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Why Cuban doctors Five surprising things Beer boom:NBL invests lebrating
are controversial making you fat US$22million in expansion Ce

Issue No. 519 May 04 - 10, 2018 Ushs 5,000,Kshs 200, RwF 1,500, SDP 8
Years

Museveni looks for

new BoU governor
IMF’s Ating Ego, Kasekende,
Muhakanizi, Kizza in race

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Tel: +256-312-637-391/ 2/ 3/ 4 | Fax: +256-312-637-396 | E-mail: editorial@independent.co.ug,
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INBOX

Issue No. 519 May 04 - 10, 2018

Museveni looks for new BoU governor

IMF’s Ating Ego, Kasekende, Muhakanizi, Kizza in race

The Week The Last Word Analysis Business Arts &

Culture
4|PEPFAR approves Understanding 14|Cuban doctor 24|Beer boom:
$408million funding controversy : Nile Breweries
to Uganda
why nations Does medical spending
35|Artists as
activists:
fail: union, NOTU, US$22million
Bruno Ruganzu
4|MP Amongin How a book understand to match sales
explains the
endorsed for what they are growth
the Pan African
celebrated by fighting?
magnetism of
artivism
parliament job the world’s
leading
37|9 cool things
4|East Africa’s
economists 16|Runaway 25|Agent banking about new 2018
oldest chimp is actually an athletes: boost: Banks Toyota Corolla:
laid to rest intellectual Uganda’s top to cut costs by The Corolla has
sharing platform been redesigned
absurdity athletes; Kipsiro,
to reach millions of from the ground
Acon, reveal
4| Ellen Johnson customers up, and here’s
why they never
Sirleaf accepts why it will
prize for African
vanished
change Toyota
leadership forever

STRATEGY & EDITORIAL DIRECTOR: Andrew M. Mwenda
MANAGING EDITOR: Joseph Were
INVESTIGATIONS EDITOR: Haggai Matsiko
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PUBLISHER: Independent Publications Limited, Plot 82/84, Kanjokya Street, P. O. Box 3304, Kampala, Uganda
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2 May 04 - 10, 2018

 Offline

President Museveni (R)

welcoming a delegation
of investors from Saudi
Arabia, United Arab
Emirates and India at
State House Entebbe on
April 27. The delegation,
which was led by Eid
Abdulhadi Al Olaibi the “Do your work and let the other Cabinet
Chairman Trade, and ministers do theirs. It is high time you
Investment Committee
of International
did what was assigned to you so that
Chamber of Commerce others are held accountable.”Cecilia
discussed investment Ogwal, Dokolo Woman MP to Gov’t Chief Whip
opportunities in tourism, Ruth Nankabirwa on government business in
agroprocessing, ICT. etc.
Parliament

The president of the

Uganda Law Society
Simon Peter Kinobe,(M)
displays his certificates
after being inducted
as a member of the
Rotary club of Kampala
Wandegeya at the
Kampala Kolping Hotel.
“My husband could not have made the
Left is the president mistake of putting this land in his name.
Rotary club of Kampala The land belongs to me and my children,
Wandegeya Daniel not the Toro kingdom. The kingdom
Lubogo and right is
District governor minister of lands knows where Toro
Ken Mugisha.  kingdom land lies.” Tooro Queen mother,
INDEPENDENT/JIMMY SIYA Best Kemigisa testifying before the land
commission of inquiry

Pupils of Wambabya primary

school Hoima district
demonstrate how to make
reusable pads at the school
on April 27. Jane Goodall
Institute is empowering
girl children to reduce on
the number of girl child
school drop out rate in
Uganda.   INDEPENDENT/JIMMY
SIYA “Namugongo means a lot to us
as a church and also as a country.
Namugongo encapsulates the political
and religious history of Uganda.”Prime
Minister Ruhakana Rugunda while fundraising
for Martyrs Day celebrations due June 3

People left Students who Money

300 homeless by floods
in districts of 2700 graduated from
Uganda Management Shs147billion Uganda
borrowed to
Kabale and Rukiga Institute fight sex abuse

May 04 - 10, 2018 3

week
Okello, UN envoy discuss security in Great Lakes region PEPFAR approves $408million
funding to Uganda
Uganda is set to receive $408million
– about Shs1.5 trillion funding from
the US President’s Emergency Plan
for AIDS Relief (PEPFAR). The money
approved in Washington on April 20,
is planned to be spent on among others
procuring AIDS drugs and funding
HIV prevention activities between
October 2018 and September 2019.
The money is an increase from
last year’s $402 PEPFAR budget for
Uganda.
According to a statement from
the US embassy, PEPFAR’s 2018
Country Operational Plan will focus
on identifying and treating HIV-
positive men, supporting voluntary
male medical circumcision to help
prevent HIV transmission, intensifying
efforts to keep adolescent girls
Okello Oryem, Minister of State for International Affairs, (right) meets Said Djinnit, the Special Envoy and young women AIDS-free, and
of the UN secretary General at the Ministry of Foreign Affairs in Kampala on April 27. The special improving access to HIV prevention
envoy commended the efforts of Uganda, as well as organisations like IGAD, EAC, ICGLR towards and treatment for key and priority
supporting political processes and finding peaceful solutions in the region. populations, such as fisher folk,
prisoners, and sex workers. In
addition, PEPFAR-funded programs
MP Amongin endorsed for the Pan African parliament job will increase support to public sector
health facilities and commodity
Ngora woman MP ment was to present a can- supplies, which are vital in providing
Jaqueline Amongin who didate. testing and treatment services.
received the 2017 Mandela Amongin is not new to “We look to the Government
Leadership Prize has been the parliament. She was in of Uganda to expand its domestic
endorsed by parliament 2013 elected the president resources for HIV/AIDS programming
to run for the seat of Vice of the youth caucus and so that together, we can build a
Chairperson of the Pan also held a position of the healthy and prosperous future for
African parliament, the chairperson of the Rural all Ugandans”, said US Ambassador
advisory legislative house Economy, Agriculture and Deborah R. Malac re-echoing a call
to the African Union. Natural Resources. for increased domestic financing as
While the final polls hap- If handed the new the biggest part of the health budget
pen on May 10 in Midrand, Jacqueline Amongin responsibility, Amongin remains dangerously financed by
South Africa, Amongin says her focus will be foreigners. However, since 2004,
has to first seek support of Sudan to be presented as on mitigating effects of PEPFAR has invested nearly $4.5
the other countries in the the candidate for the region climate change, agriculture, billion in building Uganda’s capacity
region – Ethiopia, Djibouti, since each of the five blocs trade and infrastructural to respond to HIV/AIDS.
Sudan, Tanzania and South that make up the parlia- development.

*terms and conditions apply

4 May 04 - 10, 2018


East Africa’s oldest chimp laid to rest
At 54, East Africa’s oldest
known captive chimpanzee
was laid to rest on April.28.
Zakayo as he was known by
fans and conservationists had
succumbed to chronic gastro-
enteritis – inflammation of the
stomach lining two days before.
For nearly a decade, Zakayo
had remained a household
name and most popular inhab-
itant of the zoo, and the most
popular tourist attraction at
the Uganda Wildlife Education
Center (UWEC) in Entebbe.
According to Lawrence
George Opio, a Veterinary
More than 30 arrested in USAFI mosque raid
In an early morning raid on
Usafi mosque in Kisenyi on
April 28, a total of 36 people
suspected of involving in acts of
terrorism and radicalism were
arrested.
The operation by the police
together with other security
agencies was done after an
investigation into the kidnap
and murder of Susan Magara,
Doctor at the center, Zakayo’s
respiratory organs started fail-
ing and he could no longer take
his medicines well. “We started
medicating him orally and he
took his medication willingly,
and we were optimistic until
he refused to take his medicine
that included a combination of
ultra-vitamins, and antibiotics,”
he said.
During the funeral, UWEC’s
Executive Director David Mus-
inguzi said the remains of the
chimp will be preserved so that
visitors to the center could get a
chance of seeing him.
granddaughter to former first
Prime Minister Henry Kajura
gave them leads to a suspect at
the mosque.
According to Police Spokes-
person Emilian Kayiima, two
lives were lost during the
scuffle between police and
the suspects. “Two suspects
were shot dead as they tried to
fight our operatives. We had
According to UWEC records,
on June 10, 1964, Zakayo then
aged 1 was rescued in Bundibu-
gyo by an unnamed white man
who kept him for thirteen years
before being later surrendered
to the Zoo in 1976.
Zakayo was the alpha male
from 1976 to 2011, when he
ceded power to a younger
chimpanzee named Matooke
who was later toppled by
another named Aluma. At the
time of his death, Zakayo had
two wives – Ruth and Amina
and one child Shaka.
received credible intelligence
that one of the key suspects
whose name we shall not reveal
now to protect the investiga-
tion of the late Suzan Magara,
run to Usafi mosque in Kisenye
having known that was being
tracked,” he said. The suspects
were found with 60 rounds of
ammunition, 23 double edged
machetes, a bow and a laptop.
May 04 - 10, 2018
Week
Court adjourns
Lukwago, Kamya
case to June
The civil division of the high
court has set June 11 as the date
when the case in which Kampala
city Lord Mayor Erias Lukwago
accuses Minister for Kampala
Beti Kamya of masquerading as
the city’s political head shall be
heard again. This is after counsel
Mac Dusman Kabega represent-
ing Kamya sought an adjourn-
ment saying his client needed
more time to study the case file.
Kabega also said that the two
parties needed time to explore
chances of settling their griev-
ances amicably.
Lukwago had in early Febru-
ary ran to court over what he
called interference in his work
by the minister illegally pass-
ing off as the political head of
the city, which position legally
belongs to the mayor. Lukwago
for instance said Kamya usurped
his powers as the mayor when
she suspended council meetings
which he chairs.
According to Court docu-
ments, Kamya stalled the Coun-
cil meetings on grounds that
they are illegal and no longer
relevant to the city a decision
that Lukwago describes as irra-
tional.
In the petition, Lukwago seeks
orders to quash Kamya’s deci-
sion regarding the legality of
Council meetings and a decision
that subjects all his travels as
the Lord Mayor to a ministerial
permit supposed to be issued by
Kamya.
Lukwago says unless court
intervenes the sovereignty of the
people of Kampala who voted
for him as the city’s political
head will be put in jeopardy.
Erias Lukwago
5
Week
95% of cybercrimes go
unreported, report
According to the Uganda Cyber Security
report 2017, 95% of cyber security incidents
went unreported and yet of those reported;
only 4.4% of reported cases were followed to
successful prosecution.
The report released early this month by
the African cyber security specialist firm,
Serianu was the center of discussion last
week during a digital forensics training held
in Wakiso district. At the event, Richard Nda-
bione the head of the cyber unit at Uganda
Police said just three months into 2018, over Ellen Johnson Sirleaf accepts prize for African leadership
50 cases had been reported. He said last year
about 400 cases were reported which are esti- Ellen Johnson Sirleaf (Pictured) , the for- that women and girls across Africa will be
mated to have cost both private companies mer President of Liberia, accepted the 2017 inspired to break through barriers, and push
and the public over shs150 billion with most Ibrahim Prize for Achievement in African back on the frontiers of life’s possibilities.”
of the crimes relating to money laundering, Leadership at a special leadership ceremony The Ibrahim Prize recognises and celebrates
information alteration and electronic fraud. in Kigali, Rwanda on April 27. Speaking to excellence in African leadership. It is a
With technological development, experts guests from Rwanda and around the world, US$5 million award paid over 10 years, and
attending the training warned companies President Sirleaf said: “I’m honoured to be US$200,000 annually for life thereafter. Mo
to beware of people who use the internet to this year’s recipient of the Ibrahim Prize Ibrahim, founder of the Mo Ibrahim Foun-
engage in dubious activities and therefore for Achievement in African Leadership. dation, said: “It is wonderful to have a win-
encouraged business owners to train staff to I receive this distinction on behalf of the ner this year, and it is also wonderful that
be able to identify threats of cybercrime. many women and men who helped to navi- the winner is a she. How fitting that Presi-
Staff of the judiciary, Uganda Wild life gate the profound complexities of the post- dent Sirleaf is honoured here in Rwanda, as
Authority and Bank of Uganda benefitted conflict country that is Liberia. As the first nobody has done more for women, and the
from the training. woman to receive this award, it is my hope gender issue, than Rwanda.”

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6 May 04 - 10, 2018

Humour Did you know?
New plastic can be
recycled over and over

A new kind of plastic can, when

exposed to the right chemicals,
break down into the same basic
building blocks that it came from
Forum for Democratic Change (FDC) founding president Kizza Besigye has accused the government of and be rebuilt again and again.
interfering with his digital communications, including deleting “some of his Ugandan Twitter followers. The recyclable material is more
durable than previous attempts to
create reusable plastics, research-
ers reported April 26 in the journal
`Science’.
Only about 10 percent of plastic
ever made gets recycled, accord-
ing to a 2017 study in Science
Advances. But major impediment
to plastic recycling is that most
plastics degrade into molecules
that are not immediately useful.
Transforming those molecules
back into plastic or into some other
product requires many chemical
reactions, which makes the recy-
cling process less efficient. And
while biodegradable plastics have
 President Museveni has for the second time extended the tenure of the
Justice Catherine Bamugemereire-led land probe, and directed the Finance become popular in recent years,
Ministry to give the commission an extra Shs7.8 billion to complete business. they break down only if the right
microbes are present. More often
than not, these plastics end up
lingering in landfills or floating in
the ocean. Creating plastics that
could be broken down into their
building blocks and reused without
additional processing and purify-
ing could help reduce the pollution
buildup.
Polymer chemist Jianbo Zhu and
his colleagues at Colorado State
University in Fort Collins set out to
solve this challenge. The research-
ers were able to repeat experi-
ments several times, showing that,
in theory, they have a plastic that
Chief Justice Bart Katureebe said he feels naked when the public accuse judicial officers of corruption. could be infinitely recyclable. But it
is not perfect yet.
May 04 - 10, 2018 7

Inbox
Letters are
welcome !
The Editor welcomes short and
concise letters from our esteemed
readers on topical issues. Please
send them to:
The Editor, The Independent
Publications Ltd,
P.O Box 3304,
Plot 82/84 Kanjokya St,
Kamwokya.
Kampala,Uganda.
Email: editor@independent.co.ug
Hard life after
Museveni
Refer to: “Thinking
succession in Uganda”
(The Independent April
2018). Of course President
Yoweri Museveni ruling
for life is your burning
desire, Mr. Mwenda. You,
Tamale Mirundi, and others
will find it hard to live
comfortably once the old
geezer goes.
Empayipayi
Russia and World
War Three
Refer to: “Russians prepare
for World War Three” (The
Independent Online April
22.) Russia does not have the
resistance to withstand the
might of the western powers
jointly as they plan an attack.
The Russian government is
using propaganda to show
her nationals that it can
aggressively resist, but the
way the locals are being
advised to get food that can
last for many years is a clear
sign they are not ready to
fight.
Joshua Eriezer Isabirye
8 May 04 - 10, 2018
Follow us on Twitter @
http://twitter.com/#!/ugandatalks
Follow us on Facebook @
www.facebook.com/TheIndependentMagazineUganda
Museveni succession: The inevitable and undesirable
Refer to: “Thinking succes-
sion in Uganda” (The Indepen-
dent April 2018). “…in an
ideal world, I would like to see
Museveni go…” Very feeble
logic Mr Mwenda. In any world
Museveni will go; nobody lasts
forever! So if you are “thinking
succession” there are several
levels of analysis. The quality of
one opposition candidate is by
no means the most important.
Even an ideal replacement can-
didate can become irrelevant if
the institutions of the nation are
rotten beyond repair. The levels
can be read as:
Bobi Wine and Museveni succession
Refer to: “Thinking succes-
sion in Uganda” (The Indepen-
dent April 20). The rebuttal
from Dr. Joseph Bossa to the
article by Andrew Mwenda
is an example of an exchange
between two Ugandan “elites”
that assumes that in every
“political nonsense” there is
“political strategic sense.” They
try to follow an illusion that
there is a “Presidential politi-
cal notebook” ever written.
This is further from the truth.
In reality, Uganda is follow-
ing an unprecedented political
roadmap which is being rolled
out (primarily if not largely),
by the ongoing by-elections.
The election of Robert Kyangu-
lanyi a.k.a Bobi Wini could be
instructive. Bobi Wine’s victory
wasn’t only against the incum-
bent FDC official candidate but
also over NRM’s “mass party”
candidate. This can only be an
indication, that outside Ugan-
da’s political superstructure,
there is an informal movement
that is “not complying” with
the misrule/disorganisa-
tion within the political
 The inevitable; at some
point Museveni will no lon-
ger be president.
 The desirable or the pos-
sible: Policy changes. Many
poor policies will have to be
changed; the domination by
an ethnic minority should
be ended. The bloated
administrative structure
should be rationalised.
 Structural changes: the
presidency is too powerful
in comparison to the legis-
lature and judiciary. This
should change. Kampala is
too powerful compared to
parties. This is the very point
that Mwenda in so many words
has tried to recognise in these
pages. Mwenda does not want
to accept that, having failed
to realise his dreams within
the FDC early enough, Kizza
Besigye decided to build bridg-
es with well-meaning political
players who were focused on
regime change. In his efforts,
he has teamed up with 4GC,
SUUBI, TJ, JEEMA and Ken
Lukyamuzi’s CP but none has
paid him as handsomely the
partnership with Bobi Wine
who has non-structured “com-
mand” of the youth, which
is 70% of the Ugandan
popula-
News analysis Health Business
Tears over Malaria kills 200 Behind the Landlords lebratin
dead lions Ugandans everyday and Tenants Bill Ce g
Issue No. 518 April 27 - May 03, 2018
Ushs 5,000,Kshs 200, RwF 1,500, SDP 8
Years
Museveni
wants seven
year term
Details of
how his team
plans to get it
www.independent.co.ug
the countryside. The dis-
tricts are simply absurd; too
many, too small, too poor.
 Then the undesirable:
the possibility of these is
what makes the question
of succession important
- constitutional collapse,
whereby the nation fails to
put together a viable gov-
ernment (Somalia, Congo),
geographical collapse;
whereby the nation fails to
continue functioning as a
unit (Somalia).
Sserukeera
tion and not less than 83%
are unemployed. This is the
“New Resistance Movement”
(NRM). And as for now, Robert
Kyangulanyi is its “de facto”
president. The problem with
such reality is that it lacks
“intellectual connotations” and,
therefore, it lacks the praxis of
elite theories.
Rajab Kakyama

