Uganda

Services constitute a major and growing sector of Uganda’s economy in terms of its contribution to gross domestic product (GDP) exports and employment. Uganda’s Service Sector Export Strategy of 2005 has also identified information and communications technology (ICT) services as a priority. Similar to the situation in many least developed countries (LDCs) Uganda’s services sector is liberal. Specific General Agreement on Trade in Services (GATS) commitments have been undertaken on both telecommunications and financial services. There is a high degree of foreign ownership in Uganda’s financial and telecommunications sectors. In the financial sector eighteen of the twenty-five commercial banks licensed in 2012 were foreign owned. In the telecommunications subsector six of the seven operational mobile operators are foreign owned. In addition this subsector has expanded rapidly in recent years with respect to domestic and foreign-owned mobile service providers (MSPs) the number of mobile subscriptions and the emergence of non-voice services such as mobile money. Once established in Uganda foreign and local suppliers of financial or telecommunications services are subject to the same regulatory and supervisory procedures.

Small scale farmers face many hurdles when attempting to connect to global markets. While infrastructure and trade facilitation improvements are helping to reduce overall trade costs the challenges faced by such farmers are most acute at the local level. Efforts to eradicate poverty therefore need to start with constraints at the farmgate. The problems faced are compounded by the general lack access to proper agricultural inputs technology and intermediate services.