The
The
The
Let court decide, What’s wrong with Cipla to raise Stanbic’s half-year
CCEDU tells EC condom campaign? Shs168bn in IPO earnings remain flat
Issue No. 534 Aug 17 - 23, 2018 Ushs 5,000,Kshs 200, RwF 1,500, SDP 8
Muntu’s
next move
Supporters say he
kept FDC together,
now they want him
to exit. Will he?
www.independent.co.ug
YOU BUY THE
TRUTH
WE PAY THE
PRICE
Independent Publications Limited, Plot 82/84, Kanjokya Street, P. O. Box 3304, Kampala, Uganda Tel: +256-312-637-391/ 2/ 3/ 4 Fax: +256-312-637-396
E-mail: editorial@independent.co.ug, advertising@independent.co.ug, circulation@independent.co.ug Website: www.independent.co.ug
INBOX
Cover story
Muntu’s next move
Supporters say he kept FDC together, now they want
him to exit and lead a new political organ. Will he?
4 The Week
29 Comments
Gun shoots as Arua
campaigns end If Trump ruled Venice:
How his switch from laissez-
faire global trade rules to
9 The Last Word
mercantilist trade deficit
The disintegration of the FDC: Why policies could imperil the dollar
liberal minded Ugandans should
celebrate the breakup of FDC and rally 33 Health
behind its enlightened leaders
What’s wrong with condom
campaign?: Why government
16 Analysis officials say you, probably,
Let court decide, CCEDU tells EC: Behind shouldn’t give your girl a Kiss
the case of NGO blocked for crossing the
line in election observation
35 Arts & Culture
23 Business
Don’t miss The Studio:
Cipla to raise Shs168bn in IPO 7 art masters in town for
Kampala Art Biennale III
STRATEGY & EDITORIAL DIRECTOR: Andrew M. Mwenda WRITERS:Ronald Musoke, Flavia Nassaka, Ian Katusiime,
MANAGING EDITOR: Joseph Were Agnes Nantaba, Julius Businge.
INVESTIGATIONS EDITOR: Haggai Matsiko DESIGN/LAYOUT: Sarah Ngororano
BUSINESS EDITOR: Isaac Khisa CARTOONIST: Harriet Jamwa
PHOTOGRAPHER: Jimmy Siya
PUBLISHER: Independent Publications Limited, Plot 82/84, Kanjokya Street, P. O. Box 3304, Kampala, Uganda
Tel: +256-312-637-391/ 2/ 3/ 4 | Fax: +256-312-637-396 E-mail: editor@independent.co.ug | advertising@independent.co.ug
circulation@independent.co.ug | Website: www.independent.co.ug
President Yoweri
Museveni
commissioning
NYOKA Conversion
Project at the
Manufacturing and
Assembling Plant at
Magamaga Barracks “We were informed of the smuggling
in Mayuge district
on August 8.
of sugar products into Tanzania from
Uganda. This is why we issued an
embargo to stop the illegal activities.”
Tanzanian President John Magufuli
10 Bank is
marking 30 University students
offered scholarships 37000 born with
blood diseases
by China annually
Congo preps Country mourns Yona; Museveni says death could have been avoided
if they are to live longer.
for new polls as “I am told Yona was per-
forming self-medication for
Kabila steps aside some time which was not right
over something which devel-
Bringing father will oped into a bacterial infection in
to an end remain with the heart,” said the President.
months of a lot of influ- President Museveni jokingly
speculation, ence during said he does not like the saying
Democratic the campaign that God has taken someone
Republic and even in when people die. “I don’t think
of Congo an event that God has run short of company
President Ramazani and instead take young peo-
Joseph Kabila emerges President Museveni lays a wreath on the casket containing late Yona Namawa ple,” added the President. Yona
announced victorious Wapakhabulo 's remains on August 10. Looking on is First Lady Janet Museveni. was aged 46 years.
last week that since for “It saddens me that Yona has
he will not be them fronting Former National Team Crick- habulo died last week after a gone at his prime and in such
running for another can- eter, Yona Namawa Wapakhab- short illness. circumstances. I don’t mind if
presidency didate didn’t ulo was laid to rest on Aug.11 at While attending requiem God takes some of us, in fact I
again. Kabila necessarily his ancestral home at Mafudu mass at ALL Saints Cathedral a am waiting for Him to call me,
should have mean he was in Sironko district. The son to day before this burial President but I think Yona’s death could
stepped retiring from former Foreign Affairs Minister Museveni encouraged people to have been avoided,” Museveni
down at the the country’s and Speaker James Wapak- go for regular medical checkups told mourners.
end of 2016 politics. He
when his is said to
second term have just suc- DPP wants court to rule on legality of blood compensation
expired, but cumbed to
he invoked the pressure The Directorate of Public leaders on the practice, which blood compensation is part of
a constitu- since his fail- Prosecution (DPP) is decrying they say is dangerous on the Lango culture, which can’t be
tional clause ure to leave the practice of blood compen- administration of justice in the avoided. He says the practice
allowing him office has sation in Lango Sub region. region. is also enshrined in the new
to remain sparked sev- ‘Blood Compensation’ alias Rukundo Martin, the Lango constitution of Lango Cultural
in office as eral protests Culu-Kwor in Luo is a prac- Regional Officer in the Direc- institution, which has been
a caretaker. orchestrated tice in Lango where a person torate of Public Prosecution, approved by the Attorney Gen-
Now, he says by mainly accused of murder compensates says the practice has crippled eral and Ministry of Gender,
he is rallying members of the clan of the deceased usually prosecutions of many cases as Labor and Cultural Develop-
behind his the opposi- six or more cows as a sign of the state is often left without ment as a normal practice.
Interior Min- tion. seeking forgiveness and recon- any prosecution witnesses. Dr. Nam argues that blood
ister Emman- 25 candi- ciliation. According to Rukundo, in some compensation enhances
uel Ramazani dates have so Once the payment is accept- instance witnesses run away peaceful co-existence among
Shadary. far showed ed and completed, the clan of they are persuaded by the state different clan members of the
Analysts interest in the deceased writes an addi- to appear in court. ethnic group. Joseph Odongo,
say Kabila participating tional statement withdrawing Jane Okuo Kajuga, the DPP 47 a, member of Ngurapuc
who has been in the polls interest in the case. According spokesperson wants court to clan in Lango, says he once
in power come Decem- to the DPP, the practice of pronounce itself on the legality used blood compensation to
since 2001 ber 23 when ‘Blood Compensation’ is crip- of the practice. reconcile with the family of
when he took the country pling the prosecution of murder Dr. Richard Nam, the Prime a 19-year-old-girl whom he
over after the goes to the cases. Now, the DPP is ponder- Minister Lango Cultural Foun- erroneously hit to death in a
death of his polls. ing engaging Lango Cultural dation, says the practice of motorcycle accident. URN
Why left-handed
people are so rare
Gulu Woman MP Betty Aol Ocan has been confirmed as the new Leader of Scientists have long tried to answer
the Opposition in Parliament. this. In 2012, researchers at Northwestern
University developed a mathematical model
to show that the percentage of left-handed
people was a result of human evolution —
specifically, a balance of cooperation and
competition.
But scientists have now found at least
why some people are left-handed – and
it has nothing to do with the brain. It
was previously thought that the genetic
differences between the left and right
hemispheres of the brain determine whether
someone is left- or right-handed. But a study
published in the journal eLife found that the
answer could lie in the spinal cord.
The researchers found that gene activity
in the spinal cord was asymmetrical in the
womb and could be what causes a person
to be left- or right-handed. Arm and hand
movements start in the brain, in an area
called the motor cortex, which sends a signal
to the spinal cord that’s translated into a
Kawempe South MP Mubarak Munyagwa is the new chairperson of the motion. The researchers found that while the
Committee on Statutory Authorities and State Enterprizes. fetus is growing in the womb, up until about
15 weeks, the motor cortex and the spinal
cord are not yet connected, but right- or left-
handedness has already been determined.
In other words, the fetus can already start
movements and chooses a favorite hand
before the brain starts controlling the body.
To study this, the researchers analyzed
gene expression in the spinal cord in the
eighth through the 12th week of pregnancy.
They found significant differences in the left
and right segments of the spinal cord that
control arm and leg movement.
They concluded that the asymmetrical
nature of the spinal cord could be down
to something called epigenetics, or how
organisms are affected by changes in their
gene expression rather than in the genes
themselves. These changes are often brought
about by environmental influences and
can affect how a baby grows. These gene-
expression differences could affect the right
Mukono Municipality MP Betty Nambooze received a heroic welcome back to and left parts of the spinal cord differently,
Uganda from India where she had gone for treatment. resulting in lefties and righties.
T
he inevitable is happening. Ugan- minded in the media, academia, civil society In his autobiography, Mein Kampf (My
da’s largest opposition party, the and politics. They have exhibited enormous Struggle) Hitler says that he observed the
Forum for Democratic Change courage in opposing Museveni’s dictato- organisation of the Social Democratic Party
(FDC), is breaking up. Twenty two rial tendencies. However, they have also in Germany and learnt that one of the major
out of its 36 Members of Parliament (MPs) demonstrated a deafening and dangerous sources of their success was the use of
are quitting the party to form another. They silence on the growing intolerance of these “physical and spiritual terror.” Let us look
will initially present the new party as a FDC radical extremists. This has helped at his views of “spiritual terror.”
pressure group to avoid the requirement radical extremists consolidate their control “I understood the infamous spiritual ter-
that they seek re-election upon crossing the over the party. ror which this movement exerts particularly
floor. However, one year to the 2021 elec- Here has been the tragedy of the struggle on the bourgeoisie which is mentally nor
tions they will officially announce the new for democracy in Africa. Claims by any morally equal to such attacks,” Hitler wrote
party whose leader will most likely be Mu- group to be fighting for democracy are tak- in Mein Kampf, “It unleashes a veritable
gisha Muntu. en on face value. Its internal operations and barrage of lies, slander and personal attacks
This is a welcome move. FDC has been the behaviour of its leaders and members against whatever adversary seems danger-
under the control and direction of an are rarely questioned. And in many cases ous until the nerves of the attacked person
extremely uncouth and intolerant faction these groups have captured power and break down. This is a tactic based on precise
led by its presidential candidate for life, Dr. produced governments that are worse than calculation on all human weaknesses and
Kizza Besigye. This group acts like a mil- those they overthrew. The lesson for Ugan- its results will lead to success with almost
lenarian cult. It does not tolerate dissent, da is simple but fundamental: denouncing mathematical certainty.”
however mild. Every dissenter is labelled a Museveni’s dictatorial tendencies is not Besigye and his radical extremists may
mole of President Yoweri Museveni. Criti- enough to make a political movement liber- not have read Hitler. They have, of course,
cism of their cult leader, however mild and al-democratic. Its modus operandi is more deluded themselves into the belief that
well intentioned, is treated as sacrilegious. critical. FDC is the best positioned party they are a force for democracy. However,
It relies on intimidation, blackmail, slander to capture power from NRM. The radical their strategies on social media are exactly
and lies to subdue opponents. extremists are its strongest faction. Hence what Hitler learnt from the SDP and once in
This is the first time in the political history a capture of power by FDC is a victory to power employed with deadly success.