Understanding why nations fail
By Andrew M. Mwenda
How a book celebrated by the world’s leading
economists is actually an intellectual absurdity
L
ast Saturday, my intellectual friends
and me held a thrilling debate on a
book by James Robinson and Daron
Acemoglu titled `Why Nations Fail’.
The book became an instant bestseller when
it was published. Five Nobel laureates in
economics endorsed it. Four other econo-
mists I hold in high esteem did that same.
Jarred Diamond, whose work on the role
of geography in the economic prosperity
got me thinking in 1998, said good things
about it.
At our debate, Ramathan Goobi, an econo-
mist and lecturer at the Makerere Business
School who has internalised the book made
a good presentation of its core argument.
It is hard to argue against so many Nobel
laureates in economics and say they are
mistaken or deluded. Yet this is what I am
setting out to do.
The core argument of the book is that
prosperity is entirely determined by insti-
tutions. Countries with “inclusive institu-
tions” i.e. those what allow every citizen
political rights which translate into eco-
nomic freedom incentivise their citizens to
be more productive. Countries with “extrac-
tive institutions” enrich a small clique of
elites at the expense of the many.
The authors argue that it does not matter
where a country is located geographically or
its culture and initial endowments. As long
as a country has inclusive institutions, it will
prosper. To illustrate this point, they look
at the differences in economic outcomes
between North and South Korea. The two
nations have same culture and geography.
Yet their economic fortunes are entirely dif-
ferent. North Korea has per capital income
(nominal) of $665 while South Korea has
$27,800 i.e. 42 times richer.
On this basis, the authors conclude that
geography and culture are irrelevant to
prosperity. Chapter 13 is titled “Why
nations fail today: institutions, institutions,
institutions” to underline their core argu-
ment that seek ye first inclusive institutions
and the rest will be added unto you.
There is no doubt that institutions are
critical to economic prosperity. However, it
is absurd to argue that they are all that mat-
ters. Institutions interact with many other
factors like geography, culture, history,
initial endowments (like human capita),
timing etc. to produce prosperity. In other
words (and to use a cliché) institutions are
necessary but not a sufficient for prosperity.
The book is a study of income inequality.
The Last Word
What led the authors to an absurd conclu-
sion was that they made nations their unit
of analysis. Had they looked at inequality
generally – among regions, or ethnic groups
or even individuals within the same country
they would have realised the centrality of
other factors.
Take the different states in the USA that
are subject to the same inclusive institutions.
The richest state in America is Connecticut
with a per capita income of $39,373 while
the poorest state is Mississippi with a per
capita income of $21,036. Why this differ-
ence?
First, let us assume that somehow, the
institutions of Connecticut are more inclu-
sive than those of Mississippi. Even within
Connecticut itself, the different ethnic
groups living there and facing the same
institutions have Jews, whites and Asians
richer than blacks and Hispanics.
One can argue that blacks and Hispanics
are discriminated against hence their low-
income levels. But even within black and
Hispanic communities some individuals are
richer than their co-ethnics. Among whites
there are wealthy people like Bill Gates with
a net worth of nearly $91 billion, and many
other white people who sleep on the streets
without any income at all.
Income inequality exits between nations
but also within nations. And within nations
it exits between certain regions of the same
country and certain ethnicities within the
same country or even between individuals
in the same ethnic group. There are fac-
tors of history, culture, geography etc. that
shape these inequalities between nations,
regions, social groups and individuals. Insti-
tutions are only one such factor.
Let us return to the example of North and
South Korea. The GDP of South Korea is 82
times larger than that of North Korea ($1.4
trillion versus $17 billion). But when one
looks keenly at North Korea, one notices
that they are able – in spite of sanctions, low
levels of both GDP and GDP per capita – to
achieve exceptionally high levels of techno-
logical sophistication.
For instance, North Korea is able to place
satellites in space, manufacture highly
sophisticated tanks, armored personnel
careers, fighter jets, intercontinental ballistic
missiles, advanced artillery, etc. Indeed, if
the two nations went to war, North Korea
could easily destroy her rich southern
neighbour. North Korea is able to achieve
technological feats that African countries
Opinion
with 200 times her GDP cannot even
attempt.
Even a casual observer would immedi-
ately notice that what is holding North
Korea from prosperity is the choice of insti-
tutions – and I guess this is the reason why
Robinson and Acemoglu arrived at their
absurd conclusion. But it is wrong to move
from North and South Korea and conclude
that if Uganda or Malawi were given inclu-
sive institutions, these nations would pro-
duce products that would rival Sam Sung.
Robinson and Acemoglu ignored human
capital in their analysis of prosperity, an
argument I have been making for many
years now. While it is true that Ghana
and South Korea had roughly the same
per capita income in 1960, there are other
endowments that South Korea possessed
that allowed it to transform from a back-
ward peasant society into a modern indus-
trial economy. One such critical endowment
is human capital.
Beyond a shared language and culture, a
long history of nationhood and a state built
on meritocratic recruitment, South Korea
had high levels of human skills. In 1960, it
had well over 58,000 engineers and techni-
cians. As early as 1933, over 40% of total
industrial output in Korea was produced by
home-based factories; Koreans owned 26
banks, not to mention the large number of
managers and marketing executives.
There were also 1.5 million Koreans
working in Japan and another 1.5 mil-
lion working in Manchuria, China, who
returned after 1946. Many worked in
manual jobs but many others in factories
where they had manufacturing experience.
These initial endowments were funda-
mental to South Korea’s rapid transforma-
tion.
It is not true that if inclusive institutions
were hurled on Democratic Republic of
Congo with only nine university gradu-
ates, no engineers, managers, architects or
experienced civil servants – not to mention
absence of a shared language, history of
nationhood and statehood, it would in a
few years achieve what South Korea did.
Therefore institutions matter and matter
a lot. But they need many other factors
including culture, geography, and initial
endowments like human capital to bring
prosperity to nations.
amwenda@independent.co.ug
May 04 - 10, 2018 9
cover story

Museveni looks for

new BoU governor
IMF’s Ating Ego, Kasekende,
Muhakanizi, Kizza in race
By Haggai Matsiko

President Yoweri Museveni is looking to replace his long-serving Bank of Uganda

Governor, Emmanuel Tumusiime Mutebile. The Independent can exclusively report
that Mutebile’s replacement is likely to be a totally unexpected choice.

10 May 04 - 10, 2018

H
ighly placed sources at State
House, who could only
speak on condition of ano-
nymity because of the sen-
sitivity of the matter said
the process of vetting the
next governor of the central bank kicked off
in mid-April with Museveni’s head-hunters
contacting some of those in the running.
Mutebile’s job is the most coveted in
Uganda because of the prestige attached
to it. The governor is also the highest paid
government worker—earning over Shs53
million per month according to a May 2015
report by House Committee on Commis-
sions, Statutory Authorities and State Enter-
prises (COSASE). The position also comes
with a lot of independence to exercise
unfettered influence on the direction of the
national political economy.
As in the past, Museveni is looking at
individuals of impeccable character and
strong finance management pedigree to
match. It is, therefore, not surprising that
some of the top lieutenants at BoU and the
Finance Ministry are candidates.
Deputy Governor Louis Kasekende and
Secretary to the Treasury Keith Muhakanizi
are in the race for obvious reasons, while
former Director Economic Affairs at the
Finance Ministry, Lawrence Kizza, is an
unexpected though not surprising candi-
date. The real surprise candidate being con-
sidered is little known Micheal Ating-Ego,
who is a Deputy Director at the Interna-
tional Monetary Fund (IMF).
Insiders say Museveni is looking for
someone who can restore local and interna-
tional confidence in the central bank whose
reputation has over the last few months
suffered due to multiple scandals.
Mutebile, who was first appointed to
head BoU in 2001, is in the second year of
his five-year contract, which was renewed
in January 2016. If the governor’s contract is
allowed to run it will end in 2021 at which
point Mutebile would have made 20 years
as the head of BoU.
For most of this time, Mutebile has been
recognised locally and internationally as a
performer. The American (USA) Biological
Institute recognised Mutebile as an out-
standing contributor to Uganda in 2009. In
2011 and 2013, the Africa Banker Magazine
and African Investor Group (Ai), respec-
tively, named him the Central Bank Gover-
nor of the Year in Africa.
And going by the central bank’s core
strategic objectives upon which Mutebile
likes his performance to be judged: control-
ling inflation, regulating the banking
sector, and protecting overall stabil-
ity of the financial sector, many
might struggle to challenge
his competence.
Apart from 2011 when
inflation hit the highs of 30
percent, Mutebile has kept
President Yoweri Museveni
Nandala Mafabi
Joseph Bossa
inflation in check for almost two decades—
it currently is at 5.7 percent just about the
target.
On regulation and supervision of banks,
Mutebile likes to boast that although some
private banks have collapsed under his
watch, BoU has intervened effectively
and avoided contagion of the sector and
ensured the safety of customer deposits.
Based on this, Mutebile believes that BoU
has succeeded in delivering on its core man-
date of protecting depositors and the stabil-
ity of the financial system.
However, over the last few months,
fights amongst key staff, with the board,
the Finance Ministry, the Inspectorate of
Government and even parliament, have
mounted debilitating pressure onto Mute-
bile’s leadership and the reputation of the
central bank.
cover story
Mutebile has said that BoU has put in
place robust systems that ensure that all its
key officers “are all held to the highest pos-
sible levels of integrity”. But lately, the claim
that individuals of high integrity regulate
Uganda’s financial sector has become
shaky.
For instance, Mutebile fired Justine
Bagyenda, then-executive director Banking
Supervision, in a cloud of improper con-
duct. Then he brought in one Tumubwiine
Twinemanzi as a replacement but ran into
trouble for alleged non-compliance to BoU
recruitment procedures.
Since her sacking, Bagyenda’s bank
records have leaked revealing that she alleg-
edly has been holding billions on accounts
in local banks. The figure has been flagged
as suspicious wealth for a public servant
like her.
Ironically, it has emerged that even when
Bagyenda represented BoU on the board of
the Financial Intelligence Authority (FIA),
the same body was investigating her over
financial related crimes.
Bagyenda is also at the heart of BoU’s
controversial takeover and sale of Crane
Bank.
Only two years before its acquisition,
Crane Bank had posted profits in the range
of Shs50 billion. Many members of the pub-
lic questioned how BoU could declare such
a bank, which was among the four biggest
by deposits, to have collapsed overnight.
Even experts such as Joseph Bossa, a
former head of the legal department at BoU
told The Independent that BoU’s move was
baffling.
“How do you explain that a bank, which
is ranked as best performing, closes a few
years down the road like it has been struck
by lightning?” said Bossa, “Someone must
have slept on the job.”
Opposition stalwart and legislator
Nathan Nandala Mafabi was more brutal.
Demanding a full investigation into BoU’s
activities, Mafabi said most of the mess in
Crane Bank gained immunity due to collu-
sion, corruption, insider trading and fraud
that went undetected or was covered up.
The BoU sale of Crane Bank assets to
DFCU Bank has also stirred its own contro-
versy.
Sudhir’s lawyers have questioned how
the assets of Crane Bank, which they put
at Shs1.3 trillion were undervalued before
being sold to DFCU for a paltry Shs200 bil-
lion, moreover not cash.
In defence of the central bank, Deputy
Governor Louis Kasekende, who was at the
centre of the transaction has said that BoU
did not sell Crane Bank, “because no one
would have bought a bank with a negative
net worth of this magnitude”.
Kasekende’s claim has been found to run
counter to a BoU report that said up to 10
clients had been locked in a vigorous con-
test to buy Crane Bank.
May 04 - 10, 2018 11
cover story
However, to get to the bottom of the con-
troversy, parliament had ordered the Audi-
tor General (AG) to investigate the manner
in which BoU has taken over and sold assets
of seven banks since 1993. While the AG
was unable to investigate the Crane Bank
case, because BoU did not furnish them
with the requisite information, they found
that BoU had undervalued assets of some of
the defunct banks.
In December 2007, the AG reveals, BOU
signed an agreement with Nile River Acqui-
sition Company to sell the debt portfolio
of Greenland, ICB and Cooperative banks
at US$25 million (approx. Shs.8.9 billion
currently). The debt portfolio, however,
comprised of secured, poorly secured, unse-
cured, and unknown loans amounting to
Shs135 billion.
“I observed that there were no guide-
lines/regulation or policies in place to
guide the identification of the purchasers
of defunct banks,” the AG writes, “In the
absence of guidelines of the sale of banks,
there is a risk that bank assets may be sold
at a loss arising from conflict of interest
between BOU staff and the potential buy-
ers.” The AG’s wording on conflict of inter-
est was deemed pertinent, direct, and timely
as the Crane Bank saga raged.
The conflict of interest the AG is warn-
ing about has also been at the centre of the
Crane Bank saga. Court last year threw out
MMAKS and Bowmans, the lawyers who
advised BoU over the transaction over con-
flict of interest.
MMAKS advised Crane Bank at the same
time it advised BoU. Bowmans advised
BoU and is now listed amongst DFCU law-
yers according to the bank’s confidential
documents The Independent has seen.
The audit firms at the centre of the deal
have also been accused of conflict of inter-
est—they audited Crane Bank when it was
owned by Sudhir and severally gave it a
clean bill of health.
But, by the slip of a hand, when a few
months later they audited the same Crane
12 May 04 - 10, 2018
Bank on behalf of BoU, they found prob-
lems.
One of these firms is now one of the
DFCU auditors.
Bagyenda, who was at the centre of plot-
ting and executing most of these deals is
said to be perilously close to Timothy Mase-
mbe Kanyerezi of MMAKS, who at one
point represented Sudhir, BoU, then DFCU.
Meanwhile the taxpayer stands to lose
over Shs300 billion that BoU pumped into
Crane Bank before taking it over and the
subsequent court battles it is embroiled in
over the same.
On the other hand, DFCU Bank, which
purchased the assets and assumed the lia-
bilities of Crane Bank, recently announced
a profit growth to Shs127 billion in 2017 up
from a paltry Shs23 billion in 2017. Most of
this money was made off the Crane Bank
deal. If Mutebile leaves BoU before close of
the year, his departure will be linked closely
to his transferring of over 50 top officials of
the Bank. The move in February shuffled
nine executive directors who are just two
tiers below the governor, 13 directors, and
24 assistant directors.
The shuffle, which also saw Bagyenda
kicked out, followed a host of internal
scandals at the bank; including bungled
procurements and recruitment, collapse of
critical banking sector systems, allegations
of officials colluding with private banks to
milk billions of shillings from BoU, under-
mined roles, and corruption cases and mis-
management.
Mutebile’s transfer of staff was met with
defiance, even at board level, and some staff
and board members petitioned the Inspec-
tor General of Government (IGG) to block
the transfers and investigate the central
bank.
Matters only normalized after a March
27 meeting at State House Nakasero, where
President Yoweri Museveni ordered the
IGG not to intervene. He instead directed
that a special committee solve the crisis.
Museveni told the officials to keep BoU
issues out of the press—a pointer that he
was getting concerned about the implica-
tions of the bad press surrounding the bank.
This is not the first time talk of Mute-
bile being kicked out of BoU is emerging.
There was wild speculation that Mutebile’s
goose was cooked in 2011 when he faced
calls for resignation after testifying before
Parliament’s adhoc Committee investigat-
ing the management of Uganda’s oil sec-
tor. Mutebile controversially revealed that
President Museveni had directed him to
draw an unbudgeted US$750 million from
the Treasury to buy Russian fighter jets in
the midst of an inflationary economy. The
deal was criticised at many levels; it came in
after an election, costs appeared inflated to
enable skimming off to finance campaigns,
and appeared to breach central bank inde-
pendence.
When his contract expired in 2015, Mute-
bile is said to have survived because of the
prevailing political winds; former Prime
Minister Amama Mbabaza announced
abruptly that he would challenge Museveni
in the 2016 elections and Museveni is said to
have sought to placate Mbabazi’s tribesmen
by retaining Mutebile at BoU.
But these scandals have over time seen
Mutebile, an economist once praised for
steering Uganda’s economic stability from
the doldrums of the 1980s, turn into a sub-
ject of ridicule, branded as a regime lackey,
and called to resign by critics.
Further blotches to Mutebile’s tenure at
the bank include his almost single-handed
building up of the fortunes of city business-
man Hassan Basajjabalaba. Between 2005
and 2011, BoU allocated more than Shs300
billion to the tycoon from the Treasury to
pay debts, taxes, and subsidise his Kampala
International University.
In reality, the older scandals were not of
Mutebile’s making—mostly he was follow-
ing Museveni’s directives. But the latest
ghosts haunting Mutebile have very little to
do with Museveni. And this might explain
why he is now looking to drop his banker.

