Error message

  • Deprecated function: TYPO3\PharStreamWrapper\Manager::initialize(): Implicitly marking parameter $resolver as nullable is deprecated, the explicit nullable type must be used instead in include_once() (line 19 of /home/developmentgo/public_html/includes/file.phar.inc).
  • Deprecated function: TYPO3\PharStreamWrapper\Manager::initialize(): Implicitly marking parameter $collection as nullable is deprecated, the explicit nullable type must be used instead in include_once() (line 19 of /home/developmentgo/public_html/includes/file.phar.inc).
  • Deprecated function: TYPO3\PharStreamWrapper\Manager::__construct(): Implicitly marking parameter $resolver as nullable is deprecated, the explicit nullable type must be used instead in include_once() (line 19 of /home/developmentgo/public_html/includes/file.phar.inc).
  • Deprecated function: TYPO3\PharStreamWrapper\Manager::__construct(): Implicitly marking parameter $collection as nullable is deprecated, the explicit nullable type must be used instead in include_once() (line 19 of /home/developmentgo/public_html/includes/file.phar.inc).
You're here:
  • Home
  • Drivers
  • Enablers (2025-2030)
  • Private Sector Development

Private Sector Development

Private Sector Development (PSD) is positioned as the engine of Uganda’s Fourth National Development Plan and the 10-Fold Growth Strategy, with government reforms already laying the foundation for industrialization, job creation, and full monetization of the economy. Current statistics show Uganda’s private sector contributes over 80% of GDP and employs more than 90% of the labor force, making it indispensable for achieving the ambitious growth targets. Uganda’s NDP IV emphasizes sustainable industrialization for inclusive growth, employment, and wealth creation. The private sector is expected to drive this agenda by expanding manufacturing, agro-processing, ICT, and services. The private sector is expected to drive the massive surge in exports (targeted to rise from 13% to 50% of GDP) and domestic savings (from 21% to 40%) required to fund this ambitious leap.

 

Government has already implemented enabling reforms such as the Domestic Revenue Mobilization Strategy, the Public-Private Partnership framework, and the Investment Code Act (2019), which streamline investment processes and incentivize local and foreign investors. Government has further implemented strategic reforms to lower the cost of doing business and enhance enterprise survival. Key achievements include the establishment of 23 functional Industrial and Business Parks and the rollout of the Uganda National SME Portal to formalize and support small businesses. Strategically, the Presidential CEO Forum (PCF) was established to bridge the gap between high-level policy and private-sector realities. Recent statistics from the FY2024/25 preliminary reports show the economy grew by 6.3%, with the services and industry sectors, majorly private-led contributing 41.9% and 24.5% to GDP, respectively. Furthermore, the disbursement of over Ushs 43 billion through Emyooga and the Small Business Recovery Fund (SBRF) has provided a critical liquidity lifeline to grassroots entrepreneurs and SACCOs.

 

Looking ahead, the focus shifts toward aggressive global competitiveness and digital transformation. The government aims to increase Foreign Direct Investment (FDI) from US$3 billion to US$50 billion annually and double the share of medium-to-high-tech manufactured exports. Initiatives like the Electronic Fiscal Receipting and Invoicing System (EFRIS) and decentralized One-Stop Centers for business registration are being refined to eliminate bureaucratic bottlenecks. By addressing the infrastructure deficit and providing affordable credit through the Uganda Development Bank (UDB), the government intends to empower the private sector to create the 1 million new jobs envisioned under NDPIV, ensuring that Uganda’s growth is not only rapid but also inclusive and sustainable. Additionally, trade facilitation reforms under the African Continental Free Trade Area (AfCFTA) and regional integration efforts are opening markets for Ugandan firms. By strengthening Private sector development, Uganda aims to unlock innovation, create 1.5 million jobs annually, and raise household incomes, ensuring that the NDP IV and the 10-Fold Growth Strategy deliver tangible socio-economic transformation.