government would provide special but uniform incentives to deserving investors in the strategic areas of coffee, beef, fish, textile, dairy processing, agriculture and information communication technology. The incentives will include tax-free or low taxes on machinery and raw materials.Ends