of Uganda that we have developed a politi- radical extremism. There is a misleading conception – in
cal party as intolerant as the radical extrem- Whatever the democratic deficits mani- Africa and the Western world – that the fall
ist wing of the FDC. It is a group that has no fest inside NRM, Museveni individually of tyranny is a triumph of democracy and
limits on what it is willing to do to destroy and his party and government generally are liberalism. This is even the more intriguing
its opponents, both real and perceived. fairly tolerant and liberal-minded. I built given that most experience in postcolonial
Equally it has no limits on what weapons my career as a journalist exposing the rot Africa has disproved this belief. Indeed,
it is willing to employ to gain and capture in his government alongside its dictatorial the fall of many tyrannies on our continent
power. One must worry what it would do tendencies. Yet throughout this period I has led to renewed tyrannies (Uganda in
to retain power if it ever had a chance to frequently visited Museveni at State House 1971, Liberia in 1980, Ghana in 1966, 1971,
capture it. and we argued over our differences. He 1981), Nigeria etc., sometimes to anarchy
For two years now I have waged a near- would come to my radio show. He would (in Uganda in 1979, Somalia in 1991, Liberia
lonely ideological war against this radical telephone me to express disagreement over in 1990, Sierra Leone in 1990 and Libya in
extremist group. Many enlightened and opinions or facts I had written. The same 2011).
liberal-minded leaders and members of the applies to NRM and UPDF leaders. They All liberal minded Ugandans (as opposed
FDC have quit the party. Many others have were regular guests on my radio show and to opportunists and other self-interested
remained members but gone silent. I often my major sources of information. pretenders) need to come out openly and
talk to these people. Some are MPs, others The difference between Besigye and constantly to denounce radical extrem-
very senior politicians. They all tell me they Museveni and between FDC and NRM ism in FDC. They must push Besigye (if
are afraid to speak out because they will be became manifest to me when I began criti- they believe he is democratic minded) to
labelled moles and destroyed through slan- cising Besigye and his radical extremists. denounce it as well. Or they must demon-
der and false accusations on social media. It Besigye personally cannot tolerate dissent. strate their commitment to liberal values by
is tragic that a political party born to protest The radical extremists around him push supporting Muntu and those courageous
suppression of divergent views inside the this behaviour to the extreme. I am aware FDC MPs who have said enough is enough
National Resistance Movement (NRM) that he personally works with them to make to the conspiracy of silence that has allowed
practices this behaviour in worse form. vicious attacks on his critics on social media. radical extremism to grow and consolidate
The radical extremists of the FDC have In many ways his actions reflect those of inside the party
buried the liberal-democratic foundations Adolf Hitler. This may shock many readers
on which that party was born. The biggest to believe that I am exaggerating to com- amwenda@independent.co.ug
frustration I have had is with many Ugan- pare Besigye with Hitler. But let us listen to
dans who position themselves as liberal- the German dictator.
S
Muntu campaigns in Arua.
upporters of opposition Muntu who has the patience of an decision has hurt all our allies and
Forum for Democratic ox, is finding it hard to remain still. they cannot remain unhappy and
Change (FDC) party Insiders say he is traversing the unguided. There are many political
stalwart, Mugisha Muntu, country in one last consultations actors. The fear is that if we delay
recently held their last lap push before he makes the big too much, another political actor can
of consultations in Busoga announcement. emerge and seize the moment. But it is
region and finalised with a retreat in The Kasese Municipality MP Robert up to Gen. Muntu to judge if the time
Kamuli. Centenary told The Independent is now.”
The Independent has learnt that a that the group realise they have two POA is short for Patrick
major decision was reached - to leave options; either to rebrand FDC and OboiAmuriat, the man who succeeded
FDC and form a new party. find a middle ground or to form a Muntu as FDC president and recently
Following the Kamuli meeting, on platform of like-minded people and shuffled opposition leadership
Aug.7 in Kampala, 25 FDC legislators engage an overdrive gear and go back in parliament in a move that has
met and resolved to reject positions to the grassroots. estranged the majority of opposition
in a shadow cabinet expected to be “I don’t see the first option, which leaders. Many see it as a purge of
announced by the newly appointed would be our first call, happening Muntu supporters.
Leader of the Opposition in because there is no will. So we will In anguish, these legislators have
Parliament, Betty Aol Ochan. still harmonise our views on the been holding meetings— which
They also agreed not to make next move,” he said, “While some insiders say, mainly centre on how
monthly contributions to the party,to want a new party, some of us want best and safely to quit the FDC
form a pressure group in parliament another kind of platform which will and forge ahead under Muntu’s
and recruit more members into accommodate everyone from all leadership.
it, and support and campaign for groups including FDC.” Both the mood and the numbers
independent candidate Kassiano Centenary said their biggest appear favourable to Muntu but some
Wadri in Arua Municipality. disagreements are over approach and in the group are insisting that the
The decisions of those two meetings `Besigyeism’ in the FDC. timing is not right; that quitting FDC
and others mean that as Gen. Mugisha “Some members in FDC think they now and establishing another political
Muntu approaches his 60th birthday, are the only ones with the formula to formation might be premature.
he faces what might be the best defeat Museveni. They do not want to Insiders add that the group will not
opportunity but equally the toughest hear any other alternative. When you form a political party immediately
decision of his career in politics. challenge Besigye in FDC you become because doing so would mean losing
Muntu must decide whether to calm an adversary,” he said. seats in parliament since the law
down –again- those pushing to quit “We have worked on the Muntu provides that once a legislator quits a
FDC or lead the exodus and start a project for too long,” another Muntu party on whose ticket they were voted,
new political formation with them. diehard told The Independent on they lose their seats. As such, the plan
Pressure is mounting and even conditions of anonymity, “POA’s is to have a pressure group akin to
CCEDU tells EC
election monitoring on July 09, a
local NGO – Citizens Coalition for
Electoral Democracy in Uganda (CCEDU),
has been in and out meetings with the
Electoral Commission in a bid to regain
their freedom.
Behind the case of NGO blocked for
On Aug.10, they held another meeting
with the hope of getting a go ahead
crossing the line in election observation
to observe the by-election in Arua
Municipality on Aug.15. But permission
was denied – again.
For the CCEDU Chairman, Livingstone
Sewanyana, who is the Director at another
NGO; the Foundation for Human Rights
Initiative, that was a sign that the EC was
not about to budge. CCEDU was heading to
court to challenge the EC’s move.
Sewanyana says they want court to
conduct a judicial review of the decision
by the EC to suspend CCEDU’s election
observation license. A judicial review is a
case in which the High Court reviews a
decision by individuals or institutions that
hold power and authority is authorized
and valid or not. This means the CCEDU
case has a lot of significance on the powers
of the EC to determine who observes
elections.
The NGO world is watching the case
closely because, the EC’s withholding
of CCEDU’s license is a sign of the
government to scare other NGO from being
critical. If the court upholds the decision,
critics say, the decision could have a chilling
effect and limit other NGOs from reporting
election irregularities.
Sewanyana who has written a book on
NGO regulation in Sub-Saharan Africa
says the EC’s suspension of CCEDU’s
work did not surprise them as government
has always wanted to stifle freedom of
Association.
“They have done this to journalists,
NGOs and Political Parties. They have made
sure that they have power to do so,” he said
and relating it to recent raids on NGOs.
In September last year, security agencies
raided and occupied the premises of
three NGOs; the Great Lakes Institute for
Strategic Studies (GLiSS), Uhuru Institute
for Social Development in Kampala, and
Solidarity Uganda in northern Uganda.
The government said it was probing
reports of money laundering, and ordered
another 15 NGOs to present to them a pile
of documents; including annual reports
and financial statements. Apart from the
pressure this caused, there has not been
a report of the government finding or the
reasons as to why the NGO Bureau of the
government was making such demands.
Sewanyana says it is all part of the
government’s scare tactics.
Before that, the offices of some NGOs had CCEDU-Observer during an election
Hon. Betty Aol Ocan being congratulated by her colleagues in Parliament recently
B
The Forum for Democratic Change fighting on television and FM radio
etty Aol Ocan, the new President Patrick Amuriat Oboi had talk-shows saying he had consulted
Leader of Opposition in on Aug.3 in consultation with FDC’s widely over several months before
Uganda’s 10th Parliament National Executive Committee, the reshuffle was done. He also
says her Christian values of replaced Winnie Kiiza as the Leader of protested the insinuation that his new
honesty, truthfulness, hard work and the Opposition even though her term lieutenants are light weight arguing
loyalty will help rally her fellow MPs was set to expire in December, this that as long as one qualifies to be MP,
in Parliament to work as a team to year. they qualify to be on a Parliamentary
deliver results to Ugandans. The new changes also saw, Mubarak committee.
“The people of Uganda expect better Munyagwa (Kawempe South) take “I don’t actually understand why
things from the opposition rather than over the chair of the Committee on this has raised eyebrows; opportunity
the NRM,” she told The Independent on Commissions, Statutory Authorities should be given to as many people as
Aug.10. and State Enterprises (COSASE). possible,” he said, “If the positions
Ocan, 59, said just like God In other changes, Nandala Mafabi are held by just a particular people,
empowered David in the bible to (Budadiri West) rebounded as the how do we measure the strengths and
kill a bear and a lion before slaying chairman of the Public Accounts capabilities for the rest of the people
Goliath, she feels she has already been Committee while Cecilia Ogwal was in the party?”
prepared for this daunting task. replaced by Francis Mwijukye as “When you talk about Betty
The Gulu Woman MP was on parliamentary Commissioner, among Aol Ocan being little known, you
Aug.08, formally confirmed by others. underrate her political capacity and
Deputy Speaker of Parliament, Jacob But the reshuffle was greeted with where she came from,” Amuriat said,
Oulanyah, as the new Leader of shock and exasperation from some “She started early and she is now a
Opposition in the 10 th Parliament. sections of the Ugandan public with third term MP, so why would you
Oulanyah, who presided over the some saying the new FDC leadership think she would never perform in the
plenary sitting, read to the House the in Parliament, especially the Leader position of Leader of Parliament.”
communication from the Forum for of Opposition and, the chairperson of The office of the Leader of
Democratic Change Secretary General, COSASE, Mubarak Munyagwa, are Opposition in Parliament was created
Nandala Mafabi, naming the new “light weight.” by the Administration of Parliament
Nobel Prize-winning
author VS Naipaul
dies aged 85
By Independent Reporter & Agencies professorship.
N
Naipaul had showed interest in the great
ovelist Sir VS Naipaul, or Sir culture, history and traditions of the Bagan-
Vidia, who won the Nobel Prize in da people. And when then Uganda’s prime
literature in 2001, had a close con- minister Milton Obote deposed, militarily,
nection to Uganda. the President of Uganda, Fredrick Mutesa
His name resonates with many scholars who was also the Kabaka of Buganda,
because they know him as the famous Naipaul was critical of the British press for
author of `Miguel Street’ a novel which has not condemning the action enough. He
been a fixture on Uganda’s O’Level litera- also travelled in rural Uganda to the Kisoro
ture syllabus. District on the south-western border with
Naipaul was also writer-in-residence at Rwanda and the Congo.
Makerere University Kampala in 1966 and He fell out with Theroux after Theroux
held the Creative Writing Senior Fellowship discovered a book he had given Naipaul
in the Department of Literature. It was the in a second-hand bookshop. They later
same fellowship held by some of Uganda’s reunited.
greatest writers ever, including John While at Makerere, Naipaul rewrote a
Ruganda, of `Black Mamba (1972)’ , Robert novel he had been working on with little
Serumaga of `Return to the Shadows’, and success in England titled ‘The Mimic Men’.
Ngugi wa Thiongo of `The River Between’. He completed it quickly this time.