Brief profiles of the candidates to replace Mutebile at BoU
By Haggai Matsiko
D
espite his many weaknesses, BoU
Governor Tumusiime Mutebile’s
shoes might be too big for many.
Museveni’s decision to seek to
replace him comes at a very critical time for
Uganda’s economy. Tough decisions need
to be made and, insiders say, Museveni
needs a governor who can say it straight.
Mutebile is a straight talker.
Sebastian Mallaby, in his book ‘The
World’s Banker: A story of Failed States,
Financial Crises, and the Wealth and Pov-
erty of Nations’, described Mutebile as “
the chief architect of Uganda’s success story
and the greatest contributor to Africa’s
struggle against poverty in his generation.”
Profiling Mutebile, Mallaby treated
Mutebile as a man of equal caliber to the
book’s main subject, then World Bank Presi-
dent James Wolfensohn.
Mallaby said because of Mutebile, by the
end of 1986, President Museveni had yield-
ed to the IMF and World Bank economic
reform policies of structural adjustment,
stabilisation, liberalisation and privatisation
- leading to one of the most dramatic trans-
formations not only of an ailing economy,
but also of the World Bank’s engagement
with developing countries.
As the search for new governor heats up,
insiders have been mulling over the quali-
ties of those in the running and pointing at
what Museveni and his handlers will need
to consider. Many say Museveni needs the
counsel of some of the biggest brains in
central banking. He also must get someone
with “guts” and “some management abili-
ties”. That position was pushed by Paul
Volcker (former chairman U.S. Federal
Reserve).
According to The Economist, sometime
in 2008, Volcker, Stan Fischer (Bank of Israel
governor), and Jacob Frenkel (Fischer’s suc-
cessor) discussed the most essential trait of
a central bank head at a conference. Fischer
and Frankel agreed that having an econom-
ics PhD was a plus.
But a 2016 paper titled `How Do Central
Bank Governors Matter? Regulation and
the Financial Sector’, by Prachi Mishra and
Ariell Reshef, concluded that past work
experience was critical as it shapes central
bankers’ beliefs and preferences, which, in
turn, are consequential for policy outcomes.
So how do the candidates measure up?
Deputy Governor Louis Kasekende
In the current race, Deputy Governor
Louis Kasekende should be paces ahead.
Quite young and agile at 59, Kasekende,
has been seen as the natural successor to
Mutebile.
The economist rose
through the ranks to
become the Direc-
tor of Research,
Executive Director of
Research, and Policy
and finally DG.
From May 2006 to
2009, he served at the offices
of the African Development Bank (AfDB) as
Chief Economist.
In January 2010, Dr. Kasekende was re-
appointed Deputy Governor of the Bank
of Uganda. Insiders say his understanding
was that he would succeed Mutebile. The
magic year was supposed to be 2015, when
Mutebile’s contract expired.
And all indications were that Kasekende
would bag the job. Mutebile’s health had
deteriorated and talk was that he was no
longer capable of dealing with the rigours
of heading the central bank.
Unfortunately, for Kasekende, politics
came to Mutebile’s rescue.
Former Prime Minister, Amama Mbaba-
zi, who had since fallen out with President
Museveni threw his hat in the presidential
race.
In Mbabazi and Forum for Democratic
Change (FDC)’s Kizza Besigye, Museveni
was now facing two strong candidates
from Greater Kigezi. Having lost Mbabazi,
Museveni appointed Ruhakana Rugunda,
another Kigezi stalwart, as Prime Minister.
President Museveni also figured drop-
ping Mutebile, who comes from Kigezi
region could cost him the Kigezi vote. He
consulted about whether he could appoint
him for only two years—until after the elec-
tion—but was told it had to be five years.
That is how Mutebile got a renewal for
another five years and Kasekende lost the
shot.
This sparked a silent cold war between
the two men, which appeared to get out of
hand this year.
Insiders say the bank has been divided
into two major camps—the Kasekende
camp looking to eject Mutebile and the
Mutebile camp looking to defend the gov-
ernor at whatever cost. Indeed, insiders say,
it is these divisions that fueled fights over
transfers, which sucked in the IGG, parlia-
ment and President Museveni. And many
feel that the same will shape Museveni’s
final decision.
Keith Muhakanizi
The current Per-
manent Secretary
and Secretary to the
Treasury, Ministry
of Finance is a well-
known figure and
cover story
strong candidate.
If Museveni picks his current PSST for
the BoU Governor job, he will have contin-
ued a tradition where the PSST becomes the
BoU governor. Mutebile was previously a
PSST.
Lawrence Kizza
Kizza retired from
the Finance ministry
quietly in 2017 and has
stayed away from gov-
ernment noise and little
is known about him.
But in 2016 at the requiem
mass of former PSST Chris Kasami, Presi-
dent Museveni mentioned Kizza amongst
only four Ugandans who he said had
helped him manage the economy.
The other three he thanked were former
PSST and Auditor General, who now sits on
the BoU board, James Kahooza. The other
two were the late Kasami and Mutebile.
Of all these, Kizza was the most junior.
That is why Museveni’s action kicked off
protests at Finance. “How could he thank
only Kizza?” some senior officials won-
dered. Insiders say Finance Minister, Matia
Kasaija was forced by senior staff at Finance
to ask Museveni to recognize the others
later at another meeting.
Kasaija waited for the moment and
brought the matter before the president at
a meeting at State House Nakasero. “Mr.
President at Kasami’s requiem mass you
only recognized a few people yet many
have been working hard,” Kasaija told
Museveni.
“Mmmmmm!,” Museveni mumbled
before shooting back, “Are you the one who
tells me who to recognize?”
Kizza would later leave the Finance Min-
istry in 2017. Even back then, speculation
was that he would be named PSST, Finance
Minister, or BoU Governor.
Ating Ego
Ating Ego is little
known. But according
to some, his work in
the high echelons of
IMF should count and
his experience at the IMF
is associated with reform-
mindedness. He previously worked as the
Executive Director Research at Bank of
Uganda.
While others are reading into reports
that he is set to depart from the IMF to the
Macroeconomic and Financial Management
of Eastern and Southern Africa (MEFMI).
Others say his appointment would also be
seen to break the western stranglehold over
the national finance sector.
May 04 - 10, 2018 13
rwanda
By Stephen Nuwagira
T
he Rwanda government is looking
to Made-in-Rwanda initiative,
improving infrastructure and
creation of more jobs to transform
the country into a high income economy to
ensure high standards of living for citizens.
That is the vision the nation’s budget
framework paper indicates.
The strategy seeks by support
agricultural production to drive growth
and ensure sustainable development.
The government also plans to
expand exports to further bring down
the country’s trade deficit. Continued
promotion of import substitution is
supposed to go hand-in-glove with
diversification of the exports, according to
the document presented to Parliament on
April 30.
Rwanda’s trade deficit shrank by 21
per cent to $1271.9m in 2017, down from
$1624.6m the previous year. Still, Rwanda
is aggressively promoting a domestic
market recapturing strategy, where it plans
to increase production of some products
like cement, iron sheets, and medicines
with a view of reducing its expanding
import bill.
The government is also encouraging
consumption of locally-made products
under the Made-in-Rwanda initiative
to reduce exposure to external shocks
and trade imbalances. A study by the
trade ministry indicates that the country
could save almost $450 million per year
in foreign exchange through domestic
market recapturing strategy. The Made-in-
Rwanda initiative will continue to play a
key role in narrowing the current account
deficit in the short to long-run and help
to consolidate private sector domestic
activities, create jobs and boost economic
growth,” according to the Minister
of Finance and Economic Planning,
Dr Uzziel Ndagijimana. He explains
that the policies and strategies behind
the Budget Framework Paper for the
medium-term are hinged on government’s
aspiration to transform Rwanda into
high income economy and ensure high
living standards of Rwandans by 2050.
A Budget Framework Paper outlines
government’s economic policies for the
medium-term and lays the foundations
of the next fiscal budget. The government
plans to strengthen job-creation initiatives
under the Kora Wigire (NEP) programme.
It targets of 216,717 new projects to be
created in 2018/2019 FY as it moves to
reduce poverty among the masses and ring
down unemployment levels, especially
among the youth. The minister presented
the Budget Framework Paper to a joint
session of Parliament.
Rwanda plans to spend Rwf2,443.5
billion in the fiscal year 2018/19, which
14 May 04 - 10, 2018
Rwanda outlines
FY 2018/19 goals
All eyes on Made-in-Rwanda products
Uzziel Ndagijimana.   Stephen Nuwagira
is Rwf328.2 billion higher compared to
Rwf2,115.3 billion in the current 2017/18
revised budget. Of this, 62 per cent or
Rwf1508.7 billion will be raised from
domestic revenues (both tax and non-tax),
while external grants are estimated at
Rwf396.3, equivalent to 16 per cent of total
budget, and external loans are projected
at Rwf400.9 billion, representing 16 per
cent of budget. Over Rwf137.7 billion on
the money (6 per cent of total budget)
is expected to be got from domestic
loans. The country’s recurrent budget is
projected to be Rwf1,305.7 billion, while
development expenditure is estimated at
Rwf897.1 billion. Net lending is projected
at Rwf190 billion which will be used to
finance key government projects, such
as construction of Bugesera airport, and
expansion of RwandAir operations, among
others, according to the Finance minister.
As government continues to promote
consumption of local products, some
industrialists are suggesting it introduces a
tax on imports of products similar to those
already being made in the country. They
argue that the move, despite being against
the spirit of regional trade initiatives and
the recently signed African Continental
Free Trade Area agreement, will protect
industries and support the growth of the
young manufacturing sector.
A 25 per cent ‘luxury levy’ should be
imposed on imports of products that are
made in the country, as a way to “promote
consumption of locally-made goods,”
according to Suchir Bhatnagar, the general
manager of packaging material makers,
SRB Investments Rwanda. Bhatnagar
argues that this (increased demand for
local products) will help support growth
of Rwanda’s nascent industrial sector, and
build the capacity of manufacturers to
produce more and increase exports. This
will boost generation of foreign exchange
besides helping to narrow the country
expanding trade deficit, he adds.
Rwanda’s economy is projected to
grow by 7.2 per cent in 2018 up from 6.1
per cent last year on the anticipated good
performance of the service and agriculture
sectors, and a rebound of construction
activities and the mining sector. The
country’s Vision 2050 and national strategy
for transformation are guiding Rwanda’s
development and transformation goals.
Areas of focus next fiscal year
Apart from supporting agriculture,
industrial and infrastructure development,
next financial year’s budget seeks to
enhance the quality of education in schools
to meet the needs of the labour market and
to promote small business and enterprises
(SMEs). It will also support development
of public transport system, especially in
the city of Kigali, as well as that of the
tourism sector as it targets to become a
hub for hosting international conferences
and meeting under the country’s MICE
strategy. Improving access to healthcare
and fighting malnutrition are the other
focus areas.
Ndagijimana’s proposal will be
scrutinised by parliament before it’s
approved. Rwanda like other EAC
countries will read its budget early
next month.

Rwanda’s coffee exporters
embrace value-addition
Advised to partner with global firms in U.S., Europe
By Stephen Nuwagira
C
offee farmers always complain of
low farm-gate prices, saying they
earn little compared to the efforts
and resources invested in the crop.
As a result, some farmers have abandoned
the crop in favour of other cash and food
crops.
As coffee farm-gate price settled at
Rwf264 per kilogramme of ripe cherries this
April, some sector players attributed the
low price to the fact that Rwanda’s coffee is
mainly exported in an unprocessed form.
That is why ongoing initiatives that pro-
mote agro-processing are creating excite-
ment among farmers anticipating premium
prices for their beans.
One such initiative is a five-year part-
nership between Rwanda Farmers Coffee
Company (RFCC), a local coffee processor
and exporter, and Global Food, a US-based
firm.
The partnership that was facilitated by
National Agricultural Export Board (NAEB)
supports the Beyond Fair Trade model of
RFCC, and will see the processor export
$306,000 or Rwf246.2 million worth of
roasted coffee beans to the US market this
year. The firm trades under the Gorilla Cof-
fee brand.
“This will not only increase the country
export revenues, but will also greatly sup-
port farmers,” according to Eric Rukwaya,
the sales and marketing manager of Rwan-
da Farmers Coffee Company (RFCC).
The agreement will benefit 5,452 farm-
ers in six coffee cooperatives, helping to
improve their earnings and livelihoods.
Over 355,000 households depend on coffee,
and Rwanda mainly grows Arabica coffee.
Rukwaya says the partnership has given
the firm a platform to access the big US
market, noting that it is hard to penetrate
such markets which already have big play-
ers from across the globe.
He says that roasting increases value
of coffee to between $8 and $12 per kilo-
gramme on the world market compared to
about $4.5 for green coffee beans. This ben-
efits farmers in terms of better prices and
incentives, the official adds.
In late April, Rwanda Farmers Coffee
Company shipped a consignment of 10
tonnes of roasted coffee worth $77,000
Coffee for export
(about Rwf66.2 million) to the U.S. under
the partnership with Global Food. This is
highest volume of roasted coffee beans ever
shipped to the U.S. from Rwanda, accord-
ing Rukwaya.
He adds that the same amount of coffee
could have fetched only $42,000 (Rwf37
million) if the beans were exported in raw
form (green). Rwanda earned US$64.1 million
(about Rwf55.3 billion) from coffee exports in
2017.
Value addition is one of the targets of
the second Economic Development and
Poverty Reduction Strategy, the country’s
development blueprint.
According to Rukwaya, local farmers and
stakeholders have no choice but to embrace
processing to earn more and also make the
sector more competitive.
Bishop Theobald Samedi, a representa-
tive of Global Food in Rwanda, says it is
important for local exporters to partner
with global firms to ease their market entry,
especially to the U.S. and Europe.
“This way, we shall be able to improve
our exports and foreign exchange which
will contribute to national development.”
Samedi says the organisation is support-
ing farmers to improve production capacity
and quality, adding that they are targeting
36 tonnes of coffee this year. He adds that
the organisation supports government’s
programmes geared at increasing exports,
creating new jobs, and fighting poverty
rwanda
among the masses.
Pure Rwanda coffee
The firm buys green beans from farmer
cooperatives and roasts them at its Kigali-
based plant. Previously the firm used to sell
coffee blended with that of other origins,
including Brazil, Costa Rica, Kenya, and
Colombia.
“But now we market purely beans that
originate from Rwanda, thanks to sup-
port from government through the Export
Growth Fund managed by Rwanda Devel-
opment Bank (BRD),” says Rukwaya, add-
ing that processing and market the coun-
try’s coffee to global buyers requires a lot of
investment capital. The country’s specialty
coffee is sourced from selected washing
stations and cooperatives to maintain the
quality of the beans.
The new approach is a departure from
passive marketing, where exporters would
wait for buyers.
“We have started taking the crop to buy-
ers through exhibitions and other market-
ing approaches. This way, the buyers are
able to examine the quality of the beans and
also taste the coffee with us before making
buying decisions,” Rukwaya explains.
He is optimistic that the strategy will help
the country to boost coffee export volumes
and revenues, going forward, which will
boost incomes and living standards of farm-
ers. Last year, RFCC exported 4.5 tonnes of
coffee worth $36,000 to different markets,
including the UK, Germany and South
Korea.
“We target to export about 40 tonnes
worth $320,000 (Rwf273.6 million) this
year.”
Supporting farmers
Rukwaya says some of the profits are
reinvested in farmer support programmes,
including provision of inputs like fertilisers
and seeds, training, as well as loan guaran-
tees from BRD. In addition, two coopera-
tives that supply green beans to the firm
have received Rwf10 million worth of sup-
port. A wastewater treatment facility was
built for Sholi Coffee Cooperative coffee
washing station in Muhanga District, while
Gakenke’s Musana coffee washing station
members and area residents were provided
with clean water, says Rukwaya.
May 04 - 10, 2018 15
news analysis
Cuban doctors being flagged for an international mission.   NET/PHOTO
Cuban doctor controversy
Does Uganda Medical Union, NOTU,
understand what they are fighting?
By Flavia Nassaka
J
une 23 might mark a turning point
in Uganda medical service sector.
The National Organisation of
Trade Unions (NOTU) gave the
government up to that day to ensure it
has raised the minimum pay of health
workers. According to NOTU, the lowest
doctor should earn Shs5 million from the
current Shs1.1 million and a nurse should
earn Shs2.7 million.
But fireworks are expected in June as
the government is unlikely to comply
with NOTU’s demands. And President
Yoweri Museveni and his team are
preparing for the clashes, on two fronts.
First, by mounting a massive public
relations campaign highlighting the
government’s commitment to offer good
wages to doctors – and all other public
servants albeit incrementally.
While speaking at the May 01 Labour
Day celebrations at Ssembabule Town
Council playgrounds in Sembabule
District, Museveni said the government
is not opposed to the enhancement of
salaries of civil servants. But he said
16 May 04 - 10, 2018
since civil service employs only 1% of
the population and 99% are employed
by the private sector, it would be unfair
to devote most revenue to cater for
the salaries of a small fraction of the
population at the expense of the rest of
the population.
He said doctors inciting others to
abandon patients to die are “selfish,
unprofessional, and going against the
code of conduct of medical practitioners”.
“A doctor who preaches to others to
abandon patients because of salary is
a doctor no more. We in the NRA, we
were fighting for many years to liberate
Uganda without pay but we never
abandoned the cause. Even these UPDF
soldiers have been fighting and securing
the country either at no pay or low
pay but they have not abandoned the
country,” he said.
Museveni’s argument is central to the
government’s strategy on wages of health
workers under the National Health Policy
II 2010-2020. The Policy recognizes that
up to 50% of health services in Uganda
are provided by the Private Not for Profit
(PNFP) facilities affiliated to religious
bodies. These PNFPs have been able to
achieve better results in health with fewer
resources according to many reports.
They are also managed differently.
For example, while doctors in PNFPs
earn less than those in public service, the
nurses, midwives and others earn more in
private. The question is why?
The answer: Government hospitals
have far more doctors per patients served
than private hospitals, their salaries
have been rising over time, and they get
allowances such as retention allowance,
and top-up allowance on basic pay. The
government has also been constructing
three-bedroomed houses for them,
sponsors them for training, and offers
them a clearer career growth path than
the private sector. Finally, one report says,
“salaries and employment are guaranteed
in government facilities even when health
workers do not perform”.
It concludes: “If the government
increases salaries of health workers, it
may leave the PNFP sector understaffed”
as the health workers rush to fill up
positions.
Still, the government recently raised

