Fellow Ugandans,
I extend greetings to all of you. I congratulate
you on finishing the past year and wish you good luck in the new. The
projection for this financial year is that our economy will grow by
6.2%. Last financial year, our economy survived the global economic
crisis, which had been running for several years. This decent rate of
growth shows us what can be achieved if you bear in mind that we only
had adequate electricity in the last two years when Bujagaali was
commissioned.
Otherwise, since 2005, we have been having either
electricity shortages or very expensive electricity because we were
using very costly imported diesel or Heavy Fuel Oil (HFO). Apart from
expensive electricity, there has also been expensive travel costs -
transport costs on account of poor infrastructure or the under
utilization of the infrastructure where it is good. This under
utilization has been, mainly, on account of administrative inefficiency
or just corruption both in Uganda and the neighbouring countries near
the Coast.
I must salute H.E. Uhuru Kenyatta because in the
short time he has been in office, he has already reduced the days it
takes a container from Mombasa to Kampala from 24 days to only 3 days.
The Kenya Government is also investing in a modern railway (standard
gauge). We are going to do the same in respect of the railway - build a
standard gauge railway system to Gulu-Nimule and to Kasese-Kabaale.
On the issue of road transport, as you can all
see, there is a vast amount of work of tarmacking many roads or
re-tarmacking the old ones. Kampala-Masaka-Mbarara is either finished
or about to be finished. Mbarara-Ntungamo-Kabale-Katuna is being worked
on.
Bwaise-Kafu has been rehabilitated.
Kafu-Karuma-Gulu is either being worked on or they are about to start
working on certain sections. Mbale-Tororo and Mbale-Soroti is being
worked on. Arua-Oraba and Gulu-Atiak-Bibia are being tarmacked.
Mbarara-Isingiro and Ishaka-Kagamba are being tarmacked,
Fort-Portal-Bundibugyo has been tarmacked, Kampala-Mityana has been
completed. Kabaale-Kisoro-Bunagana-Cyamika has been completed.
Only the other day, I launched the tarmacking of
Moroto-Nakapiripirit. There is a very long list of roads that we are
about to start tarmacking, including Mpigi-Sembabule, Mukono-Katosi and
many, many others whose list has been previously published.
Those three: the electricity, the railway and the
roads, are so crucial that if you do not deal with them, the economy
will never be transformed. Why? This is because, as I have told you
repeatedly, they influence greatly the costs of production, the costs of
doing business, in an economy. With these three undone, it is
impossible to industrialize and attract other businesses (services).
Why had we not dealt with the three decisively
before? We have tried very much to deal with these three. However,
when we over-depended on aid, we could not deal with them decisively
because that aid was never enough and the little that came in, never
came on time. We could, therefore, never make a decisive impact on
these three.
With a little bit of our own money, our tax
collection having gone from 5 billion shillings in 1986 to 9,000 billion
shillings today, we are able to tackle some of these three, provided we
discipline ourselves in terms of expenditure - limit consumption and
emphasize productive investment. We now have many road projects for
tarmacking. This has never happened before ever. The roads being
worked on or about to be tarmacked total to 3,012 kms.
To give an example, which I am sure all of you who
drive vehicles must be aware of, if you drive a station wagon
four-wheel drive from Kampala to Mbarara (283 kms) at the speed of 80
kms -120 kms per hour, you will use 50 litres one way to Mbarara if the
road is smooth as it is beginning to be. If, on the other hand, the
road is bad, you may go up to 60 litres for the same distance.
In terms of money, this would mean an extra 35,000
shillings per trip - 70,000 shillings for the round trip - to Mbarara
from Kampala and back. This is just a simple illustration of how poor
infrastructure quickly translates into higher costs for everybody -
producers and consumers. This figure does not include the damage of the
vehicle.
While the Government is winning the struggle for
infrastructure, the entirety of the people of Uganda must, universally,
immerse themselves in the struggle for the creation of wealth at the
household level. All the rural households that have land must do so
through commercialized agriculture. We have been talking about this
ever since 1995.
The idea of a four acres minimum plan for those
homesteads that have land: an acre of coffee, an acre of fruits
(oranges, mangoes or pine-apples), an acre of bananas for food and an
acre of elephant grass as animal pasture for mini-diary establishments.
In the backyard of homes, you should rear pigs and poultry. If all the
leaders could focus on this, the rural economy would change.
Working with soldiers, we have been able to
distribute 5 million seedlings of coffee, 1 million seedlings of tea and
350,000 seedlings of fruits, in just three months. Let all leaders
oversee the money we have been putting in NAADS. We recently said that
NAADS should be scaled down so that all the money that has been going
for salaries of NAADS workers be stopped so that we concentrate on
providing planting and breeding malaria.
No comments:
Post a Comment