All of them published many other books But, according to another online report,
and were at Makerere in the same period as Naipaul’s African experience also influ-
Naipaul. Ruganda, for example graduated enced his writing of his next book, “In a
in 1967. Other great writers at Makerere at Free State”, published in 1971.
the time included David Rubadiri, Taban lo In the title novella, “In a Free State”, two
Liyong, and Okot p’Bitek. young expatriate Europeans drive across an departure. He also gave a public talk in
It was in Kampala that Naipaul met African country, which remains nameless the University Main hall which attracted a
another famous author, Paul Theroux, who but which offers clues of Uganda, Kenya, full capacity crowd of scholars and curious
was to be his lifelong on and off friend and Rwanda. The novella speaks to many observers.
and foe. In an article in The New Yorker of themes. The colonial era ends and Africans Sir Vidia, who was born in rural Trinidad
August 3, 1998, Theroux reveals that they govern themselves. Political chaos, fre- in 1932, wrote more than 30 books including
met in early 1966 at a party in Kampala, quently violent, takes hold in newly decolo- `A Bend in the River’ and his masterpiece,
Uganda, which was given by Makerere Uni- nized countries. Young, idealistic, expatriate `A House for Mr Biswas’.
versity, where the author was a member of whites are attracted to these countries, seek- According to the BBC, his wife, Lady
the Department of Extra-Mural Studies as a ing expanded moral and sexual freedoms. Naipaul, called him a “giant in all that he
visiting professor for one year. They are rootless, their bonds with the land achieved”.
They became friends and Theroux com- tenuous; at the slightest danger they leave. She said he died at his home in London
pares Naipaul to a brilliant, demanding The older, conservative, white settlers, by “surrounded by those he loved, having
child and Naipaul’s wife, Pat, as a pretty contrast, are committed to staying, even in lived a life which was full of wonderful cre-
petite woman in her 30s who seemed rather the face of danger. The young expatriates, ativity and endeavour”.
frail. He says Naipaul looked down on his though liberal, can be racially prejudiced. Geordie Greig, editor of the Mail on Sun-
university colleagues and expatriates and The old settlers, unsentimental, sometimes day and a close friend, said his death leaves
considered them intellectually inferior. brutal, can show compassion. The young, a “gaping hole in Britain’s literary heritage”,
He was equally dismissive of his students’ engrossed in narrow preoccupations, are but there is “no doubt” that his “books live
talents. He says the longer Naipaul stayed uncomprehending of the dangers that sur- on”.
in Uganda, the more morose he became round them. The old are knowledgeable, According to the BBC, Theroux, who had
and couldn’t stand the noise around his armed, and ready to defend themselves. a bitter 15-year feud with Sir Vidia before
house. He decided to move to a hotel in the The events unfolding along the car trip reconciling, said: “He will go down as one
highlands of western Kenya. Together, they and the conversation during it become the of the greatest writers of our time.”
travelled to Tanzania. In late May, 1966, means of exploring these themes. Paying tribute to his friend, who he said
when the political situation worsened and He became one of the first winners of the had been in poor health, Theroux added:
a curfew was imposed during the Buganda Booker Prize for the novel in 1971. “He also never wrote falsely.
Crisis, Naipaul moved out of his hotel and Naipaul returned to Makerere University “He was a scourge of anyone who used
in with the writer for the final month of his in March 2008 as a guest of the literature a cliché or an un-thought out sentence. He
was very scrupulous about his writing, very zru recalled interviewing him and said: sion and once attempted to take his own
severe, too.” “When we sat down, the first thing he said life.
Salman Rushdie, who also disagreed was ‘tell me what you’ve read and don’t His first book, `The Mystic Masseur’, was
repeatedly with Sir Vidia, said he was “as lie’. Only then would he consent to be ques- published in 1957. It was made into a film
sad as if I just lost a beloved older brother”. tioned.” directed by Ismail Merchant in 2001.
Farrukh Dhondy, a writer and long-time Writer Jeet Heer called him a “powerful In 1961 he published his most celebrated
friend of Sir Vidia, told BBC News that his novelist” who “at his best approached Con- novel, `A House for Mr Biswas’, which took
writing was distinguished by its clarity, lack rad and even the shadow of Dickens”, while more than three years to write.
of self-indulgence and for his unique per- blogger Patrice Yursik described him as a Sir Vidia was a broadcaster for the BBC’s
spective on the post-colonial world. “titan of Caribbean literature”. Caribbean service between 1957 and 1961.
“It’s window pane prose. You’re looking One fan said “no-one inspired me to read Awarded the Nobel Prize in literature
through a very clean, polished glass win- more than Naipaul” while another tweeted in 2001, the committee said Sir Vidia had
dow at the object beyond,” he said. that his novel `A House for Mr Biswas’ “united perceptive narrative and incorrupt-
“He was one of the greatest literary tal- stayed with me as a lasting memory for 30+ ible scrutiny in works that compel us to see
ents of the last century, and he was quite a years”. the presence of suppressed histories”.
remarkable personality, with insights which It added: “Naipaul is a modern philoso-
I don’t think anybody else had - on a per- ‘Modern philosopher’ pher. In a vigilant style, which has been
sonal level, on a broader civilisational level.” Sir Vidia, who as a child was read Shake- deservedly admired, he transforms rage
On social media, fans paid tribute to Sir speare and Dickens by his father, was raised into precision and allows events to speak
Vidia and expressed their sadness. as a Hindu and attended Queen’s Royal with their own inherent irony.”
Author Laila Lalami described him as a College in Trinidad. His first wife, Patricia Hale, died in 1996
“wonderful stylist and a terrible curmud- He moved to Britain and enrolled at and he went on to marry Pakistani journal-
geon”, adding: “At his best, he could write Oxford University in 1950 after winning a ist, Nadira.
with great tenderness and good humor [sic] government scholarship giving him entry Sir Vidia was outspoken and became
about people whose lives were erased by into any Commonwealth university of his known for criticisms of Tony Blair - who he
colonial narratives.” choosing. described as a “pirate” - as well as Charles
British novelist and journalist Hari Kun- As a student, he struggled with depres- Dickens and EM Forster.
Parliamentary election
campaigns on
Strong RPF pledges transformation, small parties worry
V
Deputies which is the lower house. The remaining 27 seats are indirectly
arious actors on Rwanda’s politi- The senate comprises 26 members who elected by local and national councils. Of
cal scene launched campaigns for are elected by specific councils of adminis- these, 24 seats are reserved for women, two
parliamentary elections. Observers trative entities, appointed by the president, for representatives of youth, and one for the
are, however, tipping the ruling or elected by lecturers and researchers from handicapped.
Rwanda Patriotic Front (RPF) to win with universities. They serve 8-year terms. The number of candidates is 521, includ-
another landslide as the political terrain has Up for grabs in this election are the 80 ing 302 from political parties, four inde-
not changed since the last polls. seats in the Chamber of Deputies who are pendent candidates, 26 for the youth, 10 for
The RPF launched its campaigns in Rul- elected through two methods: 53 seats are people living with disabilities, and 179 for
indo district in Northern Province where directly elected by universal suffrage in a women slots.
RPF Secretary General Francois Ngarambe, single nationwide constituency, with an RPF has allied with five other political
who was the chief guest, spoke to a huge electoral threshold of 5%; and seats are allo- parties, which critics have termed ‘hangers
crowd. cated using the largest remainder method. on’ because - instead of providing an alter-
Observers say should RPF get more than This means the country is considered to native political narrative, they ride on the
95% of the vote, it means all independent be one nationwide constituency and voters back of the powerful RPF to get a slice of the
candidates or parties not in coalition with it cast ballots for parties and not individuals. national cake.
will not make it to the forthcoming legisla- Each party or independent candidate that However, RPF spokesperson Wellers
tive assembly because the condition is that gets 5% of all votes cast nationwide wins a Gasamagera speaking to the media after the
for a party or person to go to parliament seat in parliament. The 80 seats are allocated party’s campaign launch rally in Rutongo,
must have obtained 5% of the total vote. based on what portion of the nationwide Rulindo district in Northern Province
“That scenario cannot happen. In the vote each party or independent candidate defended the partnership and dispelled the
last presidential elections all parties rallied wins. For this to happen, each party submits hangers on arguments, saying the party was
behind the RPF candidate. In this election, a list of its 80 aspirants to the National Elec- keen on further strengthening its position in
some are going it alone,” an official told The toral Commission. After the election, the the 4th Parliament.
Independent. seats are allocated based on the position the He noted: “We do not pick any political
Rwanda operates a two-chamber House aspirants occupy on their party list, starting parties. We get into coalition with parties
that have agendas similar to ours. It is not Parliamentarians are expected to assist in Greens optimistic to gain more seats
about job positions, but the wellbeing of the implementation of that agenda through Green Party president Frank Habineza
Rwandans. Also, every party that allies to legislation and oversight,” a party official told The Independent that his party is opti-
us, that is additional strength.” told The Independent. mistic to beat the odds presented by the
Parties in a coalition with RPF are Party Key among the said manifesto is transfor- uneven political terrain and make to the
for Progress and Concord (PPC), Centrist mation of livelihoods of Rwandans. house.
Democratic Party (PDC), Democratic Union “Reasons for voting RPF are clear and “We are the only alternative political
of Rwandese People (UDPR), Party for known to you all; the main agenda of RPF is party in Rwanda. We have been champions
Solidarity and Progress (PSP) and Ideal to impact lives of Rwandans. Here in Rulin- of citizens’ views. Rwandans have listened
Democratic Party (PDI) of former Security do, there is a lot; Girinka to supplement our to us for the last 10 years,” he says.
Minister Musa Fazil remembered for being efforts to fight malnutrition and household This election is being conducted under
the first person to voice the removal of pres- poverty, hospitals, and a feeder road net- almost similar law with that of 2013. An
idential term limits to enable President Paul work, among others. Campaigning for RPF official at the National Electoral Commis-
Kagame to continue to vie for presidency. doesn’t require one to labour too much… sion says “literally nothing has changed in
Other parties in the race are Social Demo- We need strong institutions, parliament the law”.
cratic Party (PSD) and Liberal Party (PL) inclusive, to advance our agenda of devel- The third parliament was elected at a
of the outgoing speaker of lower chamber oping the Rwanda we want,” said Sports critical time, the country was at a politi-
of parliament and Green Party of Frank and Culture Minister Juliene Uwacu, who is cal juncture after Kagame caught many
Habineza who participated in the last the national campaign manager for RPF. unaware when he encouraged his political
presidential elections. PSD has members “We know where we are coming from party to start debating the country’s politi-
occupying cabinet posts; including long and where we are going, which is far but cal transition in 2017.
serving minister Dr. Vincent Biruta. Others walkable. RPF has the will and energy to The last parliament achieved a lot in
are independent candidates Elisam Salim deliver an agenda to improve lives of Rwan- terms legislation and government oversight,
Ntibanyendera, Janvier Nsengiyunva, Allay dans. We want a growth driven by knowl- and will be remembered for amending the
Husseine Sebagenzi, and Phillip Mpay- edge and ICT. constitution, allowing president Kagame to
imana. Mpayimana contested in the last We need to elect a parliament that will remain eligible to run for office until 2034.
presidential elections as an independent. enact appropriate laws to deliver on the Under the same amendment, the presiden-
plan,” said RPF Secretary General Francois tial term of office was reduced from seven
RPF’s transformation manifesto Ngarambe, who was the chief guest. to five years; that’s after Kagame’s depar-
Candidates of RPF and its allies were There are 80 seats in Rwanda’s parlia- ture.
presented to the public in a group and did ment which political party and independent The campaigns will run for 20-days, start-
not speak save for leaders of their respec- candidates are working to get a slice of. ing Aug.13 to Sept.01. Some parties say this
tive parties whom the master of ceremony In the outgoing house RPF had 34 seats period is too short given that they have to
allotted two minutes to speak to the public. while the rest were shared between interest traverse all the 30 districts in the country.