wages of categories of health workers.
A senior medical officer/senior dental
surgeon who has been earning Shs1.3
million per month will now earn Shs2.7
million and an enrolled nurse will move
from earning Shs400,000 to Shs600,000.
Understanding Cuban doctors
But Museveni is arming himself in case
that fails to avert strikes. He is bringing
in mercenary doctors from Cuba. Will the
government’s strategy work?
Part of the reason it might work is that
NOTU and Ugandan medical workers
appear not to understand the force they are
confronting.
Take the claim by the NOTU Secretary
General, Peter Christopher Werikhe, that
the government is providing the full story
by claiming that the Cuban doctors are to
earn Shs5 million per month.
“Those Cuban doctors are going to live
in fully furnished houses,” Werikhe told
journalists in Kampala, “They are going to
drive luxury four-wheel Prados’.
Werikhe might be right and the doctors
might enjoy these perks. But they will
not care if they do not. In reality, Cuban
health workers are not thinking about
Prados when they think about their work.
Most of them do not have or dream of
having a car in Cuba. A few lucky ones
drive cars manufactured in the 1950s.
Most earn a meager average monthly
wage of US$20 (Approx. Shs75,000) and
take on second jobs to survive. The US
$1500, the government is offering them is
a fortune for them – even after the Cuban
government takes its cut.
When some of them worked to help
establish the Mbarara University of
Science and Technology (MUST), where
ironically some of the doctors now
fighting them studied, they were earning
US$300 and the Cuban government
was chopping off US$100 per month.
But that was not problem for the Cuban
lecturers. As internacionalistas, they are
usually contented with contracts that offer
housing and food.
As internacionalitas, the health workers
know they will be here for only two years,
and will make the most of it. Some might
even engage in some petty businesses.
Many Ugandans will recall the Cuban
boxing coach, Jimenez Lazaros, who
guided Ugandan national team between
1989 and 1992. Some of Uganda’s best
boxers; Fred Muteweta, Justin Juuko,
Geoffrey Nyakana, Godfrey Wakabu,
Abdu `Sabata’ Kaddu, Davis Lusimbo
and Alphonse Mubiru won continental
and Commonwealth medals under
him. Another Cuban, Rodolfo Gonzalez
Jimenez, won a Shs90 million two-year
contract to coach the Bombers. Hiring
Gonzalez was heavily fought.
So the Cuban health workers will
accomplish their mission with or without
the support of their Uganda colleagues.
They have been fought in many countries
where they operate. Even medics in
neighboring Kenya are opposing their
coming.
To understand this Werikhe and others
need to read a 2003 book titled ` Health
Travels: Cuban Health (care) On and Off
the Island’ by Nancy Burke.
The book contains some very interesting
stories about the role and experiences of
Cuban doctors in Uganda.
It, for example, tells the story of how
Museveni had to appeal directly to then-
Cuban President Fidel Castrol for a Cuban
doctor then in Mbarara to be released to
work in Uganda after he had saved the life
of a high ranking military officer.
The book details how Cubans played
an important role in fighting HIV/AIDS
in Uganda in the early years. Museveni
reportedly learned of the gravity of the
HIV/AIDS situation in Uganda from
then-Cuban leader, Fidel Castrol at a Non-
Aligned Movement meeting in 1986.
Castrol reportedly pulled Museveni and
gave him the bad news: Of the 60 soldiers
Museveni had sent to Cuba for training, 18
had the AIDS causing virus HIV.
“ I am worried it might reflect the level
of prevalence in the general population of
your country,” Castrol warned Museveni.
And he was right.
In another anecdote, the head of
Sports Science at Gulu University
then hatched a plan to get rid of the
Cubans there. It started because the
Cuban were highly trained and effective
news analysis
and were overshadowing Ugandans.
So the Ugandan boss wrote a report
recommending they be removed. When
he called them to inform them of the
decision they demanded to know why.
“It is because you cannot speak
English,” he told them. They were
shocked.
“But we are speaking English to you
right now,” they said.
“No,” the Ugandan boss insisted, “you
do not speak English”.
The story shows how carefully
regimented Cuba’s export of its doctors
is. The book explains that Cuban health
workers act as state-to-state envoys. That
is their ideological mission. In Venezuela,
for example, Cuba deployed 20,000 of
them under a `doctors-for-oil’ deal. But
sometimes they come under purely
service provision collaboration. That
appears to be the case in Uganda.
According to a report by Bill Frist who
covers global healthcare and reforms
in the influential business magazine
Forbes, the Cuban government reportedly
earns $8 billion a year in revenues from
professional services carried out by its
doctors and nurses in 100 countries.
Approximately 37,000 Cuban nationals
work under the programme. The
government collects a portion of the
money the doctors earn abroad.
In one example, from 2013, the Cuban
government entered a deal with the
Brazilian Health Ministry to send 4,000
Cuban doctors to underserved regions of
Brazil for as much as $270 million a year.
The programme was so successful that
in one year, the number of Cuban health
workers in Brazil had swollen to 11,429.
Of course Cuba was earning even more
money.
Cuban health workers have perfected
the art of serving in the most remote
areas of the most impoverished foreign
countries. Their specialty is primary
health care and emergencies.
Currently, for example, they are not
headed to only Uganda in the east Africa
region. About 110 Cuban health workers
are expected to land in Kenya by July.
While 100 will be involved in provision of
primary healthcare, the 10 are experts in
tackling malaria emergencies.
Medics fight back
The Uganda government is importing
200 Cuban doctors to be deployed in
hospitals across the country. The first
batch of 40 specialists will be deployed in
regional referral hospitals.
Sarah Opendi, the Minister of State
for Health (General Duties), and Public
Service Minister Muruli Mukasa told
parliament that the Cubans are coming to
boost health services and would be paid
$1500.
May 04 - 10, 2018 17
news analysis
PresidentMuseveni chats with Cuba's Ex-president Fidel Castro
The move is being fought.
“If resident doctors have not been
valued, what impact will the Cubans create
in a broken health system? Will they come
with their equipment, housing facilities,
electricity, water and much more?” a
protester wrote on a Whatsapp group.
But another member shot back: “Why
don’t I value local doctors yet I can afford
to pay for them? I spent a significant part
of my youth in medical facilities around
the country because my mother was
always posted in hard to reach areas that
were unpopular. In some of these places
I found Italian volunteers who worked to
serve the community diligently despite the
hardship. They never diverted a single pill.
It was easier to listen to the pleas of such
medical workers than the current crop
who can neither account for their time and
supplies entrusted to them”.
Dr. Ekwaro Obuku, a health researcher
and president of the Uganda Medical
Association says importing Cubans was
a rushed political decision that does not
contribute to transforming the health
sector.
He says the Cubans will also fail if they
work under the same conditions of not
having medical supplies.
Obuku should be aware that the Cuban
Health System has similar problems as
Uganda. The health workers are poorly
paid, infrastructure is in a poor state of
18 May 04 - 10, 2018
repair, equipment is mostly outdated, and
essential drugs are frequently lacking.
Unlike Uganda, however, the health
workers are not lamenting or striking.
Instead, they go about happily investing
in accessible primary and family
healthcare, and focus on providing access
to education, housing, and nutrition—key
non-medical or social determinants of
health.
As a result, the country is a world
leader in terms of doctor to patient ratios.
While Uganda grapples with 1: 24000 far
below the World Health Organization
recommendation of 1:1000, the doctor to
patient ratio in Cuba is 1:155.
The country is not only good here. They
have managed to cut infant mortality to
4.2 per 1000 births and while Uganda
largely focuses on treatment, the Cubans
have adopted a preventive approach to
medicine and offering the simplest check-
up to the most complex surgery, free
of charge and at the same time offering
quality.
This is the same approach that Uganda
wants to adopt, at least according to
Opendi. She says Cuba has introduced
the approach of offering quality with few
resources to many other countries. Kenya
and Uganda seem to be among their
newest clients.
Justinian Muhwezi Kateera, the
Executive Director of the Institute of Public
Policy Research, a think-tank that brought
the legal petition that prevented a proposal
to export doctors to Trinidad and Tobago
told the Independent that Cuban doctors
can play an important role in supporting
health systems in Uganda as it has done
in across Latin America, other countries in
Africa and Europe. 
“The invitation of Cuban Doctors is a
net medical brain-gain for us. There will
be a positive impact on patient care and a
unique opportunity for skills transfer,” he
says. 
For Kateera, while the likes of Obuku
have a valid appeal for equitable
investment in infrastructure, drugs
provision and human resource capacity,
it should not be an argument used against
medical brain-gain.
“Even if we increased per capita health
spending by say 1000%, and recruited all
medical graduates,  we would still face
constraints because our Doctor: Patient
ratio is still too low,”Kateera says, “That’s
why South Africa with 10 times our
spending still faces shortages and seeks to
recruit Ugandan doctors. So does UK or
U.S. which still recruit African and Cuban
doctors”.
Figures from the Uganda Medical and
Dental Practitioners Council (UMDPC)
show a total of 569 foreign doctors are
already working in different hospitals
across the country with many working

President Museveni and the first lady pose for a photo with Cuba's Ex-president Fidel Castro
in highly specialized fields like heart and
brain surgery. 33% of these expatriate
doctors hail from the USA, 27% from the
UK, 17% from Canada, 13% from Italy
and 10% from India.
According to Dr. Katumba Sentongo
the Registrar at UMDPC, when expatriate
doctors arrive they are screened for
knowledge of the area of specialty and
clinical skill and then are temporarily
registered to practice here.
Although, he said the council has not yet
seen the Cubans, Katumba says expatriates
are usually brought in by NGOs and some
government agencies to offer support
especially in highly specialised fields like
heart and brain surgery.
Like Kateera, Sentongo argues that there
is no country that does not need more
doctors; especially in areas that are lacking.
He notes that specialties like neurosurgery
and oncology are still in short supply.
Figures from the latest UMDPC
report show that by end of 2017, only
6 neurosurgeons were registered, 6
cardiothorasic and cardiovascular
surgeons, 6 dermatologists and 5 urologists
who are concentrated in Kampala and the
neighboring urban districts. Majority of
the practitioners have specialised in public
health, internal medicine and gynecology.
‘Losing more than we are gaining’
For Kateera, other than focusing on the
sarah Opendi Ekwaro Obuku
doctors coming in, Uganda should worry
more about the fact that the country is
losing more doctors than they are gaining
even as the country graduates about 300
medical students every year from the
various universities.
Last year 331 new doctors were
registered by the council making the total
number of registered practitioners in
Uganda 5894. However, when it came to
renewing practicing licenses, only 3961
doctors made renewal meaning that over
a thousand could have left the country or
the practice.
Meanwhile, 177 doctors sought a
certificate of good standing from the
council last year seeking clearance for
employment in other countries. And, the
number of those leaving could be bigger.
Katumba says there are countries
news analysis
that do not require medical workers to
present a certificate of good standing
before employing them and therefore
many more might be leaving the country
without the statistic being captured.
For those who stay in the country and
are employed in the public facilities, they
are usually absent from duty, according
to a 2016 report. It estimates that on
any given day, 37% of public healthcare
professionals do not report to work. This
is partly because they are busy in their
private health facilities.
For now however, the doctors demand
the positions to be filled by the Cubans
should be first advertised for potential
Ugandan candidates to apply so that the
expatriate option can only be considered
where there are no takers in the country.
Moses Mulumba, the Executive
Director of the local NGO – Center for
Health, Human Rights and Development
(CEHURD) says it being a public service,
the process of recruiting Cuban doctors
should be as transparent as possible and
should conform to the established legal
and policy regulations that provide for
hiring of doctors.
“My fear is this could be a political
decision considering it was mooted
during the doctors’ strike last year,” he
says, “For it to have an impact, it should
be handled by technical people.”
May 04 - 10, 2018 19
Government seeks
US$200mto subsidise
electricity connections
The government expect to double electricity
production to 2000MW in next two years
By Independent staff& agencies
U
ganda government
is in the last stages
of approving a free
electricity connection
fee policy for some parts of the
country to increase domestic
consumption, according to
Irene Muloni, the Minister for
Energy and Mineral Develop-
ment.
Muloni, who was speaking
during a signing ceremony
that took place at Ministry of
Finance headquarters on April
26 in which the Japanese gov-
ernment committed US$201
million for infrastructure
projects countrywide, said the
government is currently negoti-
ating with undisclosed financier
a US$200million loan to imple-
ment free electricity connection
to the population.
“Despite all our efforts, elec-
trification in Uganda is only at
22% which is very low. This is
worrying for the Ministry and
the government,” she said.
“If we are to realise industri-
alisation and add value to our
goods, more areas and more
Ugandans must be able to
access electricity that is reliable
and affordable.”
Moloni said the leading
factor hampering electrifica-
tion especially in upcountry
districts, is that people cannot
afford the connection fees.
Currently electricity connec-
tion fee range between Shs98,
000 and Shs2million depending
on the distance to the premises
and nearby electricity pole.
20 May 04 - 10, 2018
There has been increased connection activity.   COURTESY PHOTO
In addition, an inspection
fee of about Shs41, 000 has to
be paid first to the electricity
distribution company. At the
moment, there are 10 distribu-
tion companies in Uganda
although the two main ones by
clientele size are Umeme Ugan-
da and Ferdsult Engineering
Services. Muloni said Uganda
is currently producing excess
supply that is not being fully
used and this partly explains
the relatively high tariffs.
“Uganda is currently produc-
ing 950MW. We expect this to
be doubled to 2000 in two years.
So production is currently not
an issue in Uganda. However
this has not solved the issue of
limited domestic use of electric-
ity,” she said.
She said currently the gov-
ernment has connected all
district headquarters to the
national grid apart from four
which will also be connected in
the near future. This program
is to be extended to all sub-
country headquarters and later
to villages.
“For all areas that we will
extend electricity to, they will
be free connection to home-
steads. The owner will only be
charged money for wiring. We
are also putting in place tech-
nology that will ensure that the
wiring is done at an affordable
price,” Muloni said.
This new development
comes barely two months since
Umeme said it was ready to
work with the Ugandan gov-
ernment to increase electricity
connections in the country as
a measure to drive the cost of
electricity downwards.
This was in response to
President Yoweri Museveni
letter to Muloni dated March
21 expressing his dissatisfaction
about the company’s perfor-
mance in relation to tariffs.
The President said the com-
pany is cheating power users,
starting with fraud of inflating
the magnitude of technical and
commercial losses – which he
blamed on some officials in the
Ministry of Energy.
“I am now directing you to
furnish me with the explanation
on all these matters,” Museveni
wrote. In the same letter, he
stressed that there should be no
question of renewing Umeme’s
concession.
This prompted the company
officials including its chairper-
son Patrick Bitature and the
Chief Executive Officer, Selec-
tino Babungi, to hold a special
meeting with the President to
iron out issues regarding tariffs
and its entire operation.
 Executive Style
Taxify eyes bigger market
What has business been like
for the last six months you
W
have been in operation?
e have moved
people in thou-
sands in Kampala
and Wakiso where
we currently operate. We grow
two times almost every month.
But what is important to note
is that the company operates in
23 countries globally. We are a
ride-hailing app for ordering
rides that are quick, safe and
affordable. When we launched
in October 2017, we registered
all vehicles as long as they were
in good working condition and
comfortable to travel in. We
quickly realised that we were
missing a portion in the trans-
portation section which was
bodaboda so in February, we
launched boda rides and then
in April, we launched another
feature called XL that separates
six seater cars from the regular
four seater cars to provide more
convenience for our clients.
For starters, how do I take your
ride; how do I ride others?
For one to become our
customer, they only need to
download our application
from the play store or the apple
store and signup by creating
an account and following the
prompts. Over 90% of our
trips are cash at the moment.
Customers prefer that mode.
For drivers, they have to do the
same to sign up with a different
Taxify application. They will
be asked for basic information,
name, car details, valid drivers’
license, a profile picture, nation-
al ID or passport, third party
insurance for the car. When that
is done, we get in touch with
them, train them, and guide
them accordingly. Drivers
who have knowledge on how
this business works, a day is
enough for one to become our
driver. We rarely take vehicles
manufactured below 2000. We
can be lenient with you when
you come with one that is older
than that but when it is in a
very good condition.
Julian Byamugisha is the Head of
Taxify Uganda, which also operates
in 23 other countries globally. She
spoke to The Independent’s Julius
Businge about company operations
Why should one choose Taxify
and not the other means?
Our fares are 50% cheaper
than the market rate right now.
For an excel car [Super custom]
you will pay Shs900 per kilo-
meter, Shs200 per minute, and
you will find it cheaper to use
a Super Custom with friends
to go to places like Entebbe.
The country has become very
insecure because of kidnap and
murder cases, and theft. Should
a driver be involved in any
criminal offense, we can assist
the authorities with the infor-
mation to get them anytime.
How has the service been re-
ceived by the public?
Most of the people using
Taxify are the young genera-
tion. From the drivers perspec-
tive it was easy because there
was a player in the market and
they [drivers] knew how the
business operates. We take a
much smaller commission com-
pared to our competitors. We
are happy with most drivers
because their experience in this
market has helped us build this
business. We don’t care about
the number of drivers we have.
What is important to us is that
they are doing a good job.
Are there risks you worry
about in this trade?
Like any other business,
ours has risks. One big risk is
on security. But for us we are
big on this. We are working on
partnering with strong safety
providers to ensure the safety
of both our drivers and clients.
Some Taxify countries like
Nigeria and Kenya have safety
measures we shall soon imple-
ment here. We have trained our
drivers on emergence response.
What policy concerns would
you raise to those in power to
deal with in this sector?
There are concerns related to
bad road networks upcountry,
internet connectivity, and con-
May 04 - 10, 2018
gestion in the city. I think
security is what we need.
We also notice there is price
fluctuation for fuel which
makes our business unpre-
dictable. Also the price of
data has reduced but it still
remains expensive.
What is your comment on
government’s proposed
move to ban importation of
cars manufactured before
2011?
I think the reasons gov-
ernment is giving are that
these cars are not in good
mechanical condition, dam-
age the roads and pollute
the environment. If those
are the reasons, I don’t think
it is a valid move because
these cars are inspected
before they come in. It is
true in some countries they
don’t import cars that are
over 10 years old and I think
as a business we should
start moving towards that
direction unless one wants
to buy a vintage car. That
said we need to understand
our market. Uganda is expen-
sive to live in for Ugandans.
So if government wants to ban
importation of some cars, they
should give us a comfortable
alternative.
Where do you see the future of
Taxify in Uganda in the com-
ing years?
Taxify is not going any-
where. Our plan is to make sure
we bring onboard any driver
who wants to drive with us. We
are going to continue to evolve
and ensure we become a one
stop-shop for transportation.
Lastly, how do you manage
this business as a female man-
ager?
A business like ours is pre-
dominantly a male industry.
With my team here, I try to see
to it that we work together on
innovations. We ensure that
trust, reliability and time man-
agement drive our work.
21
business
Thomas Kamphuis (L), the incoming Director for Uganda and South Sudan for the Belgium-based AB InBev, the parent company of Nile Breweries Limited, receive a
file from the outgoing company Director, James Bowmaker on April 24. Bowmaker resigned in March this year citing personal reasons.   INDEPENDENT/ ISAAC KHISA
Beer boom
Nile Breweries Limited spending
US$22million to match sales growth
A
By Isaac Khisa
few months ago, a
highly respected and
accomplished director for
Nile Breweries Limited, a
subsidiary of the Belgium
based Anheuser-Busch
InBev NV, popularly known as AB
InBev, resigned. His name could be
familiar to you – James Bowmaker.
His decision to resign in March
this year was owed to the fact that his
children had completed education and
wanted to return home – South Africa
and pursue other personal interests.
“Leaving (NBL) after seven years
of being part of a great team that has
grown this business, is not an easy
22 May 04 - 10, 2018
decision, especially since I hold the
country, people and products so close
to my heart,” he said on April 24 at the
company’s premises located in Luzira,
a Kampala suburb, as he handed over
the button to the new director, Thomas
Kamphuis.
Kamphuis, who joins Nile Breweries
Limited from the headquarters of AB
InBev East Africa Business Unit (BU)
based in Dar es Salaam, Tanzania, where
he has been the Marketing Director for
the unit, will be in charge of Uganda and
the South Sudan markets.
During his first interaction with the
media, Kamphuis, who has over 17 years
of experience in fast moving consumer
goods companies, of which 14 years
have been in the beer industry, said the
local population seem to be increasingly
loving the taste of the company's beers.
He revealed that it is on this basis that
the AB InBev is investing US$22million
through its subsidiary Nile Breweries
Limited in upgrading its two plants –
in Jinja and Mbarara – as the world’s
biggest beer-maker steps up investment
on the African continent to meet
booming demand.
He said the company’s current
beer demand has outstripped supply,
necessitating the need for a new wave of
expansion.
“2017 was a remarkable year for us.
We were able to grow our volume with
25% with our core brands Eagle, Nile
Special and Club performing extremely
well,” he said.

