From gloom to boom Gulu is now open to business

Jan 13, 2009

ON December 27, the Uganda Investment Authority (UIA) convened an investment conference in Gulu. It mainly targeted the Ugandan Diaspora.

NORBERT NORBERT

On December 27, the Uganda Investment Authority (UIA) convened an investment conference in Gulu. It mainly targeted the Ugandan Diaspora.

This article is largely a reproduction of the speech I wrote for the conference. I got the title by turning around the title of a Time Magazine article lamenting Russia’s descent from doom to gloom.

After over two decades of war, Gulu is now wide open for business. You can see for yourself what the war of two decades has done. Hundreds of thousands displaced, hundreds of thousands dead, tens of thousands of our children abducted, social infrastructure destroyed or neglected. When there is an armed conflict business flees. Investors are conflict-shy. They do not want to be engulfed in violent conflict.

Conflict destroys infrastructure, debilitates the labour force and ruins markets. The Juba peace talks, which also piggybacked on the comprehensive peace agreement between the SPLA and the Khartoum Government, have yielded enormous dividends. Today, in this forum, you will be a witness to not only what war can do but to what peace can do.

Since 2006 we have moved aggressively to rebuild our homeland. We have not only tackled the hardware like infrastructure, health centres and schools but also the software. We have inculcated in our people an attitude of tolerance and forgiveness as a way to promote community healing and social harmony. This is very much work in progress. Our belief is that peace is not just about an end to violence. Peace means giving the people a stake in the economy.

People want jobs so that they can earn incomes, which in turn enable them to pay for the education of their children, take care of their health and own homes. In short, the definition of peace for us must include an improvement in the quality of life of our people. That is why private investment is critical. Government can provide security, infrastructure and an enabling environment but private businesses, domestic and foreign, have a vital role to stand in the gap. Our local government is business-friendly, that is why Gulu is attracting scores of businesses. Since 2006 seven additional banks have made Gulu their home. Others are on the way. I am emphasising banks because by their nature, banks are very conservative.

By coming to Gulu and setting up bases with such speed they are giving a vote of confidence in the local economy. They are giving a signal that the gloom has turned into a boom! With a strong financial sector, industrialists, property developers, hoteliers, computer companies, supermarkets, retailers and wholesalers, and other service providers are making Gulu a centre of their operations.

We have made it our business to promote Gulu as the fastest growing business hub in Uganda.

In 2007, I met Kenya Airways CEO, Titus Naikuni and invited him to start a Nairobi–Gulu route. He agreed. This project also has the support of the line minister. Unfortunately the post-election violence in Kenya stalled this initiative but we are kick-starting it again. The upgrading of Gulu airport into an international airport will make Gulu a tourism hub. The tarmacking of Gulu –Olwiyo road will give tourists easy access to Uganda’s largest game reserve – the Murchison Falls Game Park and an opportunity to see one of the world’s most spectacular water falls.

There is more to be done. We need to have adequate energy. The construction of the hydroelectric dam at Karuma as pledged by the central government will be a boost for industry. In addition a commitment to bring the long armed conflict to a final end will create the stability necessary for investment.

On our part we have to ensure that investors can have access to the land needed for their projects. Due to the conflict, there is anxiety over land access by investors. In addition, returning IDPs see potential investors as a threat to their land rights. It is our job to ensure harmony on the land question. We are building political consensus in order to guarantee the local people their land rights while giving an opportunity to access land for investment without antagonising the local population.

This is possible through the creation of communal land trusts, which can be key partners in ensuring accessibility of communal land to investors. We are determined to have open debate on the land question. What we detest is when our people are made to appear as if they are blindly hostile to investors. That is totally untrue. There are just some disagreements over procedure. And through proactive dialogue and openness on our part and the part of the potential investors, this matter will cease to be a bone of contention.

We have also launched the Gulu District Investment Promotion Committee. Through this unit, we aim to attract, retain and nurture investment into Gulu. So why are we so confident about Gulu’s investment potential? Uganda may be the pearl of Africa but Gulu is the pearl of Uganda! Gulu is the heart of Northern Uganda (potentially the breadbasket of Africa with 16 per cent of Uganda’s arable land), strategically located with road and rail networks, an airport, a fantastically balanced climate, which can be a catalyst for trade, agribusiness and tourism. Gulu is the best-run district in Uganda. As a result we have received many awards from the Ministry of Local Government. The Ministry of Health also ranks Gulu No.1 in health services delivery. We do not have the squabbles, which characterise many local governments, and we have tackled corruption head-on through the power of personal example by our political leadership. The fact that my office and the RDC (who was my rival in the last elections for the seat I occupy) can work together in harmony is a testimony of the political maturity of our local leadership. Gulu is Northern Uganda’s hospitality centre with many lifestyle choices. You can visit tourist sites, the game park, go hunting or visit our many local markets. Gulu, as the traditional headquarters of Northern Uganda has a large workforce of skilled, semi-skilled and unskilled labour.

Our very own Gulu University is a growing centre for human resources development. Gulu has a high growth rate that has boosted the confidence of new businesses coming to Gulu. All these make Gulu one of Uganda’s busiest urban centres. Gulu has the potential to become one of Uganda’s leading tourism destinations. For now event-led tourism is our focus.

Lastly, we will work to improve the investment and socio- economic environment in partnership with the national government, lower local governments and organised private businesses.

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