None of them presented individual party groups such as women, youth, people with As Gasamagera explained, “when look-
manifestos. disabilities and other political parties. Some ing for votes; you have to go the ground”.
“The party agenda is reflected in the observers say RPF rides on the argument of However, most of the parties; if not all, do
manifesto of President Kagame that was having more women in the house to gain a not have the capacity to cover the whole
presented in last year’s presidential election. numerical controlling stake in the house. country in such a small time.
Mushikwabo leads
“The Rwandan foreign minister has every
competence to carry out this role. I will sup-
port her.”
Experts believe that Macron’s endorse-
W
Her campaign is also focusing on youth genocide against the Tutsi.
ith only two months to go to employment as key to addressing current The two nations have enjoyed very “ami-
the election of new Secretary- global migration trends involving French cable terms” since Macron was elected pres-
General of the Organisation In- speaking countries. OIF is a 58-member ident in May 2017. After officially sharing
ternational de la Francophonie state organisation with 26 observer nations. her plan for OIF, Mushikiwabo had no bet-
(OIF), Rwanda’s Minister of Foreign Affairs, The current Secretary-General of OIF is ter opportunity to move her campaign strat-
Cooperation and East African Community, Canada’s Michaella Jean, 60, whose four- egies than using the recent African Leader-
Louise Mushikiwabo’s chances look good. year term since 2014 expires mid-October. ship Forum (ALF) in Kigali, where former
She is, however, not taking chances and is She is seeking a second term in office. African Heads of State joined President Paul
using all available channels including social Mushikiwabo, however, has got the Kagame and business leaders to discuss
media platforms to drive her campaign endorsement of African Union chairperson financing for sustainable development. The
forward. and countryman President Paul Kagame, 5th ALF was hosted by the former Tanzania
The election is slated for October 11-12 French President Emmanuel Macron and President Benjamin William Mkapa and
2018 in Armenia, and in discussions with French Canadians. But she must still use all organised by UONGOZI Institute.
other OIF countries Mushikiwabo has said her diplomatic skills to outwit Michaella,
top of her agenda will be tackling the chal- the only other candidate in the race. Louise Mushikiwabo’s plans for OIF
lenge of reviving the French language in a While announcing his endorsement for The priorities for the 57-year-old Mushi-
number of member countries that have over Mushikiwabo during a recent joint press kiwabo at the OIF released this month
time discouraged the language. This is a briefing with Kagame in Paris, Macron said: include; the influence of the French lan-
exercise
Her candidacy is supported by France and
Rwanda in particular. There is nothing that
can prevent her from handling OIF mat-
ters.”
“She is a great lady, very attentive and
T
especially anxious about the success of our
beautiful continent. She will manage with- he Rwanda Defence Forces
out stress... then for that and other good (RDF), the United States
reasons, we are all for our sister Minister Military, European Union
Louise Mushikiwabo,” said Bosco Sababu and East African nations with
on twitter. other International Organizations,
will conduct a Command Post
Rwanda and French language Exercise (CPX) and a Medical
Back home, Mushikiwabo will have to Readiness Exercise (MEDRETE)
prove how French will be revived as the Shared Accord 2018 (SA18) from
country has slowly shifted to using English August 14-29, 2018 at Rwanda
in public setting since 2006, despite French Military Academy – Gako.
remaining one of the four official languages, This is according to a press release
including Kinyarwanda and Swahili. issued by RDF on August 12.
However for the Vietnamese Prime Shared Accord is a military
Minister, in charge of the Francophonie, exercise focusing on African partner
Samxsang Bounkeut, backing Mushiwabo’s capability and interoperability in
plan of reviving the French language, will support of a United Nations/African
be helpful. Union Peace Keeping Operations
“The use of the language tends to disap- (PKO).
pear within the Laotian youth who prefers The exercise seeks to assess
English, a reality that goes beyond Laos and abilities of participants in conducting
concerns many other countries members of PKO and to enhance positive bilateral
guage; the relevance of the Francophonie; the Francophonie,” Bounkeut said at Mushi- and regional relationships in austere
youth employment, and the exchange of kiwabo’s latest Asia tour accompanied by environments with coalition partners.
good practice. Guinea’s Foreign Minister, Mamadi Toure. The training exercise helps build
After moving around several African partnership with US Army Africa
countries canvasing for support, Mushiki- Who is Mushikiwabo? (USARAF) and East African Military
wabo has gone as far as the Far East; includ- Louise Mushikiwabo has degrees in Lan- Forces, and is designed to help
ing to Cambodia and Vietnam, and plans to guages and Interpretation from University participants improve their capability
reach other OIF members in central Europe of Delaware, USA. She is a former translator, to respond to regional security
and South-East Asia seeking endorsement public relations executive and is a published threats posed by violent extremist
before the vote. author. Mushikiwabo lived in the United organizations, and to more effectively
On Aug.09 she was in Cambodia and States for 22 years, and then in Tunisia for a counter the associated ideology.
tweeted: “I am very pleased with the warm short period. This exercise will include scenarios
welcome that was reserved for me in the She joined the Rwandan Cabinet in related to conducting peacekeeping
Kingdom of Cambodia today; and I enjoyed March, 2008. She is the former Minister of operations during the United
the convergence of ideas with my coun- Information and government spokesperson. Nations Multidimensional Integrated
terpart, on the future of the Francophonie. She co-authored an intergenerational socio- Stabilization Mission in the Central
A thousand times thanks to the Mekong historical memoir; “Rwanda Means the Uni- African Republic (MINUSCA).
countries.” verse” in 2006, and has contributed many SA18 will involve participants
While Mushikiwabo has an agenda that articles to newspapers and online maga- of government personnel from
may change OIF-Rwanda relations, she said zines. She won the Outstanding Humani- Botswana, Gabon, Germany, Malawi,
in an interview with TV5 Monde that; “The tarian Award (2004) from the American Morocco, the Netherlands, Republic
best way to manage the mission of the in University’s School of International Studies. of Congo, Rwanda, Senegal, United
OIF relation to democracy and freedoms is She is a sister of fallen Rwandan business States and Zambia, as well as the
to stand very close to the states, to give them businessman, Landoald Ndasingwa, who international organizations, such
advice, not to give lessons.” was killed in the 1994 genocide against Tutsi as the United Nations and the
The OIF SG candidate has said that La and who is commonly known for the Chez International Committee of Red
Francophonie is more than France and she Lando Hotel in Kigali. Cross (ICRC).
believes the OIF “could do much more”
Rwanda’s conference
tourism grows
Marketing efforts, infrastructural developments, and
capacity improvements set new MICE sector records
By Stephen Nuwagira Convention Bureau (RCB). to US$74 million this year.
R
The growth is on the back of increased Rwanda recorded 28,308 delegates in
wanda’s tourism industry, interventions by stakeholders and 2017, up from 23,804 in 2016, according
particularly the Meetings, government to make the country a top to RCB figures. However, the country’s
Incentives, Conferences and conference destination in Africa. earnings from MICE were even higher
Exhibitions (MICE) segment, is MICE raked in US$42 million from 192 last financial year between July 01,
seeing significant growth going forward, conferences in 2017, according to RCB 2017 and June 30, 2018 at US$51 million
according to statistics by the Rwanda statistics, and this is projected to increase realized from 219 conferences hosted
By Daniel C Ntwari Speaking during the announcement of the conference would create a platform for
R
Rwanda as hosts on Aug.10 in Kigali, Jean stakeholders along the value chain to find
wandan farmers expect the annual Claude Kayisinga, the Permanent Secretary ways on how they can embrace technol-
African Fine Coffee Conference in the Ministry of Agriculture and Animal ogy to propel the sector to the next level of
and Exhibition (AFCCE) to be held Resources, said Rwanda will showcase its growth.
in Kigali next year. The AFCCE potential in coffee research and strategies of “We need collaboration of all key players
conference addresses factors affecting the shifting focus from production for export to to bring farmers on board so that they bene-
sector, especially challenges that are hurt increase local consumption to leverage the fit fully and understand the trading process.
productivity. countries competiveness. For instance, they should be able to know
Theopista Nyiramahoro, the head of cof- AFCCE is organised by the African Fine where their coffee is sold, how they have
fee farmer’s associations in Rwanda, said Coffee Association (AFCA), and Rwanda gained, and also to ensure that we trace
that farmers have a lot of expectations from will be hosting the annual event for the sec- how farmers benefit,” Kayonga said.
the conference, especially practical solutions ond time since 2009. Currently, the country produces between
on how to address issues of climate change “The conference promises to be an excit- 18 and 23 metric tonnes annually and
impacts on the sector, pests and diseases ing opportunity for Rwanda coffee produc- exports 96% of the produce. Despite the
control, and low international prices. ers and will greatly support the country dwindling global prices, Rwanda plans to
Nyiramahoro said prolonged droughts tourism sector given the big number of produce 24,000 metric tonnes, with 80% of
and pests and diseases were devastating global delegates expected,” said Eng. Ishak this as specialty coffee by 2020, up from the
coffee plantations on the continent, while K. Lukenge, the AFCA board chairman. current 60%. The country is also promot-
low prices were discouraging some farm- Samuel Kamau, the AFCA executive ing a coffee consumption culture among
ers from continuing with coffee produc- director, said that Rwanda will be the first Rwandans, and the number of coffee bars
tion. Many are abandoning coffee for other country to benefit from a specialised farm- continues to increase driven by support
crops. ers training that will address issues of coffee from corporates.
She was hopeful that the international growers’ contract management. The (AFCCE) is the largest coffee trade
coffee conference will expose Rwanda farm- “This is the first training of its kind where event in Africa and is expected to be
ers to better buyers and equip them with farmers will be equipped with necessary attended by about 2,000 participants from
skills to engage in global coffee trade mean- skills to analyze and understand contracts, delegates from around the world.
ingfully. enabling them to guard against bad agree- The conference brings together African
The 17th African Fine Coffee Conference ments and benefit from international coffee and international delegates, representing
and Exhibition (AFCCE) in Kigali will run trade,” he said in Kigali on August 10. buyers from Europe, the Americas, Asia, the
from February 13 to 15, 2019 under the Speaking at the event, Amb. William Kay- Middle East and African coffee producers,
theme “Rwanda - Specialty Coffees at the onga, the CEO of Rwanda National Agricul- buyers and consumers.
heart of Africa”. tural Export Board (NAEB), was optimistic
Cipla to raise
100million currently, is expected to reach
130 million soon.
Besides the production of World Health
Organisation pre-qualified anti-malarials,
Shs168bn in IPO
anti-retrovirals and Hepatitis B drugs, the
firm plans to add new drugs including,
tuberculosis, hypertension and diabetes to
its portfolio through licensing arrangements
with the parent company Cipla or third
parties.