“This led to capacity constraints and
we are upgrading our capacity in the
coming months to meet the growing
demand for our beer.”
He, however, remained cagey on
the production volumes that the
new upgrade will add to the existing
production capacity.
As a consequence, Kamphuis said
the company recorded a 50% growth
in revenue last year compared with
the previous year even as its overall
contribution to the parent company’s
profitability stands merely at 2-3%.
Five years ago the company sunk
US$80 million in a new plant in Mbarara
with a 65 million-litre production
capacity per annum, with potential to
increase to 180 million litres.
This boosted the company’s
production capacity to 245 million litres
per annum and 360 million litres at full
capacity compared with 180 million litres
that was produced at its plant in Jinja,
Eastern Uganda.
This, in effect, enabled Nile Breweries
Limited to grow its market share
from 52% to nearly 60%, according to
company executives.
The company exports 5% of its beer
products to South Sudan, where it closed
its beer production plant at the height of
political instability in 2015. It also exports
beer to Eastern Democratic Republic of
Congo, Burundi and Tanzania.
The latest expansion of NBL’s plant
comes in as many months since AB
InBev’s took over the South African-
based SABMiller – the latter’s former
parent company – at US$106bn in 2016.
Beyond Uganda
Similarly, AB InBev, whose foot print
span from Europe, Asia, United States
and now Africa, said in March this year
it had agreed to build a US$100 million
brewery in Tanzania.
The plans for the plant in Dodoma, the
company said, were agreed following a
meeting between President John Pombe
Magufuli and Ricardo Tadeu, AB-InBev’s
head of Africa.
The multinational firm is also building
a brewery in Nigeria that will start
production by next month, adding that
Africa’s fastest growth was the major
factor in the decision to buy SABMiller,
which had its roots selling beer to
miners in 19th century in Johannesburg,
according to Bloomberg.
Jorge Paulo Lemann, one of AB InBev’s
billionaire shareholders, said last year
that the continent’s rapid urbanisation
and warm climate could eventually see it
overtake the United States in beer sales.
Rival company, Heineken NV has
hired hundreds of sales staff and
invested in growing markets such as
Ivory Coast, Mozambique and Rwanda
since the SABMiller deal.
Industry challenges
However, various challenges
hamper the growth of the continent’s
beer industry especially the impact of
weaker oil and commodity prices on
key economies including Nigeria, South
Sudan and Angola.
In the Democratic Republic of Congo,
for instance, Heineken has closed
facilities and taken a write-down due to
high taxes and an economic slump last
year, while Nestle SA left the country
altogether.
AB InBev said it will start distributing
its flagship Budweiser brand in South
Africa this year and introduce an alcohol-
free version of SABMiller’s Castle brand.
Castle Lite, South Africa’s biggest selling
lager, remains popular, Tadeu said.
Meanwhile, AB InBev latest financial
performance shows that the company
recorded an increase in net profit for
the fourth quarter to US$3.04 billion,
compared with US$400 million a year
earlier, when the company was hit by an
increase in the cost of debt related to the
SABMiller deal.
Revenue rose to US$14.60 billion
from $14.20 billion.
The company said among its major
brands, global revenue from Budweiser
grew 4.1% in 2017, while Stella Artois
and Corona posted gains of 13% and
20%, respectively, during the same
period under review.
We were able to grow our
volume with
25%
with our core brands Eagle,
Nile Special and Club
performing extremely well,
business
Competition
The company’s plant upgrades
in Uganda comes as Nile Breweries
Ltd’s main rival Uganda Breweries
Ltd doubled its production capacity to
140 million litres in 2010 following the
expansion of the Port Bell-based beer
plant at a cost of US$20 million.
Uganda Breweries Ltd is a subsidiary
of regional brewing giant East African
Breweries Ltd, owned by the London-
based Diageo.
Industry executives say the projected
growth in the economy coupled with
the growing population in the country
are driving consumers to trade up from
cheap informal alcohol to commercially
branded brews, a trend that is likely to
continue for the foreseeable future as
the economy expands and consumers
become more affluent.
Data from Bank of Uganda shows
that the country’s economy is projected
to grow in the region of 6.5%, higher
than the average of 4.5% recorded in the
past six years. And though Uganda’s
average per capita beer consumption is
still relatively low at around 10 litres per
year, compared with around 12.4 litres in
South Africa, it has been ranked as being
among the highest alcohol consuming
countries in the world, largely due to
non-branded brews by the World Health
Organisation.
Taxes on beer
Kamphuis said the proposed excise
duty of up to 30% or Shs230 on every
litre of opaque beer such as Chibuku is
expected to push its price upwards.
“In anticipation of the tax, we
have taken up the price from the
recommended retail price of Shs1, 000 to
Shs1, 200 and the volume effect has been
devastating,” he said.
“Our volumes are less than a half
(and) so if we have to take it up one more
time, the volumes will disappear and the
product will have to leave the market.”
Nile Breweries Limited in 2013
introduced Chibuku, a modern but
traditional low cost beer brewed out of
maize, sorghum and yeast.
However, court is yet to determine
whether Chibuku is a local beer or
not, according to Ian Rumanyika, the
manager for public and corporate affairs
at the Uganda Revenue Authority.
Going forward, Nile Breweries
Limited’s Commercial Director, Isaac
Sekasi, told The Independent that the
company is planning to introduce five
new beer brands on the Ugandan market
as it seeks to strengthen its market share.
“At the same time, we also plan to phase
out some of the poor performing brands,”
he said, without naming the brands.
May 04 - 10, 2018 23
business
banking real estate

Stanchart opens Uganda’s Real estate dealers demand fair rent law
first digital bank AREA said they need a law that clearly sep-
arates commercial and residential buildings

C
ustomers of Standard
Chartered Bank are
experiencing new service
of a full-fledged digital
bank recently opened in Ntinda, a
Kampala suburb.
The Bank’s Managing Director,
Albert Saltson, said the new digital
branch, located at the Vivo Energy
Petro Service Station and fully
equipped with digital machines,
Chris Baryomunsi addressing participants
alongside AREA members at Imperial Royale
Hotel on April 27.   Independent/J.Businge
in terms of regulation and monitoring.
They also said that payment of rent in
foreign currency should be popularised in
the bill since the economy of Uganda largely
transacts in dollars. They also said that gov-
ernment should put in place a seed fund to
support players in acquiring cheap financ-
ing in the sector that currently contributes
5% to GDP.
They also want the bill to put in place
mechanisms to ensure that brokers and

will among other services offer
withdrawals, deposits, account
opening, paying utility bills,
money transfers.
Saltson said the new branch is in
line with the bank’s response to new
technologies that are aimed at serving
the customers faster and efficiently.
A
s parliament warms up to legislate
about the Landlord-tenant Bill, the
Association of Real Estate Uganda
says it is not against the bill but
wants one that is fair to all parties.
Speaking at a workshop in Kampala in
which over 50 members took part on April
27, Vincent Agaba, the former president of
landlords do not connive to cheat tenants.
The Landlord and Tenant Bill is being
designed in Parliament to regulate, formal-
ize the real estate sector that is currently
embroiled in confusion due to lack of clear
and strong legal framework.
Chris Baryomunsi, the State Minister for
Housing said the association’s views will be
incorporated in the Bill.

aviation construction

Ethiopian Airlines to purchase 10 new aircrafts Cement consumption in

A
frica’s fast growing performance to our operators, great example of the Q400
carrier, Ethiopian and we are proud that the turboprop success story and Kenya dips in 17 years

Airlines, has signed
a purchase agree-
ment with Bombardier for 10
new Q400 aircrafts.
Bombardier Commercial
Aircraft said on April 27 that
the value of the transaction is
worth US$332 million. “The
Bombardier turboprops con-
tinue to deliver unmatched
beverage
Coca-Cola’s recycling company to collect plastic waste
flag carrier of Ethiopia is once
again recognizing its tremen-
dous value by increasing its
fleet of Q400 aircraft,” said
Fred Cromer, President, Bom-
bardier Commercial Aircraft.
“The market trend for
high-performing and larger
turboprops is intensifying,
and this fifth reorder is a
the value it creates for clients
around the world.” Designed
as a modern, 21st-century
turboprop, the Q400 aircraft
is the most recent develop-
ment in the Q Series family of
aircraft. Currently, Ethiopian
Airlines has more than 100
aircrafts, flying to various
destinations globally.
C
ement consumption in
Kenya dipped for the
first time in 17 years to
6.2 million tonnes owing
to depressed demand in the con-
struction sector, Economic Survey
2018 shows. According to Business-
Daily, which quotes data from the
Kenya National Bureau of Statis-
tics, shows that 6.7 million tonnes
were used in 2016 but the volume
declined by 8.2 % last year.
Consumption has risen steadily
from year 2001. The last decline

C
oca-Cola
Beverage
Africa’s
subsidiary,
Plastic Recycling
Industries (PRI) has
unveiled a campaign
of collecting plastic
waste in Kampala and
surrounding areas in a
move to conserve the
environment. The waste
will be used to make
other products such as
chairs.
Speaking at the
launch of the campaign
at Zone 7 in Bugoloobi,
in Kampala on April 28,
Simon Kaheru, the
public affairs and
communications
director at Coca-Cola,
said the new campaign
is about getting all
Ugandans to separate
plastic waste from
other waste such that
the plastics can be
used for recycling
ultimately conserving
the environment.
He said new
partners including
Zone7 would be
Coca-Cola staff disposing of used engaged countrywide
plastics at Zone7, Mbuya on April to ensure that the
28.   Independent/J.Businge
campaign is successful.
happened in 2000 when it stood at
1.067 million tonnes compared to
1.111 million tonnes the previous
year.
“Cement consumption and
stocks decreased … in 2017 owing
to reduced demand in the con-
struction sector,” said the survey.
The decline is also in line with
the 22 % fall in the value of build-
ing plans approved last year. The
plans were valued Kshs 240.8 bil-
lion, down from Kshs308.4 billion
in 2016, the survey showed.
Previous surveys showed that
the major declines in the value
of building plans was between
1999 and 2002 when economic
growth was depressed for a
prolonged period.

24 May 04 - 10, 2018

 business
UNDP champions joint
oil development
By Julius Businge quantity of other renewable

U
ganda needs to team
up with other coun-
tries under the East
Africa Community,
the Great Lakes Region and
other African regions in the oil
development process ahead
of oil production slated for
2020 if it is to benefit from
the resource, according to the
United Nations Development
Programme (UNDP) Resident
Ivan Mugisha, Country Manager, RwandAir Uganda (R), handing over a dummy Representative, Rosa Malango.
ticket to Amanda Akampurira (C) one of the winners of the raffle draw during Malango, who spoke during
the Second Edition of the Innovation Series by Brainchild Burson-Marsteller the 4th oil and gas convention
held at the Pearl of Africa Hotel in Kampala on April 26. Looking on is Arthur held in Kampala from April
Mukembo, Regional Director for REMAX in East Africa. 25-26, said the co-operation
will deliver several dividends
in terms of joint exploration,
collective infrastructure, shared
costs, bigger market, compre-
hensive security programmes,
research, skilled professionals
and simultaneous transforma-
tion of the quality of life of
inhabitants.
She said shared understand-
ing in the sector could also
contribute to efforts to develop
a continental free trade zone.
She said care should be tak-
en to ensure that exploitation
of oil resources is done without
compromising the quality and
Kimera Henry, (R) team leader Consumer Education Trust, with Julius Mukunda,
CSBAG National coordinator briefing the press over civil society rejection of the
government proposed tax on mobile money. They said the proposed tax is likely
to affect the poor.   INDEPENDENT/JIMMY SIYA
natural resources.
This is based on the fact that
the Albertine Graben where
Uganda has discovered huge
deposits of oil and gas, is also
known for its rich biodiversity
which are part of the back-
bone of the country’s tourism
industry. “I would like to take
this opportunity to recog-
nize Uganda’s National Oil
and Gas policy (2008) which
provides a basis to improve
the conservation of natural
resources (Forests, Lakes, River
Banks and Wetlands), while
also improving infrastructure,
access to energy and education
in communities close to sources
of exploration or mining,” she
said. UNDP has supported
Uganda’s conservation efforts
and the responsible develop-
ment of her mineral sector.
In the past three years, it has
spent close to US$8million
supporting climate change,
environment protection and
reforestation projects.
The UNDP is also working
with African Caribbean and
Pacific (ACP) group of Coun-
tries on a European Union-
funded Development Minerals
Programme.

Weekly share price movement (April.30)

Security April 30 April 17 Movement
BATU 30000 30000 00
BOBU 134 135 0.7
CENT 1,526 1,595 4.3
DFCU 778 777 0.1
EABL 9,324 9,151 1.9
EBL 1,803 2,041 11.6
JHL 19,721 19,360 1.9
KA 438 455 3.7
KCB 1,831 1932 5.2
NIC 18 17 5.8
NMG 4,033 4,010 0.6
The new AB InBev, Director for Uganda and South Sudan, Thomas NVL 510 510 00
Kamphuis donating blood during the blood donation drive at City SBU 30 31 3.3
Square in Kampala on April 25. The exercise was organized by among UCHM 74 87 3.4
others AB InBev’s subsidiary in Uganda, Nile Breweries Limited, Monitor UCL 28 29 3.4
Publications Limited and Centenary Bank.
UMEME 400 410 2.4
ALSI -- -- --

May 04 - 10, 2018 25

advertorial
In remembering victims of the
1994 genocide against Tutsi, RSSB
promises survivors to never be alone
W
e will continue to
support families of the
former Social Security
Fund of Rwanda (Caisse
Sociale du Rwanda –CSR) employees
who perished in the 1994 Genocide
against the Tutsi”, Jonathan Gatera the
Director General of the Rwanda Social
Security Board (RSSB) said during
a commemoration event held at the
institution’s headquarters in Kigali on
April 27.
During the genocide, 19 employees
of CSR were killed leaving behind
orphans and widows and destitute
families.
In the aftermath of the genocide,
RSSB Director General Jonathan Gatera and Ibuka President Jean Pierre Dusingizemungu light a flame of hope at the
RSSB genocide monument erected in honour of former CSR employees lost to the 1994 genocide against Tutsi"
26 May 04 - 10, 2018
CSR and later Rwanda Social Security
Board –RSSB–after the former
was merged with La Rwandaise
d’Assurance Maladie (RAMA) to form
the latter took the step to support
these families to heal and rebuild,
financing education for eight orphans
and supporting entire families to forge
forward.
Addressing RSSB staff, and families
of survivors and friends at the 24th
commemoration of the genocide
against Tutsi, Gatera called for
continued efforts by all Rwandans
to fight genocide ideology as the
only means to ensuring a better and
harmonious future for the country.
He reminded the mourning
congregation that the masterminds
of the 1994 Genocide against the
Tutsi were leaders in high positions,
including some at the pension fund
explaining that there was a lot of
discrimination, marginalisation and
abuse directed at the Tutsi employees.  
During the event, orphans and
families of those who were killed in
the genocide read out the deceased’s
names and the memories of them that
remained in efforts aimed at ensuring
that they are never reduced to being
just numbers instead of people who
had characters, aspirations and
hopes, all of which were prematurely
 advertorial
cut short in brutal massacres that
characterised the 1994 genocide
against the Tutsi.
Survivors who throughout the
reading of their loved ones’ names
cried and mourned them thanked
RSSB for always giving them the
opportunity to remember with the
knowledge that there are loved ones
to give them a shoulder.
To facilitate remembrance of their
loved ones, RSSB erected a genocide
monument at its headquarters from
where survivors can mourn.
The event is part of ongoing
annual activities countrywide to
commemorate the 1994 genocide
perpetrated against the Tutsi for its
24th anniversary.
RSSB staff and survivors observe a moment of silence in honour of
 Killing of former CSR employees former CSR employees victims of the 1994 genocide against the Tutsi
planned by colleagues at the fund
Innocent Rurangwa, the Director
for Internal Affairs Unit at RSSB
said that the killings in CSR were
planned, according to research on
the events before and after genocide
conducted by the Fund.
Signs that pointed to the planning
of the killings included finding files
of the 19 workers separated from
the rest.
“Though the high level of
discrimination against the Tutsi
workers and plans to kill them were
known by managers, they kept a
blind eye and never intervened to
protect them,” he narrated.