This comes nearly five years since the grow business. oon, Angola, Tanzania, Zambia, Namibia,
firm expressed interest to list on the Uganda Cipla QCIL bold move comes when Sub- Mozambique and South Sudan. It also
Securities Exchange (USE). Saharan Africa has the highest incidence hopes to sell its products to 19 countries by
The Kampala based USE last had a list- of a range of communicable diseases and the end of 2020.
ing in 2012 with the electricity distributor, accounts for 93% of malaria-related and The firm manufactured over 1 billion tab-
Umeme. With the new listing, the bourse 73% of HIV/AIDs related deaths in the lets – the highest volume in its history, with
now has 17 local and regional companies. world and approximately 12 and 7% of a monthly production in December alone
Emmanuel Katongole, the executive Hepatitis B and C infections, respectively, reaching a record of 124 million tablets.
director at Cipla QCIL said Cipla will retain according to the firm’s prospectus. In terms of returns, the firm has consis-
the firm’s majority shareholdings of 51% Similarly, the healthcare spending in tently recorded growth in revenues over the
for strategic reasons such as technological the region has demonstrated high growth last five years due to rapid expansions into
transfer, procurement efficiency and opera- rates from US$20bn in 2000 to US$85bn in new markets.
tional excellence. 2015 driven by economic development and For instance, its revenues have increased
“We are listing at particularly exciting donor funding. from Shs89.7bn as at the end of March 2013
time in the evolution and development of CIPLA QCIL started operations in 2005 to Shs227.3bn as at the end of March 2018.
the company,” he said. as a joint venture between Quality Chemi- Consequently, the firm’s net profit
“Our mission to provide access to quality cal Limited (QCL), a Ugandan company has increased from merely Shs8.28bn
affordable medicines has never been more dealing in the importation and distribution to Shs44bn. Its assets have grown from
relevant. We see tremendous potential for of pharmaceutical drugs, and Cipla Ltd, a Shs106.7bn to Shs 209.29bn in the period
growth, geographically and in the scope leading Indian pharmaceutical company under review.
and breath of our product offering.” specialising in manufacturing anti-retroviral With this upward trend curve for net
USE CEO, Paul Bwiso said the drug firm drugs (ARVs) and Artemisinin-based Com- profits, assets in addition to its planned
is highly commended for allowing mem- bination Therapies (ACTs) to combat HIV/ expansion strategy, one can easily conclude
bers of the public to own part of the firm as Aids and malaria respectively. that the company could be a good buy.
it starts a new growth journey. Since then, the firm has initiated multiple
“We know that many companies are not capacity expansion programs and portfolio Cipla QCIL drug portfolio
willing to come to the market because of expansions, including the launch of new Duovir-N (ARV) and Lumartem (ACT)
issues of scrutiny from the public, investors therapies. Trioday
and analysts. Cipla’s decision to open up to Cipla QCIL’s plant is currently approved Efavirenz and Duovir
the public is highly commendable,” he said. by drug authorities in 13 Sub-Saharan Duomune and Nevimune
He added that more than Shs1.2trillion has African countries and its products sold in Texavir and Zentair
been raised through the stock exchange to nine countries – Uganda, Kenya, Camer-
Stanbic’s half-year
earnings remain flat
Bank’s CEO is optimistic that the second half will be better
By Julius Businge
S
tanbic Bank has recorded same net
profit in the half year of 2018 as it
was last year, underscoring how the
industry is struggling to grow in the
era of low interest rates and tough economic
conditions.
Financial results released on August 08
shows that the lender generated a merely
0.7% growth in revenue to Shs96bn dur-
ing half year of this year, up from Shs
95bn. However, this is below the Shs107bn
recorded in the previous year.
Patrick Mweheire, the bank’s chief
executive officer said the slight increase in
profit is attributed to growth in non-interest
income revenues supported by increase in
customer transactions.
“Operating costs were also well man-
aged, growing by only 3.6% year on year
and credit risk also remained very strong
with credit loss ration improving to 0.9%,”
he said.
Out of the bank’s Shs321bn income estimated at 1.6million transactions for the Mutebile’s policy stance
earned during the period, Shs7bn higher full year, 2018.
compared with last year, non-interest Commenting on Stanbic’s and general On Aug.13, BoU Governor, Emmanuel
revenue recorded a 12% growth while net performance of the banks, Salima Naki- Tumusiime-Mutebile said he was keeping
interest income dropped by 5% due to a boneka, a financial analyst at the South African- the central bank rate at 9% in line with the
downward trend in the interest rates. based firm, Stanlib told The Independent that objective of keeping inflation in check.
The bank’s income distribution split was the overall performance of Stanbic was flat Data from Uganda Bureau of Statistics
at 47% to 53% on non-interest and in net in the first half of 2018 partly because of the (UBOS) indicates that headline inflation
interest income, respectively, compared tough economic environment that did not rose to 3.1% in the year ending July 2018
with last year that was 43% and 57%. Loans support growth of businesses. from 2.1% in the year ended June 2018.
and advances grew by 13.2% to Shs263bn. Nakiboneka said as private sector credit Core inflation, which is the target for
Similarly deposits from customers grew continues to grow upwards on the back BoU’s monetary policy also went up to 2.5%
by Shs 523bn, representing 16.2% growth of reduced interest rates on the market, from 0.8% in the period under review.
compared with the same period last year, chances are that loans will become more Mutebile said core inflation is expected
supported by the bank’s strong customer affordable and banks will earn more. to continue rising and peak in the range of
focus through its client eco systems and She said the bank also need to think 6-7% in the second half of 2018/2019 but will
nurturing new customer relationships. of better ways of reducing their costs by stabilise around the medium term target of
Total assets grew by 7.4% to Shs 353bn embracing digital banking, agent banking 5% by end 2019.
supported by strong customer deposit so as to improve profitability. However, Mweheire said there are indi-
growth. Data from Bank of Uganda (BoU) shows cations of a better second half of 2018.
The bank said the excess liquidity is being that the country’s economy is expected to “We are beginning to see 6% and 6.5% in
deployed across the different asset classes, grow by 6.5% in the next three years. the last couple of quarters, a sign that we are
mainly customer loans, in government secu- This will be supported by public infra- turning the corner,” he said.
rities and interbank lending. structure investments, improving agricul- He said the private sector credit is also
This new development comes at the time tural productivity, recovery in foreign direct beginning to bounce back at about 12%
the economy is showing signs of recovery investment and strengthening private sector after some anaemic growth the last couple
and interest rates taking a downward trend. credit growth. of years.
It also coincides with the high uptake of This recovery ideally means banks will Personal borrowing, agriculture, manu-
the bank’s new services, with agent banking have chance to lend more cash to those facturing and services have also started
transactions being far the fastest growing – involved in these sectors and earn more. showing signs of growth, Mweheire, said.
T
he Rwanda Stock Market (RSE)
equity market recorded sluggish
growth for the first six months
of the year ended June 30, with
both benchmark indices dropping over
the reporting period, but the bourse is
expected to rally during the second half
of the year.
According to RSE market statistics, the
Rwanda Share Index, which measures
performance of local counters, dropped
to 131.07 points as at June 29 compared
to the year’s opening of 135.8 points
recorded on Jan.03. The All Share Index
shed 1.95 points during the first six
month of the year, closing at 131.53 down
from 133.48 points on January 3. This
poor performance of the equity market is
attributable to falls in share value of four
counters – Bank of Kigali which closed at
Rwf286 per share, down from Rwf300 in
January; KCB was at Rwf330 compared
tipped to improve
compared to its year’s opening of Rwf66.
The declines in share value eroded the
gains made by the equity market for the
calendar 2017 year when the index for
local counters went up by nearly 13%
year-on-year, market figures show. However, the local bourse’s performance During the 2018/19 budget speech,
for the period January to June 30 is finance minister Dr. Uzziel Ndagijimana
RSE performance expect to rise higher than what was registered over the announced that government would launch
The 2017 performance was buoyed by same period in 2017. The Rwanda Stock and implement a new 10-year Capital
investor confidence in the resilience of Exchange RSI was at 119.32 points on June Market Master Plan, which sector players
Rwanda’s economy. 30, 2017, lower than this year’s close of say will help concretise initiatives by the
The performance recorded last year was 131.07, while the All Share Index was also CMA to position Rwanda’s capital markets
also driven by the ‘renewed’ confidence in down at 124.81 points, RSE market reports as the preferred financial economic hub
the economy, generally and perception of indicate. for domestic, regional, and international
stabilisation across all the listed companies, fund flows. The plan is also expected to
Pierre-Celestin Rwabukumba, the RSE Losers and gainers position the capital market to play a central
chief executive officer, said in an earlier According to the statistics, Bank of Kigali role in mobilising long-term funding to
interview. lost Rwf14 share value between Jan.03 and support Rwanda’s development goals,
With the economy recording impressive June 29, making the lender the biggest according to Eric Bundugu, the acting
growth of 10.6% in the first quarter of loser during the first six months of the RSE Executive director. Last year, two key
this year, experts foresee continued year followed by Crystal Telecom that was stock market laws were published - the
recovery and progress in general if down Rwf13, while the cross-listed counter new law establishing CMA; the law on
commodity prices continue to stabilise. for regional commercial bank KCB declined commodities trading, as well as seven new
The continued increase in returns from the Rwf10 and I&M Bank shed one franc. EAC directives on capital markets.
Made-in-Rwanda initiative and growing The drop in share prices of the four
services sector, especially tourism and counters affected the RSE market Reissues of TB
other subsectors, as well as improving capitalization that went down to Rwf2.89 Meanwhile, government reopened
performance of the local mining sector and trillion as at end June from the higher of a 7-year Treasury bond worth Rwf10
recovering commodity prices on the global Rwf2.93 trillion during the first day of billion in June in a move the central bank
market should help improve Rwanda’s trading this year. called “another milestone achieved in the
balance of payment and further buttress The RSE market capitalisation closed journey of bond market development in
investor confidence. at a high of Rwf2.9 trillion in 2017, up Rwanda”. A bond reopening is tapping
In 2017, the index for domestic listed from Rwf2.7 trillion in 2016, which is an again, once or several times, into a
companies closed at 135.38 points, increase of 6.8 per cent on annual basis. previously issued bond, with the same
indicating 12.9% growth compared to The other counters were unchanged over maturity and coupon to gradually build
119.84 points recorded in 2016. The All the reporting period with beverages firm its outstanding volume to the desired
Share Index, which measures performance Bralirwa at Rwf150; NMG Rwf1,200; targeted level. The National Bank of
of all companies listed on the exchange, Uchumi Supermarkets Rwf104, and Rwanda added that more volumes listed
rose by 4.8 per cent, closing at 133.48 points regional lender Equity Group Rwf350. on RSE will attract investors and increase
compared to 127.26 points the previous activity on secondary market.
year. New strategy
Aug 17 - 23, 2018 29
Business
BT Cotton Opportunity
Local players unhappy with govt’s shelving of biotechnology law
By Isaac Khisa The trials were carried out in two and the recovering of the local textile
W
cropping seasons of 2009-2010 and 2010- industry.
hen confined field trials for 2011 in the traditional cotton growing “We feel that growing BT cotton was
insect-resistant and herbicide- areas of Serere in the East and Kasese in a missed opportunity that would have
tolerant BT cotton started the south-western Uganda. revived the struggling cotton and textile
at the National Semi Arid Though preliminary findings confirmed industry,” said Barbra Zawedde, a
Resources Research Institute (NaSARRI) positive results, the trial that was meant coordinator at the Uganda Biosciences
with support from the US-based Monsanto to be conducted in three cropping seasons Information Centre during the launch of
in 2006, researchers thought farmers would came to a halt citing absence of bio-safety the global status report of biotech crops in
no longer worry of pesticides and weeds in laws and regulations. Kampala on August. 09.
the garden. Parliament passed the bio-safety bill in She said biotech research started in 2003
The researchers rested their hopes October, last year, but it was returned by with the launch of the biotech laboratory
on a gene that is inserted in the cotton – President Yoweri Museveni two months by President Yoweri Museveni.
Bacillus thuringiensis (BT) to enable the later with a request to address numerous “Since then, we are yet to see any
crop produce proteins that are toxic to concerns. products reach farmers let alone cotton,”
bollworms. The crop was also engineered Faced with this dilemma, researchers she said, “We think it has been too long
to be tolerant to herbicide Roundup so now say the government seems to have and it is time for government to tell us its
farmers could forego weeding by simply missed the opportunity to utilise the position – abandon the biotech research
spraying the crops with the herbicide. technology to boost cotton export volumes altogether or sale the research work to
I
now? logistics industry Uganda’s infrastructure
nternational e-commerce with operations is growing – that is good
is growing at a news for us. Coffee as
remarkable pace, and in more than 220 a business and sector is
we want our customers countries including growing and we think this
to grab their share of the Uganda. The presents great opportunity
market which means adding Independent’s for us to move customers’
value to their e-commerce Julius Businge consignments at a speed
proposition. Our customers’ spoke to Fatma that supports them to grow.
success is closely tied to their It is an exciting moment
buyers’ satisfaction with the Abubakar, the for Uganda, our customers
delivery experience and the country manager who we want to grow with.
delivery options offered. Our for DHL Uganda
services have moved over on the sidelines of Some people say it is
time to now target upcountry an e-commerce tough being Country
towns of Jinja, Mbarara, Lira, Manager for a global
Soroti, Fort Portal and others.
workshop held at company like DHL. What
We are regularly meeting its headquarters is your response to this?
our clients to make them in Kampala on DHL promotes women
understand how they can August 08. leadership. I believe a
target other markets instead woman can do what a man
of concentrating on the can do and probably even
domestic market. Research better. It is a balance. We
has shown that retailers who can support their business reach out to customers have our core values that we
actually trade internationally with speed. On our side, we more. The new office has believe in – we deliver our
are as twice successful as the understand the business of improved our efficiency and work without compromising
others who sell the products our customers before we productivity. Our business is on the respect of ourselves
locally. support them to grow. This now faster and growing. and clients.
is partly the reason we are
So how big is DHL business present in other towns outside How has the rising prices of What is your reading about
in Uganda’s logistics Kampala. fuel affected your business? the future of logistics or
industry and beyond? We use commercial airlines, courier business in Uganda?
We are present in 220 Some people say this vehicles that require fuel to The most important thing
countries. We serve 51 business is risky? run and our business is here is that Uganda’s economy
countries in the Sub-sahara Just like in any other and must run. Just like any is growing. More investors
Africa and we reach out to country and business, risks other business, you plan for are coming in as the already
40,000 customers. In Uganda are all over. But it is how you these things. I cannot say established ones work out
we have a total of 700 mitigate them. As DHL, we to my clients that I am not mechanisms to expand their
customers who are connected have got systems and people going to deliver their package operations. And that means
to more than 220 countries in place to do that. We know because fuel price is up. Price this economy; the logistics
and territories where we how to deal with the risks… fluctuation for fuel is a factor sector and DHL as a business
offer our service. We have and our customers are happy. in business that is beyond have a bright future.
13 vehicles, 59 employees, our control. That said our
130 DHL retail outlets, one You recently moved to this performance has been at the What more can the market
dedicated air fleet and we new bigger building that peak. expect from DHL going
have Entebbe Gateway Office houses your headquarters… forward?
or logistic hub. what value has it added to How has DHL performed We believe that cross-border
your business in general in the past few years when e-commerce has a huge upside
Would you say the courier or terms? Uganda’s economy grew at that many merchants have
logistics business in Uganda We moved here in 2016. I less than anticipated growth not yet tapped. Our aim is to
is a viable investment area? can say that it has motivated numbers? support web sellers as they
Uganda has a big potential employees. It has given good Uganda as an economy go global and to stand as the
or opportunity for businesses working environment to us. has a lot of opportunities. international express provider
in all sectors. What we have When you have motivated We notice the economy is of choice for e-commerce.
noticed is that businesses need staff, they will deliver great recovering going by what
a reliable logistics partner who quality service. They will Bank of Uganda and the
E
mployees of beer leading factor in increasing growth in revenue
U
maker, Nile Breweries the school dropout rate of
Limited have donated girls in Africa, with the lack ganda flavors taking
reusable pads to Kiyaji of sanitary products being a Brew- shape and con-
Primary School, Jinja, in line major challenge. eries tributing to our
with its effort to help local “As a company, we engage Lim- bottom line in
communities improve their in initiatives that are over and ited (UBL) has a big way,” he
lives. above profit making because reported an said.
The pupils, as well as Onapito Ekomoloit, Corporate it is important that our com- overall 4% rev- “We recently
their teachers and other and Legal affairs Director, NBL (L) munities strive and education enue growth for launched a new
female school employees, hands over reusable pads to Kiyaji is a vehicle that can make this the year ending spirits glass
each received reusable pads Primary School, Jinja. possible,” said Onapito Eko- June 2018. production line,
enough to last one year. The such an initiative having done moloit, Corporate and Legal UBL Manag- which means
brewery employees raised the the same to Murchison Bay affairs Director, NBL. ing Director, that more of our
money to buy 300 pieces of Primary School in Luzira last NBL has in the last 11 years Mark Ocitti, spirits products
So Sure reusable pads from July. provided 72 scholarships said the growth like Gilbeys,
AfriPads, through individual This new initiative is in packages for secondary school was driven by Richot and
contributions, in an internal response to the available stud- education, through its Equal- the Spirits seg- Smirnoff will
campaign. This is the second ies that show that menstrual ity Scholarship program, ment – Uganda now be bottled
time that NBL is carrying out hygiene continues to be a worth Shs2billion. Waragi and here, which
Gilbeys and make these
Aviation Bond 7. brand more
“Our goal affordable and
Air Tanzania to unveil flights to Entebbe, Bujumbura as company is accessible to our
T
to ensure that consumers.”
anzania’s national car- three times a week on Tues- in Nairobi. we continue The compa-
rier, Air Tanzania, will day, Thursday and Saturday. The use of the wide body to satisfy our ny added that
bring its new Boeing It will share the Entebbe route aircraft is to showcase poten- consumer hence premium beers
B787 Dreamliner to with another Tanzanian-based tial regional customers the innovation like Tusker and
both Entebbe and Bujumbura Precision Air while on the carrier hopes to attract when being at the cen- Guinness grew
Burundi, when the airline route between Dar es Salaam launching a three times a ter of our suc- 11% over main-
launches the planned regional to Bujumbura, it will be the week service in next month to cess. We have stream beers
flights on Aug. 26. only carrier with nonstop Mumbai, India. seen our new such as Bell and
The airline will operate flights, cutting out stopovers Uganda Waragi Pilsner.
pay tv csr
T
nursery school and other goodies.
anzania says it will suspend the licence The handover of the desks was
of MultiChoice Tanzania, DStv and GOtv done on August 07 by the Airline’s
services provider, for charging clients to officials, Ministry of Education and
access free-to-air television channels. Sports officials and politicians.
The Tanzania Communication Regulatory Qatar Airways Uganda
Authority (TCRA) said MultiChoice has on sev-
Commercial Manager, Haileab
eral occasions failed to comply with its licence
Netsereab Mehreteab, said they
condition to exclude the free-to-air stations from
believe in supporting communities
its Pay-tv services.
in which they serve and helping
“In exercising its powers, the authority hereby
develop environments in which
notifies the general public that it intends to
suspend all the licences issued to MultiChoice students can learn better.
Tanzania Ltd for failure to comply with the Qatar Airways hands over desks to students of “By providing the necessary
Kauthara Islamic School in Wakiso District resources to students, we aim to
authority’s orders and failure to adhere to the
licence conditions including failure to exclude inspire them and encourage them
A
free-to-air television channels from among its to aim for the skies,” Mehreteab
subscription channels,” TCRA said in a state- s part of its corporate social said adding, “We look forward to
ment on Aug.07. responsibility, Qatar Airways further collaboration to help support the
On July 27, the regulator said it would sus- has provided students at education of children in Uganda in the
pend Star Media Tanzania Limited, providers Kauthara Islamic School in future.”
of StarTimes, for charging clients to access free- Wakiso district with desks for their Qatar Airways operates a daily flight
to-air channels and refusal to the pay fine it was classrooms. to Entebbe International Airport with a
charged for the breach of law. The Airline donated 70 desks Boeing 787 Dreamliner.
for P1-P7 classes, 10 tables for
I
mobile money transactions,
t has been a good targeting customers
half year again for withdrawing and sending
MTN Uganda as the money.
telecom firm recorded The government is also
8.8% growth in revenue to charging Shs200 – Over the
Shs734.4bn compared with Top tax (OTT) – popularly
the same period last year. referred to as social media
The growth was powered tax.
by improved data and MTN Group, however,
mobile money business. recorded lower profits
The company’s CEO, and revenue in the first
Wim Vanhelleputte said the half of 2018, due in part
Wilfred Baluku (L), the Total Uganda distributor sales executive hands over a 6 company is well positioned to foreign-exchange losses
kilogram Total Gas cylinder to Brendah Bantu (C) – the winner of the Kampala to deliver growth in the and challenging economic
Restaurant week Total Gas cook-off at Karveli Restaurant recently. Looking on sector despite the shake environments across the
is Chef Isaac Lewa. INDEPENDENT/JIMMY SIYA ups experienced in the continent.
market. The Johannesburg-based
“Our half year results telecom firm reported a
notwithstanding, I see profit of Shs 1.12 trillion
MTN ending the year on a during the six months
good note,” he said. ended June 30, down 20%
He said the number from the first half of 2017.
of active mobile money Revenue fell 3.1% at
customers increased to 16.trillion, even as total
5.3 million, out of its 10.5 subscribers rose 2.8% from
million subscribers. But the end of last year to 223.4
the number of active data million.
subscribers rose to 1.8 MTN declared a first-
million, helping lift data half dividend of Shs 446.25
revenue by 17.8%. a share, down 30% from
This comes at the a year earlier, while debt
time the government is rose 23% to Shs 17,850.
implementing a contested
Vivo Energy MD Gilbert Assi (R) and Britam Insurance CEO Allan Mafabi fuels
a vehicle at Shell kabalagala after both companies launched a partnership that
will enable motorists access insurance services at Shell service stations on
August 10. INDEPENDENT/JIMMY SIYA
M
arco Polo, the famous Venice’s leaders are convinced. They about the loss of manufacturing jobs – they
thirteenth-century Venetian implement Fabbro’s recommendations, lacked the skills or flexibility to move to
merchant, was one of the first and, as he had predicted, Venice becomes higher-value-added sectors – and he capi-
Europeans to trade with China. the world’s leading power, thanks to bur- talises on it. He likens trade deficits to eco-
Now imagine that, after a while, the Ve- geoning trade, rapid economic growth, nomic losses – almost to theft – and declares
netian state became concerned that Polo and broad prosperity – all enabled by free China the enemy.