“You are not alone”

Sister Immaculee Uwamariya
founder of Famille Espérance
(loosely meaning Hope family) Surviving families of former CSR employees lost to the genocide
called on survivors to avoid eulogise them with candles symbolising hope for a better Rwanda
isolating themselves or harbouring
anger against the perpetrators,
saying that forgiving and
reconciliation are the only anecdotes
of the pain they suffered.The
catholic nun who shared a message
of hope at the commemoration
noted that some survivors still
harboured resentment, anger or
usually blamed themselves for what
happened.
“These situations can be eased
through reconciliation and
forgiveness,” she noted.
RSSB’s message at the
commemoration focused mainly
on echoing the Board’s promise to
surviving families of former CSR
employees lost to the genocide
against the Tutsi and to all survivors
in general that they will never be left Survivors lay a wreath at the RSSB genocide monument erected in honour of
alone, that all Rwandans are with former CSR employees killed during the 1994 genocide against the Tutsi
them in the fight to heal and rebuild.

May 04 - 10, 2018 27

feature

Joshua Cheptegei coasts to victory in the 5000 metres race at the Gold Coast Commonwealth Games on April 08.   ONLINE/ PHOTO

By Ronald Musoke

H
ow do you keep a young,
ambitious, and poor athlete at
an international event in a rich
country that promises hope of
a better life from vanishing? Ugandan
officials in charge of athletes confront this
dilemma often and are expected to devise
ways around it.
A common tactic is to withdraw and keep
the athletes’ passports as soon as they are
presented to the competition area to have
them verified. Then they mount very tight
guard duty around the athletes at all times.
But, as the escape from camp of six of
the 69 athletes that represented Uganda at
the recent Commonwealth Games in Gold
Coast, Australia confirmed, the holding net
sometimes either breaks or is punctured.
The athletes vanished – three of them
without their passports.
Runaway athletes
Uganda’s top athletes; Kipsiro, Acon,
reveal why they never vanished
Months before the athletes set off for
Australia, the president of the Uganda
Olympic Committee; William Blick, in
January issued some threats.
“We are not going to tolerate such
incidents where athletes disappear when
they go for international events,” Blick told
Xinhua, a Chinese news agency, “We shall
act tough and start stopping associations
whose athletes vanish from taking teams for
international events.”
He also spoke about a code of conduct
that athletes would have to sign.
Federations also said they are coming
up with stringent sanctions to punish
officials who might be conniving to
help athletes disappear. But it was all
bark and no bite and failed to deter the
vanishing athletes.
Weeks after going through the
nightmare of losing the athletes, Beatrice
Ayikoru, who led Uganda’s team to the

28 May 04 - 10, 2018


Gold Coast Games, still attempts to put
a brave face on it.
“No Ugandan athlete has vanished
yet,”she told The Independent on April 26,
“Their visas are still valid until May 15.”
Ayikoru is right, technically speaking.
But for many observers, including Nicholas
Muramagi, the General Secretary of the
Uganda National Council of Sports (NCS),
it is obvious the athletes are not returning
home soon.
Muramagi is perturbed because he thinks
the 69 sports men and women that were
flagged off last month to compete in the
XXI Commonwealth Games got what many
athletes who vanish always claim to lack –
money. Muramagi says this contingent was
probably the best facilitated in Uganda’s
recent history. They each got a relatively
hefty upkeep of Shs7 million.
Muramagi blames the disappearance of
the athletes on laxity of one technical official
who dropped his guard. He failed to retain
the passports of three athletes. But what
about the other three athletes who ran off
with their passports?
Muramagi appears to have no answer.
“That is now beyond the control of those
officials,” he says, “All this is brought about
by a lack of career guidance.”
Only chance out of poverty?
Muramagi sounds frustrated. But some
big names in Uganda’s international
sports arena; Moses Kipsiro, Julius Acon,
Sande Bashaija, who have been speaking
out against the vanishing sportsmen and
women sound less keen to throw blame.
Some say for some athletes, international
sports events are not just about competition;
they present a real chance to escape
poverty and instances of oppression. Each
commentator is anxious about it for a
different reason, it appears.
Julius Acon, who won the 1,500m gold
at the 1994 World Junior Championships
in Lisbon, Portugal and is among Uganda’s
best ever middle distance runners, and a
member of Uganda’s parliament recalls that
when he began his athletics career in 1988
while in Primary six, he was poor and a
perfect candidate for vanishing.
He was born to poor parents, and
growing up in war-torn northern Uganda
in the 1980s, he could have been desperate
for any way out. But, he says from a young
age, he had a vision of making it to the top.
Even when he was spotted at a regional
primary school athletics championship in
Tororo in 1989 and brought to Kampala
to study at Makerere College School on a
scholarship, Acon remained focused.
“I had a vision to run and go to school so
that when my legs are done, my brain can
help me to get a job,” Acon says.
He soon won another sports scholarship
to the U.S. where he spent over a decade
running. He once held the 800m American
Collegiate In-season Record set in 1996
but he also focused on studying. Today,
Acon is a graduate of communication from
the University of Phoenix and an MP in
Uganda’s Parliament.
Acon says although most sportsmen
come from a deplorable background and
use the trips abroad as an opportunity to
run away from those conditions, it does not
have to be that way.
“Ugandan athletes need to persevere,” he
told The Independent recently, “When you
work hard and shine on the global stage,
everybody likes you but when you decline
and fade off the sports circuit, nobody
remembers you.”
Moses Kipsiro, a 2010 Gold medal winner
in the New Delhi Commonwealth Games
told The Independent on April 26 that athletes
who vanish abroad lack career guidance
and counseling. He says young athletes
need to be given a clear development path.
“If they had that, then they would not
feature
think that it is okay to run away to earn a
US$1000 doing odd jobs.
“If they only became patient for two or
three years, they would have the potential
to win much more money.
Kipsiro says the vanishing acts are also
down to the caliber of athletes that go out—
are they competitors or merely participants?
He was reacting to a question about why, it
appears, Ugandan runners never vanish at
international events.
“When we go there, we know that we
have gone to compete, we know that the
entire country is watching us and we will
concentrate on the performance,” Kipsiro
says.
He said it is easier for athletes from
other sports to think about disappearing
and search for better life because these
tournaments do not act as a platform upon
which they can realise their dreams.
Kipsiro says he finds Ugandan runners
more dedicated to their profession.
“It is all about what one wants to achieve
in their discipline,” he says.
Still, Kipsiro says, whenever runners are
in the sports village at international venues,
they are always being monitored by the
officials all the time. He says this might
not be the case in other disciplines where
officials are lax and do not follow up the
athletes. Sometimes the officials are also out
on shopping sprees, he says.
Kipsiro says most athletes who vanish
are from disciplines whose associations are
disorganized and fighting all the time.
“When the sportsmen and women go for
the tournaments, they have little morale,”
he says.
But Bashaija, a former athlete and
sports journalist, told The Independent
that the problem is unlikely to stop soon
because “conditions in Uganda are not
all that conducive for sportsmen”. He
says federations are not to blame and
making athletes sign a code of conduct and
retaining their passports throughout the
tournament, will not stop them vanishing.
“In Glasgow, every athlete handed in
their passport to the Uganda Olympic
Committee as a control measure but that
did not help,” he says, “the guys vanished
without their passports.”
For sports administrators, the trend of
young sportsmen and women choosing to
stay away from Uganda is worrying since
they keep losing talent.
For instance, when two boxers
disappeared in Australia, the boxing
fraternity added them to another talented
11 boxers who have stayed abroad over the
last decade.
Four years ago, at the Glasgow
Commonwealth Games, two rugby
players, Benon Kiiza and Phillip Pariyo,
disappeared.
Last October, Uganda’s Rugby Sevens
team again lost three players—Ramathan
May 04 - 10, 2018 29
feature

Most successful team ever

Uganda’s team at the
Gold Coast Games in
Australia brought home five
medals—three gold and
two bronze—one of the best
hauls by a Ugandan team.
 Joshua Kiprui Cheptegei
won two gold medals in
the 5,000m and 10,000m.
 Stella Chesang bagged
the women’s 10,000m
gold medal.
 Mercyline Chelangat
won a bronze in
10,000m.
 Boxer Juma Miiro won
a bronze medal in the
46-49kg weight category.

Ugandan athletes
Uganda female athletes, Mercyline Chelangat, Stella Chesang and Juliet Chekwel perform a lap of honour after
Chesang (gold) and Chelangat (bronze) won medals in the women’s category of the 10,000 metres race on April 09.
who vanished
 Boxers: Bashir Nasir and
Regan Simbwa
Govule, Brian Kikaawe and Fred “Pepe” Odur Leone, and Cameroon vanished.  Weightlifters: Irene
disappeared after the Oktoberfest Sevens in Ssali, a former national footballer turned sports Kasubo and Khalid
Munich, Germany. commentator, sounds readier to talk about the Batuusa
realities. He says it is all about money and seeking  Table tennis: Halima
A Sub-Saharan problem a better life. Although he does not condone the Nambozo
Kipsiro says the trend of vanishing athletes is vanishing, he has come to expect it every time  Cycling: Vienna
not good because it gives Uganda a bad name. a contingent of athletes flies out to participate Ssekanga
“In future it might be difficult for Ugandan in these international sports events. He says he
sports men to be invited for certain events,” he even knows sportsmen and women who work Sub-Saharan
says hard to qualify because they know it is their best vanishing athletes
Julius Acon, a retired Ugandan middle distance opportunity to get out there.
runner who currently represents Otuke County in “Quite often, they have already gotten in touch  2006 Commonwealth
Parliament, makes the same point. with people who are already there to receive Games held in
“Ugandans already have a bad image in most them,” he says, “People are always looking for Melbourne, Australia:
consulates and embassies,” Acon who is also the greener pastures and these young people think One Tanzanian and three
Vice Chairperson of the Parliamentary Committee these greener pastures are out there.” Nigerian athletes.
on Education and Sports told The Independent.  2002 Commonwealth
He says increasingly it is becoming difficult for The hassle after vanishing Games in Manchester,
Ugandan athletes to attend international events But Bashaija says although the sportsmen England: 21 members
because they are denied visas. looking for greener pastures often establish out of 30 Sierra Leone
“They now have to prove to the immigration contact with some people already living in athletes.
officials their financial capability and prove that competition cities before they depart and have  Another 26 athletes from
they intend to come back home,” he says. some leeway because their visas are normally other countries, including
In August, 2015, members of a Ugandan valid for an extra month or two, they often begin nine Cameroonians,
kayak and canoe team were denied the right to hassle when the visas expire. vanished.
to participate in the World free style kayaking Ssali says, to stop the trend, Uganda needs to  82 athletes, coaches and
championships on River Ottawa in Canada. find a way to give its sportsmen and women a other delegates filed for
According to a report by The Ottawa Citizen, better life. He says one way would be to develop asylum in the United
Canadian Immigration officials based in Nairobi a systematic route of sending or promoting its Kingdom during the
twice rejected visa applications from the four athletes into the professional ranks. Olympics, including a
athletes over concerns they will not return. “If these young sportsmen and women knew Sudanese athlete who
Even if the Ugandan kayakers had supporting that there was a clear way of making it into the walked into a London
documents from the host Canadian association, professional ranks after hitting certain heights, police station to claim
the immigration officials said the reasons given those boys and girls would be patient, go to these asylum before the
in their visa applications for the proposed visit to tournaments and come back, well knowing that opening ceremony even
Canada were “unclear.” their country has a deliberate and systematic began.
But Mark Ssali, who is a veteran sports programme to help them go professional,” he  2012: Commonwealth
journalist, says the trend is not unique to Uganda says. Games in Glasgow,
and affects many sub-Saharan African countries. Kipsiro, Muramagi and others agree that the Scotland: Two Ugandan
At the Gold Coast Games, for example, sportsmen government needs to improve their welfare if rugby players vanished.
and women and coaches from Rwanda, Sierra Uganda aims to retain its sportsmen.

30 May 04 - 10, 2018


By Enock Nyorekwa Twinoburyo
Development lessons from Rwanda
The intimate connection between political and
economic institutions is the heart of development
I
recently visited the Rwanda –
residing largely in Kigali.  I was
particularly impressed at the
transition and strong faith by
citizens in their development trajectory.
There is strong unionism and strong
determination to do good.
Talking loosely to colleagues, I
intimated that a good number of officials
in government - needless to mention
the President, private sector and
other stakeholders had strong roots in
Uganda where some even profited from
Government of Uganda bursaries and as
such, they should pay us 0.5% of their
tax revenue for over the next ten years.
If this was feasible, now would have
been a good time to make this case,
because Rwanda is increasingly growing
towards self-sufficiency.  In the next
financial year, 84% of the budget will be
funded by domestic resources and this is
the highest in the region.
There are a number of reasons to
underpin this strong progress in tax
revenue and strong sense of effective
public service delivery which collectively
built strong social contracts.
The question then becomes: Why is it
that those who were nurtured and raised
to some extent in Uganda – are doing
(‘diding’) it in Rwanda?
The answer may lie in one of my
favorite books – `Why nations fail:The
Origins of Power, prosperity, and
Poverty’ by Daron Acemoglu and James
Robinson. In this book, the authors
interrogate a pertinent question why
some nations become rich and others
remain poor. The answer backed by over
thousand years of economic history is
that institutions (economic and political)
matter.  The intimate connection between
political and economic institutions is
the heart of the major development
contribution. I must contend that the
scope of this article is not to contextualise
the book on Rwanda or even draw
comparisons between Rwanda and
Uganda. While I acknowledge that no
model is absolute, from an observations-
based perspective, there may be some
lessons I think – we could draw from
Rwanda.
In the economics that works,
simplisticity is the key. But to do it
effectively and efficiently requires doing
the right thing and doing it right. This
is the message coming from the top in
Rwanda.
This top down approach has arguably
been pivotal to building strong
institutions from basic foundations
and the system has no room for
complacency. This is also demonstrated
by the recent changes at the ministries of
infrastructure, agriculture, and education
board as well as the mayor of Kigali.
The public sector should not be a
haven of inefficiency.  This message was
also underlined by Kenyan President
Uhuru Kenyatta when he presided over
the Pakasa Forum in Uganda in 2014. He
indeed showed remorse - nostalgically
referring to the 1960s and 70s when
public service delivery was diligent and
undertaken with pride by civil servants.
Public service delivery has far
reaching effects on the wide economy
and trickle down is contingent upon
level of efficiency of public service.
The global ratings in doing business,
global competitiveness, corruption
index among others put Rwanda ahead
of its regional peers. In fact, Rwanda
If this was
feasible, now
would have been
a good time
to make this
case, because
Rwanda is
increasingly
growing towards
self-sufficiency
comment
is amongst the only four African
countries ranked in top 50 in Corruption
Transparency International index.
The high quality of infrastructure;
especially roads, is nakedly evident
to anyone who visits Kigali and
neighbouring towns. There is consistency
of the quality of the works across the
national roads, both in terms of greening
the road reserve and street lighting.
Until 2017, Rwanda had more traffic
lights than Uganda. This is despite
the fact that Uganda has 7 times more
cars and also more tarmacked road
mileage than Rwanda. Key focus is
also paid towards road maintenance.
One observable contrast, in Uganda
– you see mushrooming private
infrastructure without commensurate
public infrastructure. This is the reverse
in Kigali; visibly public infrastructure is
leveraging private settlements.
Digitalisation agenda is real. This
covers but is not limited to city bus
transport, nationwide street parking,
centralised billing machine receipts
even in modest bars and restaurants
(‘funa receipt yo’ is operational),
e-procurement, e-tax filing system,
renewal of ibyangombwa (passports,
driving permits, national ID) among
others. Digitalisation reduces informality
and improves efficiency of tax
administration.
In conclusion, strong institutions build
positive sentiments and attitude requisite
for economic transition. The journey
is still long for Rwanda but arguably
institutional environment works even at
local communities level (Umudugudu).
The latter is key in execution of local
community works (every Saturday of
the month). Rules matter. To mention
inter alia –no littering, no polythene
bags, the so called boda bodas (motos)
have helmets, seat belts are a must, and
speed limit is 60km/hour (highest). I
must underline that some of these rules
despite being backed by law have failed
to work, to some extent, in Uganda.
Dr. Enock Nyorekwa Twinoburyo is an
economist based in Kigali
May 04 - 10, 2018 31
comment
By Cissy Kagaba
Magic of Cuban doctors
Why bringing them in a hostile
environment may not solve the
problems of a malfunctioning
healthcare system
T I
he recent rather inter-
esting proposal by the
government to hire
Cuban doctors who
would earn Shs5.4 million a
month has attracted diver-
gent views. There has not
been sufficient stakeholder
engagement on this issue,
and this could partly explain
the cold feet publicly devel-
oped by the Uganda Medical
Association (UMA), who
might have “tickled” govern-
ment the wrong way during
their recent standoff over
wages and working condi-
tions and possibly prompted
this preposterous proposal
from government.
One wonders at which
point the government
realised it has a shortage of
medical specialists, consider-
ing the same does not appear
in the Health Sector Strategic
Plan.
Cuba is ranked highly for
the friendliness of her people.
However, if its doctors arrive
in Uganda amidst this “ani-
mosity”, they likely to choke
on and be bogged down by
intrigue, office politics, lan-
guage barrier, cultural dif-
ferences. These constraints,
which as per the default
settings configured already
by the opposition of medical
professionals, will make it
difficult for the doctors to do
anything useful. It is frustrat-
ing working in a country
where one is not welcome;
worse still by your fellow
professionals.
UMA has valid concerns
which should have been
addressed even before the
government went public with
this proposal. The medical
professionals’ argument on
wage differentiation, which
are unfair and fall short of
32 May 04 - 10, 2018
the World Health Organisation
Code of Practice on the Recruit-
ment of International Personnel
adopted at the 63rd World
Health Assembly in May 2010
to which Uganda is a signato-
ry. Much as the code is a vol-
untary instrument, it requires
that physicians who migrate
be paid the same as domestic
physicians of the same rank.
Basic human resource man-
agement principles should
inform the decision makers
that it is unfair to pay these
visiting physicians, some of
whom may be lower in rank
than our eminent senior con-
sultants, a higher salary than
our own whose persistent cry
for better wages has led to cat
and mouse games between
the state and the medics.
A number of health centers
do not even have the basic
facilities and supplies to
handle and treat patients. It is
not surprising therefore, that
the private sector is booming
because they have modern
diagnostic machinery not
found in government facili-
ties. Bringing in Cuban doc-
tors may not solve the issue
unless the Cuban doctors
come with a magic wand to
activate a malfunctioning
healthcare system.
The government should
address issues that cause
medical specialists to shun
government health facilities
and instead opt for their
private clinics. Moon-
lighting by some medical
officials is caused by inad-
equate pay and creating a
special package for foreign-
ers over our own trained
doctors is absurd.
Cissy Kagaba is from the Anti-
Corruption Coalition Uganda
(ACCU)
By Isabella Bwiire
Parliament and human rights
Why legislature needs to embrace
activism and duty protect and
promote human rights
n the exercise of its legisla-
tive powers, Parliament
must promote human rights
in three specific ways: It
must repeal all existing laws
that violate the rights protected
in the constitution, ensure that
none of the laws it adopts vio-
lates human Constitution, and
finally, it must enact enabling
legislation to implement the
Human Rights Conventions to
which Uganda is a signatory.
While these tenets might
sound obvious, ensuring them
is not always simple because the
human rights aspects of legisla-
tion might not always be readily
apparent.
A tax or finance Bill, for
instance, might not readily
reveal the human rights impli-
cations. In all instances, how-
ever, parliament should pass
laws that are socially relevant
in order to avoid problems in
implementation, as is the case in
the law on defilement.
Parliament also has a duty to
repeal all existing laws that vio-
late the rights protected in the
Constitution. A significant por-
tion of Uganda statutory laws
is an anachronistic inheritance
from the colonial era when laws
were not designed to reflect the
will and intent of a democrati-
cally governed people, but the
will and intent of an autocratic
colonial hegemon.
Most of Uganda’s existing
statues, which date way back
to the colonial era, and some
which date way back to Ugan-
da’s past dictatorial regimes
either directly contravene provi-
sions in the new Constitution’s
Bill of Rights or fail to espouse
the spirit of freedom and
democracy contained in such
Constitution.
Such statues include, but are
not limited to the Emergency
powers Act, The habitual (Pre-
ventive Detention) Act, The
prison Act, and the Public Order
Management Act.
Even when some statutes
contravention of the Constitu-
tion renders them null and void,
their removal from the statute
books is imperative to avoid
their abuse against innocent
civilians.
Additionally, Parliament
must enact enabling legisla-
tion to implement the Human
Rights Conventions to which
Uganda is a signatory. For
example, as of June 30, 1994,
Uganda had ratified 13 inter-
national human rights instru-
ments. Some of these; like the
African Charter on Human and
people’s Rights and the Inter-
national Convention on Civil
and political Rights, are not
self –executing and thus need
enabling domestic legislation
in order to be implemented in
Uganda. Therefore, Parliament
must provide the enabling
domestic legislation. The recent
Children’s Statute was a laud-
able effort by Parliament to
provide enabling legislation to
implement Uganda’s obliga-
tions under the Convention of
the Rights of the Child. Similar
efforts must continue for other
conventions to which Uganda is
signatory.
In a nutshell, the legal basis
for Parliament’s duty to protect
and promote human rights is
well established. Parliamentar-
ians are called upon to be activ-
ists for human rights.
Isabella Bwiire works for the
Foundation for Human Rights
Initiative (FHRI)

By Margareta Drzeniek-Hanouz
Rethinking the 21st century economy
Tax codes written for an analog economy and statistics
that fail to capture real wealth won’t do
B
efore the threat of a US-China trade
war arose, surging stock markets
and corporate profits had obscured
the fact that the global economic
system is under existential stress. Global
financial stability remains considerably in
doubt. Indeed, as world financial leaders
gather for the annual IMF/World Bank
spring conference in Washington, DC, the
rapid pace of technological change and
rising inequality are fueling ever louder
calls for root-and-branch revision of the
entire system.
For governments to cope with these
mounting pressures, they will need to
rethink the key policy tools on which
they have relied for well over a century,
starting first and foremost with taxation.
Death and taxes may have been the
only certainties in the world of Benjamin
Franklin two centuries or so ago; today,
only death remains undeniable. With the
rise of the digital economy, more and
more economic value is derived from
intangibles such as the data collected
from digital platforms, social media, or
the sharing economy. And because com-
pany headquarters can now be moved
between countries with ease, govern-
ments are finding it ever harder to raise
taxes. At the same time, public spending
will likely have to increase to meet the
demands of those left behind in the era
of globalisation and digital technologies.
Lawmakers have mostly sought to
nurture innovation, in the hope that new
industries will spur productive capacity
and, in due course, fill government cof-
fers. But digital service providers have
grown larger in terms of just about
everything except the taxes they pay.
That may be about to change. One idea
currently gaining traction is to tax firms
offering free-to-use digital services dif-
ferently, so that their intangible value
receives the same tax treatment as the
tangible value produced by manufac-
turers and traditional service providers.
But taxation could be on the cusp of a
much broader transformation, not lim-
ited to the digital economy. With today’s
businesses expected to contribute more
to society than just what is on their bal-
ance sheets, there is a new impetus to
base corporate taxation partly on a firm’s
social footprint. For example, govern-
ments could adjust tax rates according to
a company’s environmental stewardship
or the size of its workforce.
Another idea is to tax robots and
related technologies to compensate for
the drift of economic rewards away from
labour. In any case, broadening the tax
base will require new approaches to
measuring value in the economy.
Beyond the debate about how to tax
today’s tech giants, Western economies
confront the more fundamental question
of whether markets still represent the
most efficient way to allocate resources.
In many ways, today’s transforma-
tive technologies are challenging that
premise.
Modern data science, for example, is
becoming so advanced that algorithms
driven by existing consumer data could
soon take over the task of making effi-
cient buying decisions. The question,
then, will be whether the market or a
state armed with algorithmic knowledge
would be better at providing certain
goods and services.
Data are influencing our economic
consciousness in other ways, too. For one
thing, consumers are starting to realise
the extent to which digital services profit
from their personal information. Data
are also the wellspring for artificial intel-
ligence, machine learning, and similar
technologies, which will have an ever-
greater economic impact. Thus, we may
be approaching an inflection point where
consumers start demanding payment for
their data.
Big data will also disrupt much of
the financial sector. Today’s insurance
industry, for example, is built on infor-
mation asymmetries and mutualisa-
tion of risks. As we move closer to an
ecosystem of near-perfect information,
the tools for accurately pricing risk will
become increasingly powerful.
Finally, today’s economic transforma-
tion has prompted a healthy discussion
of the relationship between economic
output and wellbeing or happiness. Of
comment
course, wellbeing itself is hard to mea-
sure, so one could argue that it is better
to approach the issue from the other
direction, by identifying the factors that
make us less well. That is the idea behind
the annual Bloomberg Misery Index,
which measures inflation and unemploy-
ment, on the assumption that both gen-
erate economic costs for societies.
Bloomberg’s approach raises the key
question of how we should measure
economies in the twenty-first century. In
the 1930s, the economist Simon Kuznets
identified gross national product as an
indicator of an economy’s output of
goods and services over a given period.
Now, GNP – along with gross domestic
product, or GDP – is regarded as the
de facto indicator of national welfare
around the world.
But these measures are misleading,
because they do not account for many of
the things that matter to societies, such
as equality, social mobility, or sustain-
ability. Even if GDP were a good pre-
dictor of success in those categories, it
still does not capture the intangible value
being created in the digital economy.
At the end of the day, the main chal-
lenge confronting governments is the
same as in earlier eras: to make life better
– longer, healthier, wealthier, and more
secure – for current and future genera-
tions. The biggest difference today is that
rapid technological change, coupled with
emerging environmental and inter-gen-
erational challenges, is directly affecting
governments’ ability to act.
But governments will not achieve their
goals by using outdated tools. Tax codes
written for an analog economy and sta-
tistical methods that fail to capture real
wealth will not do. A new approach to
ensuring happiness and wellbeing in the
decades ahead is unavoidable.
Margareta Drzeniek-Hanouz is Head of
the Economics Unit at the World Economic
Forum.
Copyright: Project Syndicate, 2018.
May 04 - 10, 2018 33
1. Gut microbes
Prof Tim Spector believes a lot of human
weight differences are down to the tiny
organisms - microbes - that live deep in the
gut. “Every time you eat anything, you’re
feeding a hundred trillion microbes. You’re
never dining alone,” he says.
Prof Spector made the conclusion after
tracking two twins over 25 years, as part of
the Twins Research UK study. Gillian and
Jackie are the twins - but one weighs over
41kg more than the other.
A stool sample from each twin revealed
Gillian, the thinner of the two, had a very
diverse range of microbes, whereas Jackie
had very few species living in her gut.
“The greater the diversity, the skinnier
the person. If you’re carrying too much
weight, your microbes aren’t as diverse as
they should be,” says Prof Spector, who
found the same pattern in a study of 5,000
people. Having a healthy and varied diet,
rich in different sources of fibre, has been
shown to create a more diverse range of gut
microbes. Prof Spector best on his experi-
ence with Britons to warn against eating
less fibre than one should. Good sources of
dietary fibre include: wholegrain breakfast
cereals, fruits, vegetables, such as broccoli
and carrots, beans, pulses, and nuts.
2. The gene lottery
Why do some people diligently follow
diets and exercise regularly but still struggle
to see results, while others do very little
and don’t pile on the pounds? Scientists at
Cambridge University believe 40-70% of the
effect on our weight is down to variation in
the genes we inherit.
“It is a lottery,” says Prof Sadaf Farooqi.
“It is now very clear that genes are
involved in regulating our weight, and if
you have a particular fault in some genes
that can be enough to drive obesity.”
Particular genes can affect a person’s
appetite, how much food they want to eat
and what type of food they might prefer.
Genes can also affect how we burn calories
and whether our bodies can efficiently han-
dle fat. There are at least 100 that can affect
weight, including one called MC4R.
It is thought about one in every 1,000 peo-
ple carries a defective version of the MC4R
gene, which works in the brain to control
hunger and appetite. People with a fault in
this gene tend to be more hungry and crave
higher fat foods.
Prof Farooqi says: “There’s not really
anything you can do about your genes, but
for some people, knowing that genes may
increase their chances of gaining weight can
help them to deal with changes in diet and
exercise.”
34 May 04 - 10, 2018
Five surprising things
making you fat
People might think battling unwanted fat is down to sheer willpower, but
medical research says otherwise. Here are five potentially surprising fac-
tors that can affect your weight, as unearthed by ‘The Truth About Obesity’.
3. What time it is
There’s some truth to the old saying:
“Breakfast like a king, lunch like a lord and
dinner like a pauper,” but not for the rea-
sons you might think.
Obesity expert Dr James Brown says the
later we eat, the more likely we are to gain
weight. Not because we’re less active at
night, as is commonly believed, but because
of our internal body clocks.
“The body is set-up to handle calories
much more efficiently during the daytime
period when it’s light than it is at night
when it’s dark” he says.
For that reason, people who do shift-
work and erratic hours might face a particu-
lar battle to stave off weight gain.
During the night our bodies struggle to
digest fats and sugars so eating the bulk of
calories before about 19:00 can help you lose
weight or prevent you from gaining it in
the first place. But today’s working patterns
and hectic lifestyles aside, there are things
we can do that will make a difference to our
waistlines: Skipping breakfast or just hav-
ing a piece of toast is a no-no in Dr Brown’s
book. Instead, eating something with lots
of protein and some fat, as well as carbohy-
drates - such as eggs on wholegrain toast
- will make you feel fuller for longer. Follow
that up with a substantial nutritious lunch,
and have something lighter at suppertime.
4. Tricking your brain
The Behavioural Insights Team suggests
Britons are bad at keeping track of how
much they eat, and that calorie consump-
tion is being underestimated by 30-50% as
a result. Behavioural scientist Hugo Harper
suggests a number of ways to subconscious-
ly change your eating behaviour, rather
than rely on calorie counting. For example,
removing visual temptations might be
more effective than relying on conscious
willpower. So don’t have unhealthy snacks
out on the kitchen counter - put a fruit bowl
or healthy snacks in reach instead. Don’t
sit down with a whole packet of biscuits in
front of the television, put the number you
plan to eat on a plate and take that through
instead. Dr Harper also encourages sub-
stitution behaviours - swapping to lower
calorie alternatives of favourite foods rather
than trying to banish them all together. Opt
for diet versions of soft drinks, for example.
And reducing portion sizes can also be
more effective than trying to cut them out.
There is a tendency to eat without
thinking about it, so following the serving
suggestions on food packets and using a
smaller plate when dishing up dinner can
prevent someone absent-mindedly chomp-
ing through excess calories.
5. Hormones
The success of bariatric surgery isn’t
just down to creating a smaller stomach,
but the change in hormones it creates. Our
appetites are controlled by our hormones
and it has been discovered that bariatric
surgery - the most effective treatment of
obesity - makes the hormones that make
us feel full increase and the ones that make
us feel hungry drop in number. But it’s a
major operation that involves reducing the
size of the stomach by up to 90% and is only
carried out on people with a BMI of at least
35. Researchers at Imperial College London
have recreated the gut hormones that cause
appetite changes after bariatric surgery and
are using this for a new clinical trial. A mix-
ture of three hormones are given to patients
as an injection every day for four weeks.
“Patients are feeling less hungry, they’re
eating less and they’re losing between 2-8kg
(4-17lb) in just 28 days,” says Dr Tricia Tan.
If the drug is proven safe, the plan is to use
it until the patients reach a healthy weight.
Source: The Truth About Obesity was on BBC
 ART | BOOKS | SOCIETY | TRAVEL | CULTURE
Artists as activists
Bruno Ruganzu explains the magnetism of artivism
B
runo Ruganzu
has recently been
shortlisted among
the four finalists
for Artivism in
Residence artists
by MS TCDC in Arusha, Tanza-
nia for using art for social justice
in Africa. The Independent’s
Dominic Muwanguzi spoke to
him. Below is an excerpt from
the full length interview to be
published in Art SouthAfrica.
What you do can be interpret-
ed as activism. How important
is activism in art?
It is my belief that artists have
always been activists if you look
back at first local artistes like
Bobi Wine, then international
musicians like artiste Fela-Kuti,
Bob Marley, Miriam Makeba
and Nina Simone. Through
their music, they have held
placards petitioning for politi-
cal, social, or economic change
in their own respective commu-
nities. As such, art is a powerful
tool to change society because it
is bred from freedom of expres-
sion. In recent times, because of
the enormous participation of
artists in activism and interest
in want they do by the public,
activism has evolved to become
artivism.
Explain the recurring relation-
ship between trash and chil-
dren in your art?
I love children from both a sen-
timental and creative perspective.
Children are naturally honest
and easy to deal with in any situ-
ation. This is unlike adults who
are very analytical without even
questioning why. A child will
always want to find out things,
more like an artist who’s eager
to experiment with whatever
media they come across. On the
other hand, trash is easy to work
with because it’s immediately
accessible and cheap. Of course,
in Europe it can be a different
scenario because some countries
like Denmark have to import
in garbage from neighbouring
countries. What they have is not
enough compared to the demand
of recycling it into useful objects.
Unlike the west where you have
traveled frequently, recycling is
not well- embraced on the con-
tinent. How are eco-artists like
you helping to create awareness
on the subject with no funding
from the government?
For starters, it is unfortunate
that the government is not sup-
porting the idea of recycling
which is already a hot topic
globally. The support should not
necessarily mean fiscal funding,
but can be through creation of
community platforms starting
from the household level where
people are taught how to handle
trash: separate the organic from
the artificial refuse thereby cre-
ating a recycling value chain.
Besides that shortfall, through
May 04 - 10, 2018
our activities we have inspired
several people; some artists, like
Sandra Ssuubi and Arinaitwe
Peter; who’re now pushing
boundaries in this discipline.
In many places in Kampala,
people are collecting garbage
and turning it into functional
objects. This was not the case
ten years ago where huge piles
of trash filled the city streets and
its outskirts. More so, through
the diverse network I have
created over the years as an
eco-artist, I continue to receive
commissions from private insti-
tutions like schools that want to
work with me. This reflects the
positive impact of our mission
to create a clean environment.
Talk about the limitations on
creating voluminous artwork
by many indigenous artists.
And why should they create
such colossal art?
It is a norm that many local
artists complain about material
and finances as a barrier to not
create voluminous artworks.
This is rather unfortunate
because to create such large
scale art, you do not necessarily
need money or exotic media
they’re always looking for. A
case in point is `The hand that
Speaks’ sculpture I created
from 20, 000 plastic bottles.
Its size; measuring over 12ft,
made it stand out. Similarly,
Chinese artist Ai Weiwei recently
sculpted a large installation
composed of ten thousand life-
jackets to respond to the subject
of Mediterranean migration. As
such, it is not about the media
or finances but the mind set to
do the unusual. Additionally,
the colossal artwork has the
advantage to be seen and is self-
marketing. If you’re building
a 20ft artwork, you will elicit
everyone’s attention and it can be
a ploy to break through.
35
Departing Arsene
Wenger to become
world’s highest
earning manager?
Departing Arsenal boss
Arsene Wenger has received
an enormous contract offer
from China that would
make him the highest paid
manager in the world,
according to reports. The
Frenchman announced
his decision to leave the
Emirates at the end of the
season after a 22-year reign
last week, and there had
been suggestions that he
would move behind-the-
scenes into a director of
football role at PSG. The
unnamed Super League club
has told Wenger that they
will pay him more than the
£24m-a-year deal Marcello
Lippi currently takes home.
Lippi, who is manager of
the Chinese national team,
is the highest-paid coach in
the world, with the Premier
League’s highest earner, Pep
Guardiola, some way behind
on £16m. Wenger earns
£8m a year at Arsenal. He is
believed to be weighing up
the Chinese offer but would
rather hold out and wait for
an approach from a club in
France or Spain.
Little Bruce Lee: Victim or victor
Do you know
phobophobia?
To have a phobia is to have
an overwhelming and often
irrational fear of something.
The fear can be so intense
that sufferers go to extreme
lengths to avoid the thing
that they are frightened of.
Consequently, this can become
highly problematic and have
a significant negative impact
on day-to-day life. Some of the
most reported examples include
the fear of heights (acrophobia),
the fear of flying (aerophobia)
and the fear of open and
public places (agoraphobia).
But what if your fear is of fear
itself or phobophobia? It is
interpreted in a couple of ways,
generally – either the fear of
developing a phobia, or the fear
of experiencing the symptoms
associated with being fearful.
Ryusei Imai, or “Little
Bruce Lee”, as he’s come
has over 290,000 followers
on Facebook, and around
to be known, started 33,000 on Instagram. He
watching Bruce Lee movie
since he was one. Then he
also has his own YouTube
channel, where his dad
started imitating scenes regularly posts videos
from Bruce Lee movies at of him working out and
age four. In one year’s time imitating his idol. The
he had already mastered boy’s father claims that
the nunchaku scene from this is what Ryusei wants,
Game of Death, and was but some of the people
appearing on interna- commenting on his social
tional TV shows. Today, media posts say that his
Ryusei Imai may just be father may be stealing his
the world’s most ripped childhood for something
8-year-old. He trains for he failed to do when he
4.5 hours a day.currently was younger
When politicians are unrecognisable
in campaign Posters
that the woman
pictured on them
looked nothing
like Wang, so
they started jok-
ing about it. “Oh,
is she helping her
granddaughter
run for office?”
one Facebook
user commented
A female can- real-life Wang on her photo.
didate for a local Zhiya and her “Which one is
position in Taipei, depiction on cam- the candidate,”
Taiwan, recently paign posters first someone else
became the butt drew people’s jokingly asked.
of social media attention when When she replied,
jokes, after people the candidate Wang was a good
noticed that she uploaded some sport about it.
looked nothing photos of herself “Reality is cruel,
like the woman posing next to her Photoshop is
on her campaign posters, on her always beautiful,”
posters. The dif- Facebook profile. she said
ference between Anyone could see