was purchasing too many silks and spices markets. Some of Trumpi’s advisers try to explain
from China to sell at a profit in Europe. The One large Venetian merchant, Walmartius, to him how trade deficits work in an
“trade deficit” he was creating, the authori- is buying V$50 billion worth of Chinese economy that benefits enormously from
ties worry, would deplete the stock of gold goods each year to sell for profit locally, an having the world’s leading reserve cur-
in Venice, while creating jobs for Chinese, endeavor that supports the creation of thou- rency. Challenging the trade deficit, they tell
rather than for Venetians. sands of local retail jobs and lowers costs him, can imperil the V$’s reserve-currency
In this imaginary history, Venice assem- for Venetian consumers. Another merchant, status. Moreover, the Venetian deficit
bles a council of experts to decide whether Appleos, designs high-tech goods in Venice amounts to just 3.4% of Venice’s massive
the risks posed by the trade deficit merit and manufactures them in China, enabling GDP. They explain that a return to mer-
retaliation in the form of tariffs, quotas, or the company to achieve a market valuation cantilism could spur others to do the same,
potentially even a ban on trade with China. of V$1 trillion. potentially by creating an alternative reserve
As the council deliberates, two competing Trade deficits do swell, but they cost currency through a global institution. Only
theories emerge. Venice nothing, because they are denomi- then would Venice’s trade deficits become
One group – the “mercantilists” – argue nated in Venice’s own currency, in exchange a problem, they tell him. The government
that it is up to the state to maximize gold for which other countries freely provide would be forced to reduce spending,
holdings and protect domestic manufac- goods. In fact, before long, all international including on the military, throwing the
turing employment, by imposing tariffs, trade is conducted in V$, which is univer- economy into recession and eroding Ven-
restricting the use of gold for imports, and sally accepted as a surrogate for gold. ice’s international influence.
forcing China to buy the same amount of Thanks to the Venetian central bank’s But Trumpi refuses to listen. Centuries
goods from Venice that Venice buys from reliable prevention of V$ depreciation, after mercantilism was abandoned in favour
China. If China refuses to do so, Polo’s pur- confidence in the currency continues to of highly successful laissez-faire policies,
chases will have to be restricted. grow, creating a virtuous cycle. Soon, every he decides to embrace it, imposing tariffs
The second group, led by Adamo Fabbro, country in the world purchases V$ bonds on Venice’s trade partners, beginning with
subscribes to the laissez-faire argument to hold in their foreign-exchange reserves, China. And it ends about as well as his
that the state should avoid intervening in thereby effectively financing Venice’s large advisers thought it would.
markets. By buying goods from China, budget deficits. All of this enables Venice to Trumpi’s approach erodes the rules-based
Polo was promoting economic wellbeing fund large public programs and maintain global economic order that had served the
in Venice: consumers benefited from goods the world’s largest military, deepening its world – and Venice – so well. Eventually,
they could not acquire domestically – at international clout as it leads the way in the rest of the world reverts to mercantilist
least not at such a low cost – and merchants enforcing global trade rules and securing policies as well, imposing trade barriers
were profiting by re-selling Chinese imports sea lanes. and refusing to use the V$ for international
at a markup. While manufacturing jobs This happy state of affairs continues for a trade. An institution the Venetians helped
might be lost, retail jobs were gained, and few centuries. Though lower-value-added establish and once led, the International
spending – not just on Chinese goods, but jobs in sectors like manufacturing shift to Monetary Fund, creates a new reserve cur-
also on local products and investments – China, where labour costs are lower, jobs in rency, based on gold convertibility. Over the
rose. higher-value-added sectors – such as tech- subsequent century, Venice watches help-
As for the depletion of Venice’s stores of nology, finance, media, and retail – flourish. lessly as its economic and military power
gold, Fabbro offers an ingenious solution: Venice remains the world’s largest economy dwindles.
a paper currency, the Venetian dollar (V$), and leading trade power, enjoying a secure Unfortunately, this imaginary past is now
which other countries could be compelled position at the top of global value chains. threatening to become our real future. If
to accept, because Venice was the world’s Sometimes in history, one can pinpoint the it does, it will be a major turning point in
top trading power. China would receive no precise moment when things take a turn for world history – and all the more remarkable
more Venetian gold, and it could use the the worse. In this story, that moment comes because, unlike most such shifts, there will
V$ to purchase goods from Venice, thereby with the emergence of Donaldo Trumpi as be no doubt about where the blame lies.
boosting local manufacturing. In order to the ruler of Venice.
preserve the value – and thus the credibility Trumpi understands little about eco-
– of the V$, Fabbro proposes establishing a nomics. He is more performer than policy- Asad Jamal is the founder and chairman of
central bank to manage the money supply, maker, eager to win votes however he can. ePlanet Capital, a Silicon Valley venture firm.
thereby preventing excessive inflation. He sees that a subset of Venetians are upset Copyright: Project Syndicate, 2018.
W
hile much of the world’s atten- sensible place to start. At the very least, the of their investment policies to ensure
tion is focused on the economic G20 can offer the appropriate level of guid- alignment with the bloc’s nine principles.
damage being wrought by U.S. ance to help advance FDI policy. When gaps are identified, strategies
President Donald Trump’s The G20’s members already account for for plugging them must be developed.
trade wars, global trade’s twin – foreign two-thirds of global outward FDI flows. Furthermore, to promote compliance
direct investment – has largely been ne- Moreover, they participate in most invest- and knowledge-sharing – and to chart
glected. And yet, with FDI flows valued at ment treaties, and include both developed a course for the negotiation of future
$1.43 trillion in 2017 – on top of the $28 tril- and developing countries. Not only is the agreements – the G20 should facilitate a
lion already invested – how these flows are G20 an important venue for policy dialogue peer-learning network that links inter-
managed matters. and coordination; it is also well suited to ested governments and regulators.
International investment has become an lead on efforts to address key international Second, the G20 should encourage the
important source of external finance for investment issues. United Nations Commission on Interna-
many countries; for developing econo- To be sure, this is not a new idea. For tional Trade Law (UNCITRAL) and the
mies, in particular, FDI can exceed official example, during China’s G20 presidency in International Center for Settlement of
development assistance by wide margins. 2016, the G20 adopted the “Guiding Prin- Investment Disputes (ICSID) to intensify
But if FDI is to contribute meaningfully to ciples for Global Investment Policymaking.” efforts to reform their own dispute-settle-
economic growth and sustainable develop- This set of nine concepts was designed to ment mechanisms. Because dispute resolu-
ment, existing flows must increase even foster an open, transparent, and conducive tion is key to any successful investment
more. For that to happen, international policy environment for investment, while regime, the process for resolving disagree-
investment policies need better coordina- promoting coherence between national and ments must be beyond reproach. To make
tion, and we believe that the G20 is the best international rules. certain that it is, the G20 should track prog-
forum to facilitate this process. Still, as we argued in a recent policy brief ress by requesting regular updates from
The current FDI framework – a muddled for the G20’s T20 think-tank, work on this UNCITRAL and ICSID.
mess of more than 3,000 agreements – is issue has only just begun. In fact, at least Lastly, the G20 should support the World
insufficient to attract the level of investment three additional steps need to be taken if Trade Organisation’s discussions on invest-
needed to meet the United Nations’ Sustain- efforts to improve the international invest- ment facilitation. More precisely, the G20
able Development Goals for the year 2030. ment regime are to succeed. should stress that future agreements need
For example, some of the world’s largest First, the G20 should call on other inter- to be compatible with the “most-favored-
economies are encouraging domestic firms national groupings to conduct analyses nation” principle while prioritising sustain-
to “re-shore” their operations and invest able FDI over other forms of foreign invest-
more at home. Many countries are also ment.
tightening controls on inward FDI; applying The G20 can play a leading role in over-
stricter screening measures to mergers and coming the deficiencies that plague the
acquisitions; and demanding reciprocal international investment regime. To do this,
market access in return for investment. If these trends are however, current and future G20 presiden-
Moreover, an increase in the number of
disputes being filed by foreign investors not reversed, the cies must provide a home for discussions
about action-oriented policymaking. Inter-
against host countries has challenged result could be national investment can avoid the type of
efforts to improve dispute-settlement tensions currently enveloping global trade,
mechanisms, as some countries with- declines in FDI flows, but only if the rules of the game receive the
draw from global arbitration forums
altogether.
and perhaps even attention they need.
If these trends are not reversed, the result the emergence of Karl P. Sauvant is Resident Senior
could be declines in FDI flows, and perhaps
even the emergence of “investment wars”
“investment wars” Fellow at the Columbia Center on
Sustainable Investment at Columbia
stemming from the over-politicisation of stemming from the University. Axel Berger is a senior
foreign investment approvals. Yet, increased
investment flows obviously are needed to over-politicisation of researcher at the German Development
Institute.
meet global development goals; what is less foreign investment Copyright: Project Syndicate, 2018.
clear is how to bring them about.
Unlike the global trading system, the approvals
international investment regime does not
currently have a multilateral organisation
to facilitate rule-making, monitor policy
developments, or adjudicate disputes. But
one can be built, and the G20 is the most
condom campaign?
coordination, monitoring and
evaluation of related activities;
including condom promotion
campaigns.
D
By Flavia Nassaka series of adverts which, on TV the market in recent months is not good,” he said, “You
and billboards, features an in English and vernacular, is can’t go out telling everybody
o you prefer energetic looking muscular by the world renowned family to have sex.
your man sweet man showing off different planning and HIV social mar- “Am told the man is naked,”
like chocolate, packages of a new condom keting group DKT Internation- he added.
fresh like straw- brand on the market called al of the USA with operations While airing public health
berry or classic KISS. The adverts end with one in 24 countries. messages requires approval by
like ……… You message: “Be a man, Give your DKT’s Managing Director either UAC or the Ministry of
decide! girl a KISS.” for East Africa, Collin Dick, Health, Musoba says the KISS
That is according to a new The ad campaign, which hit says the man in the advert is condom message was never
Don’t
miss The
Studio
7 art masters in
town for Kampala
Art Biennale III
S
By Dominic Muwanguzi
N
Toyota 76 LandCruiser Workmate hard knock. And the off-road-friendly
o 4X4 adheres to the KISS (Keep It 225/95R16 tyres offer plenty of side-
Simple Stupid) principal quite like wall for driving in extreme conditions.
Toyota’s 76 LandCruiser Wagon. The 76 Wagon’s V8 turbo-diesel
It is old-school with a separate means there’s a handy 151kW of pow-
chassis, live axles front and rear, five-speed er available at 3400rpm and 430Nm of
manual gearbox, a part-time 4×4 system torque from a low 1200rpm through to
and, in base-spec Workmate trim, unencum- 3200rpm. A generous 785kg payload
bered with fancy stuff like carpet and cloth means you can kit it out with accesso-
trim. This is great when you’re jumping ries such as bull bar, winch and lights
in and out of the vehicle in dirty, dusty or and still have plenty of load carrying
muddy conditions, because all you have to capability. It comes standard with
do to clean up later is wipe everything over ABS, TC, VSC, HSA (Hill Start Assist),
with a damp cloth. Its one-piece 16-inch BA, EBD and front airbags. It has air
steel wheels that can take a beating in the conditioning and a Bluetooth compat-
bush and be easily repaired if they cop a ible sound system with two speakers.