Surprise as Kim Jong-un travels with personal toilet

KIM JONG-UN reportedly
travelled with his own
personal toilet to his meeting
with his South Korean
counterpart, based on an
intense paranoia. The North
Korean leader Kim Jong-un
reportedly brought his own
personal toilet to the historic
April 27 meeting with his
South Korean counterpart,
over fears South Korean spies
could steal his excretions and
gain insights into his health
status.
“The leader’s excretions
contain information about
his health status so they
can’t be left behind,” said
Lee Yun-keol, chief of North
Korean studies at the Korea
Institute for Defense Analyses.
According to the South
Korean news agency DailyNK,
there’s actually a customised
bathroom built into his convoy
of vehicles at all times. Other
notables who travel with own
toilet include the future king
of England, Princes Charles

36 May 04 - 10, 2018

6 cool things about new
2018 Toyota Corolla
The Corolla has been redesigned from the ground
up, and here’s why it will change Toyota forever
By Agencies
T
he world’s top-selling car has come
in for a radical overhaul for its latest
generation. Here are just some of the
reasons you should pay attention.
6: Design
The dreary, cardigan-like Toyota Corolla
of old has been replaced with a sharp,
sophisticated design boasting sculpted
extremities and fine attention to detail.
From the technical LED driving lights to the
sloping rear hatch, the Japanese brand has
crafted something very un-Toyota here.
5: Autonomous driver aids
Imagine a mainstream small car that can
steer, brake, and accelerate by itself. The
new Toyota Corolla will do just that with
semi-autonomous driver aids such as adap-
tive radar-based cruise control, lane depar-
ture assist and autonomous emergency
braking.
4: Safety
In addition to seven airbags, a reversing
camera and pre-collision detection system,
new standard safety features coming to the
2018 Toyota Corolla will include automatic
high-beam headlights and an AEB system
that can detect not only cars, but people and
even bicycles — and take action to avoid
them.
3: Convenience features
Entry-level models will get leather steer-
ing wheel and gear shifter trim as standard,
not to mention a very effective road sign
recognition system that identifies give-
way signs, stop signs and speed limits and
displays them on the fancy new high-res
colour instrument panel. Top shelf models
get wireless phone charging, a colour head-
up display, and a 10-speaker JBL sound
system, and the car can even be started and
unlocked via your smartphone. Oooh-lah-
lah!
2: Interior design
The revamped interior design of the
Toyota Corolla matches the exterior with an
elegant, modern motif. The cabin reduces
complexity with a minimal approach and
neatly clustered controls, tightly packed
around the large 8.0-inch touch-screen
display. Reworked sports seats and tasteful
finishes around the dash and doors suggest
the car is looking to up its game against the
likes of the Volkswagen Golf and Mazda3.
1: Engine
Toyota has dropped a bigger, more pow-
erful 2.0-litre direct-injection four-cylinder
petrol engine in the 2018 Corolla that gener-
ates 22 per cent more power (126kW) and
18 per cent more torque (205Nm). Despite
the extra brawn the new engine is said
to be more economical than the 1.8-litre
engine it replaces, which means it should
deliver figures of less than the 6.1L/100km.
There’s also a clever new continuously vari-
able automatic transmission (CVT) with
10-stepped gears to sweeten the deal.
May 04 - 10, 2018 37
Profile
MP Francis Zaake: On justice, fighting
age-limit, and loving Donald Trump
By Agnes E Nantaba
2
7-year old Francis Zaake Butebi
combines controversy and success
in the most unusual ways. He is
one of the youngest MPs, shares
a name with his home village, became an
MP on the same day he graduated, and
successfully juggled school and running a
business.
Some would say it was a major blotch
on his character when he got involved in
the September 26, 2017 fracas in parliament
between security personnel and opposition
MPs challenging the so-called presidential
age-limit Bill. As an MP from the majority
ruling party attempted to table the con-
troversial constitutional amendment Bill
removing the 75-year age-limit to make
President Yoweri Museveni eligible to
contest the next election, Zaake and several
opposition MPs made headlines world-
wide as they shouted and threw punches
and other objects in the House.
The following day, Zaake was among
the 25 legislators to be suspended from
the house for indiscipline and breach of
rules of procedure. Zaake says he does not
regret his involvement.
“I want to be remembered as a fighter
for justice and the good of others,” he says,
“In fact I sometimes wish I had died dur-
ing the age limit debate fights such that the
perpetrators of justice can know that we are
serious about our demands.”
Zaake says passing the age-limit Bill
was a betrayal and he cannot be moved
by anything that may mean betraying his
constituents. He says the incident marked
a turning point, where he put up a struggle
for justice. He says he has always believed
that politics should be an avenue for ensur-
ing justice prevails. It is what propelled
him to seek leadership at St Lawrence
Schools and Colleges (formerly Kabaka’s
Lake Campus). Even back then he always
told his friends that he would one day be
an MP.
When the school was moved, Zaake
returned to his home area in Mityana and
continued school at Modern Secondary
School where he completed Ordinary level.
Here, he took up leadership positions in
Nkobazambogo (an association of Baganda
students). He went to Maryland High
School and his dream of leading students
at an institution of higher learning became
reality when he joined Ndejje University.
He starting working early towards becom-
38 May 04 - 10, 2018
ing President of the Students Guild and stiff odds. The day he was sworn in as an
won the position during his second year. MP was the same day he graduated with a
At the same time, Zaake was also running degree in Procurement and Supply Chain
business and with some finances to his Management.
account, he declared his bid for the Mitya- “I graduated in the morning and was
na Municipality MP seat. sworn-in in the afternoon,” he says.
Despite the various stints in student
leadership, Zaake’s entrance into parlia-
ment was unusual.
As the first born of Omukungu Sem-
busi Emmanuel Butebi and Naluyima
Teddy of Butebi village in Mityana district,
Zaake became politically awake at a very
early age. But when he declared his bid to
become MP for Mityana Municipality con-
stituency, he appeared to be setting himself
up to fail. He was young, the politics is too
commercialized, and the constituencies
had many prominent politicians in the
running.
Fortunately, for him, he had the support
of a famous and well-liked father who did
a lot to convince people to believe in his
young son. He soon had the support of
the women and traders. At the time, Zaake
was also daintily balancing school and
business. Adding politics to the
milieu meant that Zaake had
to be at school and work
during week days and
visit the community to
campaign during the
weekends only.
On the question
of money, Zaake
is coy, saying
“my parents and
extended family
too supported
me financially
prior to the
campaigns
and during
the entire
electoral
process”.
In real-
ity,
Zaake is
known
to have
made
money at
an early age
and possibly spent a bit of it.
In many ways, therefore, his
triumph in the February 2016
elections was further proof of
Zaake’s ability to win against
 Q&A

Francis Zaake’s Liteside

Any three things that we deplore in others? What do you most dislike appreciated elsewhere;

I
don’t know about you? Liars about your appearance? especially where racism is
am a very jolly person I am only grateful to the at its highest.
and I am taken down Which living person do Lord for what he graced me
seeing people go you most admire? with. My appearance only What is your most
through suffering; Former president changed temporarily after treasured possession?
especially poverty. I of America Barrack the fracas in parliament I may not own them but
use my people as my Obama because he was where doctors advised me my parents have been there
think tank because even so confident and faced to dress up with head gear. for me and fulfilled what
when I have new ideas, what others thought was any good parents would do
I share with them such possible. Other people Which living person do for their children.
that they can guide me thought that he couldn’t do you most despise?
on implementation. They it but he kept his faith high. Anyone who overstays What is your favorite
can either buy my idea or I see myself just like him in power; for instance I occupation?
supplement on it because at because he makes others hated former President of I am a professional
the end of the day we own believe in themselves. He Zimbabwe Robert Mugabe procurement officer so I
the ideas. is also a great speaker. because it means being will take it on after politics.
I also like the current mean and not giving
What is your idea of president of USA, Donald opportunities. A great What do you most value in
perfect happiness? Trump for his honesty and leader is one who makes your friends?
Seeing others happy straightforwardness. leaders. Being God fearing and
brings a smile on me so my advising me always.
happiness is dependent on What is your greatest What is the quality you
other people. I can even extravagance? most like in a woman? Who are your favorite
spend to the least just I enjoy spending on Its only character as writers?
to ensure that others are things that make others opposed to wealth. Norbert Mao’s writings
happy. happy. are so unique and a closer
What is the quality you look at them draws you
What is your greatest fear? What is your current state most like in a man? to the humor embedded
There are so many of mind? Character. in them. Elsewhere
things that I fear I am happy Shakespeare remains my
despite seeming What or who is the greatest greatest writer.
fearless. For What do you consider the love of your life?
instance; I fear most overrated virtue? My family comes first. I Which historical figure do
scary or bad We put a lot of emphasis also love Pope Francis. you most identify with?
dreams. on extravagance; people Nelson Mandela; he was
start drinking from sunset When and where were you the first black president of
What is the to sunrise and you keep happiest? South Africa and after so
trait you most wondering when they I always celebrate the many years of trials and
deplore in work. We even spend more day I was born. Winning suffering he chose to step
yourself? than we earn. We need to the Guild race at Ndejje down for other leaders.
I am a revise our priorities in life. University in 2015 was
fearless another happy moment. What is your greatest
person and What does being powerful The other was in 2016 when regret?
at one time mean to you? my voters entrusted me The only regret I have
it can land Power comes with with their power. is associating with people
me into self-discovery; knowing who end up failing me.
trouble. what you can do and how Which talent would you
For possible can you implement most like to have? How would you like to
instance, it. I am a footballer and die?
while I it’s something that I still I love to die fighting
wanted On what occasion do you engage in every morning for the good of my people
to fight lie? when I am not very busy. and country. It might not
for my It is very hard for me be a physical fight but a
people, I to tell a lie because I also Where would you most struggle.
forgot that hate being lied to. There is like to live?
life is very actually no circumstance Uganda is my favorite What is your motto?
important. that can force me to tell a country because it is here Faith, faith and faith
lie - maybe during jokes. that you find hospitable
What is the trait you most people. It is hard to be

May 04 - 10, 2018 39

Global comment
By Arvind Subramanian
The Globalisation backlash paradox
Financial flows regularly wreak havoc, so the absence
of protest against their integration is strange
M
ost economists wax eloquent
about the benefits of “real”
global integration – that is,
virtually uninhibited cross-
border flows of goods, labour, and
technology. They are less certain when
it comes to global financial integration,
especially short-term flows of so-called
hot money. Yet today’s anti-globalisation
backlash is focused largely on real
integration – and almost entirely spares
its financial counterpart.
The backlash against real integration
has, most recently, spurred U.S. President
Donald Trump’s administration to
resort to unilateral trade protectionism,
targeting China in particular. In both
the United States and Europe, barriers
against migration are being raised. Many
governments are moving to impose new
taxes on technology companies deemed to
be too large or influential.
In this context, the absence of even
a whiff of protest against financial
integration is strange. After all, financial
flows have regularly wreaked havoc
on rich and poor economies alike over
the last 40 years. And that damage is no
secret: institutions like the International
Monetary Fund have highlighted it,
adding caveats to their previously
unfettered support for financial openness.
The lack of resistance to financial
integration may reflect the salience of the
problem – or, perhaps more accurately,
the narrative. When it comes to real
global integration, it is easy to identify
perpetrators and victims; with financial
integration, it is not.
Consider free trade. While it
is beneficial overall, its adverse
distributional effects are undeniable,
and it is easy to say who gets hurt (for
example, advanced-country workers in
lower-value-added industries like steel)
and who is doing the damage (developing
countries that can produce and export
the relevant good more cheaply). The
losers may be a minority, but they can
band together to amplify their voice
and maximise their bargaining power,
especially if they are geographically
concentrated. With a clear target, their
outrage acquires force and legitimacy.
40 May 04 - 10, 2018
Likewise, migration brings both
major gains and, in the eyes of many,
significant losses. Apparent losers may
include domestic workers who are (or
believe they are) affected by competition
from migrants, or citizens who feel that
their way of life or even identity is being
threatened. It does not matter whether
these claims are empirically true; they
fit into a clear and compelling narrative,
in which immigrants are portrayed as
villains. Such a narrative, as we have seen,
is a very effective mobilisation tool in the
hands of cynical politicians.
Of course, financial crises – such as
those in Latin America in the early 1980s,
in East Asia in the late 1990s, in Eastern
Europe in the late 2000s, and in Europe in
the 2010s – also have clear victims: those
who lose their jobs, houses, or retirement
savings. But it is not nearly as easy to
apportion blame.
In the past – going back to the Middle
Ages, in fact – the finger has often
been pointed at banks. But the sources
of today’s “hot money” flows are not
readily identifiable. Hedge funds, mutual
funds, asset-management companies,
pension funds, and sovereign wealth
Even if the
lenders could
be readily
identified,
they could
not be
assigned all
of the blame
funds operate from all across the globe,
in legitimate jurisdictions and in what W.
Somerset Maugham once described as
“sunny places for shady people.”
Even if the lenders could be readily
identified, they could not be assigned
all of the blame. Financial transactions
always involve borrowers as well, and,
unlike laid-off steel workers, defaulting
borrowers (individuals or countries) are
rarely innocent victims. In many cases,
large borrowers have obtained their loans
by deceiving the lenders or using political
connections, as former Indonesian
President Suharto’s cronies famously did.
While salient narratives featuring
specific and readily identifiable villains
make real integration –despite its tangible
overall benefits – difficult to sustain,
the absence of comparable narratives is
allowing financial integration to continue
unabated. This places the world on
track for a lot less of the good kind of
integration, and more of the questionable
kind.
Altering this trajectory calls for two
types of response. To support real
integration, policymakers must create
ambitious – even radically so – social
safety nets that protect the inevitable
losers, while highlighting the overall
benefits that such integration affords.
Actions against perpetrators – for
example, firms and countries that
brazenly steal intellectual property – may
also be needed, despite the potential costs.
Meanwhile, policymakers will need
to do a better job of managing financial
integration – a task that may be all the
more challenging, because no political
constituency is really demanding it. Given
finance’s nebulous, almost phantom-like
nature, which eludes easy narrative-
building, the task of taming it will be
difficult. But tame it we must.
Arvind Subramanian is Chief Economic
Adviser to India’s government.
Copyright: Project Syndicate, 2018.
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