Toyota Fortuner GX
Based on the HiLux platform, the Fortuner is a Toyota Prado GX
basic yet robust bit of kit. It has a separate chassis,
independent front suspension with MacPherson The base-spec Prado GX has everything you
struts, a live-axle rear with coils, a six-speed manual need for bush travel and not too much of the
gearbox (or optional six-speed auto) and a part-time unnecessary ‘fruit’ that you’ll find on higher-specifi-
4×4 system. Its 2.8-litre four-cylinder turbo diesel engine cation models.
makes a claimed 130kW of power at 3400rpm and 420Nm of The Prado has separate chassis architecture with indepen-
torque from 1400-2600rpm, and decent low-range gearing aids dent front suspension and a live axle rear with coil springs. It
slow-speed off-road driving, as does the standard rear diff lock is powered by a 2.8-litre four-cylinder turbo-diesel engine that
and electronic traction control. makes a claimed 130kW of power at 3400rpm and 420Nm of
The original was equipped with 17-inch steel wheels, but torque from 1400-2600rpm mated to a six-speed manual gear-
an update in late-2017 saw these replaced with 17-inch alloys box, or 450Nm with the optional six-speed auto.
shod with 265/65R17 tyres, rear parking sensors to go with its The Prado GX offers a generous 150L fuel capacity which
reversing camera, and manual seat adjustment, durable cloth results in a touring range in excess of 1000km, and it features
trim, manual front and rear air conditioning, a 7-inch display a full-time 4×4 system with a lockable centre diff. Low-range
with Toyota Link and a cooler for the glovebox. It boasts seven reduction is excellent and the Prado offers a good combination
airbags, ABS, TC, VSC, EBD, HSA (Hill Start Assist) and TSC of ground clearance and wheel travel for off-road forays.The
(trailer sway control). The manual variant offers a class-stan- Prado GX manual has a generous 760kg payload capacity.
dard 3000kg towing capacity.
C
up a line or two, builds up on receive you because it’s always friend lives. It is through the
omedian Agnes Akite them, and eventually crafts a different reception,” she says. series that she met renowned
has recently received something funny out of it. Her The mother of two says she comedians like of Daniel
heaps of praise from creativity has birthed decent never saw herself anywhere Omara and Anne Kansiime.
fans after her clip about lines in her scripts. close to making people laugh Her acting was so powerful that
real life experiences of people “It’s funny how people think for money. But she jumped the village girl character has
who mimic songs and insert that we just jump on stage and onto comedy after hitting fame stuck in the audience and her
own words and the escapades start yapping yet we spend for her role as Arach in the NTV challenge today is to prove her
of pregnant women went viral. time preparing for the best series, ‘The hostel’. flexibility in character.
Like her previous performanc- show,” she says. She acted the role of an illiter- Akite says her fun is inborn;
es, Akite prepared the script to Akite says comedy perfor- ate young woman from North- inherited from her father who
get a feel of how her audience mance has bad and good days ern Uganda who follows her has always been funny crack-
would react. but her positive energy keeps boyfriend to Kampala. As he ing jokes that leave the family
Many social media fans were her focused to deliver the best. pursues university educa- laughing.
impressed by her talent and “I still get nervous at tion, she starts “From his stories told with a
creativity and for someone times for not know- a canteen tough face, everyone in the fam-
who is just four years into the ing what kind at the ily is crazy in their own way,”
comedy industry, Akite is yet to or size of the drama she says, “We are all comedians
wake up from the trance the fan audi- by nature because we find fun
reaction has taken her to. ence to in almost everything.”
“I didn’t expect it to go that The tourism graduate from
far but it has humbled me,” Makerere University who
she says, “From the comments, started the comedy journey
some people didn’t know with Punchliners before join-
about me, which is a sign that ing Comedy Files says she has
I should work harder to get to no regrets having comedy as
greater heights.” her way of life. Her dream is
Unlike some comedians who to cross borders and make a
base on use of vulgarity, Akite’s name in the comedy industry
jokes are based on everyday making fun for an international
life and experiences. audience.
Akite says Uganda is gifted
with the funniest and happi-
est people on earth and the
comedy industry requires just a
little support to boost the talent
and grow.
Akite is the fifth born of
the nine children of Anthony
and Hellen Opio. She had her
early years of school at Our
Lady of Africa Nursery School
- Mbuya, St Kizito Primary
School Bugolobi, Our Lady of
Good Counsel Gayaza, Naalya
SS and St Lawrence Schools
and Colleges - Creamland
Campus from where she joined
Makerere University to pursue
a bachelor’s degree in tourism
graduating in 2007.
She is married to Brian
Makalama with whom they
have two children.
“My husband is part of
my jokes and I have put him
on stage sometimes; so he is
supportive of my journey,”
she says.
I
don’t know about you? thing you have ever most like in a man? seriously.
am a very reserved done? God fearing, self-
person; I mind my Settling down for respect, and hard work. What do you most value
own business and if I marriage; I never in your friends?
meet you for the first imagined myself settling What or who is the I am more comfortable
time, you might mistake down for marriage but I greatest love of your having male friends
it for pride. I am very am there and still going. life? because they are
short tempered which My family and that straightforward and less
may sound funny for What is your current incorporates many dramatic.
a comedian but it’s the state of mind? people.
truth. I am happy because Who are your favourite
things are working out When and where were writers?
What is your idea of slowly. you happiest? I don’t read a lot but I
perfect happiness? Giving birth to my son believe that a stand-up
Family time is all time What do you consider and daughter in 2004 comedian should read
happiness for me. the most overrated and 2013 respectively widely to get a feel of
virtue? is unforgettable. I was what is trending and
What is your greatest It is a character of all also happy graduating guide his or her work.
fear? Ugandans; we waste from university in 2007
Dying before my too much time yapping because, clearly, people Who is your hero of
children can fend for about unnecessary stuff had lost hope in the fiction?
themselves; I fear leaving that never adds value to playful me. It disproved I like Tyler Perry; he
my children in the hands our lives. We also like many people. is an actor, playwright
of a merciless and cruel fighting wars on behalf of and filmmaker whom I
world. others. Which talent would you learn from a lot. I highly
most like to have? recommend his film
What is the trait What does being I would love to add ‘Acrimony’ to all women.
you most deplore in powerful mean to you? music but it’s one thing
yourself? Knowledge is power; that I was never gifted Which historical figure
I have a soft spot it can be used to build with. I tried it several do you most identify
for people; when I like or destroy anyone so a times until I came to with?
someone, I overdo it and person with knowledge is terms that I can never be I have read about
eventually some take powerful. a musician even when my Bob Marley as a brave
advantage of me. entire family can sing. activist; I wish I could be
On what occasion do you an activist standing up
What is the trait you lie? Where would you most for peoples’ rights if not
most deplore in others? If I ever tell lies, it like to live? for being a coward.
Hypocrisy. won’t go unnoticed so I Where else would I live
avoid telling lies. apart from Uganda? Who are your heroes in
Which living person do real life?
you most admire? What do you most What is your most My father is my hero.
I admire my father; dislike about your treasured possession?
even at 70 years, he is appearance? I treasure talent What is your greatest
still hardworking and Although I usually joke because it foots my bills. regret?
energetic enough to about my legs, they don’t Everything that
take care of the family. bother me. What do you regard happens does so for a
He is my superstar. as the lowest depth of reason and it teaches
I also admire every Which living person do misery? lessons so I don’t regret
hardworking woman you most despise? I would never wish anything.
because it’s good to Anyone who is a for any woman to have a
hustle and have your hypocrite. miscarriage because it is How would you like to
own money. a very painful experience. die?
What is the quality you In my sleep but in old
What is your greatest most like in a woman? What is your favorite age.
extravagance? God fearing, occupation?
I like hanging out a lot hardworking, and self- Being a mother is What is your motto?
even when I know that respect. also an occupation so I Keep walking.
it’s not a good habit. put it before anything
T
rying to evaluate a meeting like international society, stressing the impor- also means that South Africa’s position as
the BRICS summit that recently tance of the Sustainable Development the BRICS’ gateway to Africa is not assured.
took place in Johannesburg is chal- Goals. And the leaders commended the
lenging. On the one hand, a summit BRICS’ New Development Bank for dis- Financial intervention
is an exercise in political theatre. In this cussing innovative approaches to develop- While the communique highlighted the
sense, success means that the leaders put on ment finance. They also praised officials progress made in operationalising the
a good show of international camaraderie for the progress that’s been made in estab- Contingent Reserve Arrangement, it gave
and issue a communique expressing their lishing a BRICS local currency bond fund. no indication that the BRICS are planning
firm commitment to solving the common This will help the countries raise funds for to de-link the Contingent Reserve Arrange-
challenges facing their countries and the development projects from each other and ment from the IMF. This means that about
world. On the other hand, an annual further develop their local capital markets. 70% of the financing available through this
summit is the culmination of a year-long Progress also has been made in operational- initiative will be linked to reaching agree-
process of meetings of officials, politicians, ising the Contingent Reserve Arrangement ment with the IMF. This should be seen in
and non-state actors from the participating which is designed to provide central bank the context of the BRICS lukewarm support
countries. They spend the year trying to support to a member state facing balance of for increased African representation in IMF
reach agreement on specific deliverables payments problems. They also announced governance. In addition, while the com-
that they hope their leaders will endorse more people-to-people exchanges in sports, munique commends the BRICS Bank for
in their communique, which is the sum- culture and research collaborations. considering innovative approaches to devel-
mit’s primary output. This means that The leaders called for South Africa, Brazil opment finance, it makes no mention of its
understanding the real meaning of the and India to play a larger role in the United poor record when it comes to transparency,
communique is essential to assessing the Nations and for a larger voice for Africa in participation, and accountability. In fact, the
success of the summit. This requires paying the governance of the International Mon- bank is less transparent, less open to consul-
close attention to what the communique etary Fund (IMF). tation and less accountable than any of the
does – and doesn’t – say as well as to the other multilateral development banks.
things that it promises. The Johannesburg The gaps Without improvement in these areas it
BRICS summit delivered a mixed bag when The summit communique had some is hard to see how the New Development
judged on these two criteria. The commu- noteworthy gaps. First, while the leaders Bank can become an environmentally and
nique makes clear that some solid work was expressed support for IMF governance socially responsible funder of sustainable
done and that the participants have agreed reform, they failed to explicitly support and inclusive infrastructure. The bank’s
to undertake some useful initiatives. But it’s South Africa’s lobbying for a third chair for lack of progress in the transparency scale
also clear that on some issues the leaders Africa on the IMF board of directors. They exposes it to significant reputational risk.
resorted to vague statements that hide their also did not propose any other specific
real differences. This suggests that, despite measures to improve African participation Hedging bets
their accomplishments, there are differences in IMF governance. The BRICS have agreed some impres-
in their overall commitment to the BRICS. Second, the communique failed to spe- sive initiatives and have taken some steps
In addition, key countries view it as merely cifically support Brazil, India and South to strengthen their ties. But they have also
one option for advancing their grand inter- Africa’s efforts to win permanent seats on failed to demonstrate that they will live up
national relations strategy. the UN Security Council. to their promise to be an effective advocate
The leaders highlighted their concerns for global governance reform.
The positive notes about the challenges in the international Key leaders have also shown that they
The leaders issued a communique that trading system and called for it to become are hedging their bets on the BRICS. They
suggested that they had a productive more inclusive and development oriented. are using other vehicles to develop their
meeting and agreed on a range of issues. But they did not set out how the system international relations in Africa and at the
They announced the formation of a new should be reformed to achieve these objec- global level. The key takeaway therefore
vaccines research centre in South Africa tives. This is particularly striking because is that South Africa should be proud of its
and their intentions to collaborate more in their meeting came soon after the U.S. and participation in the BRICS but should retain
tourism and customs, technology, energy, the European Union announced that they a healthy scepticism in its approach to the
the environment, and agriculture. could begin working together to reform the group. It should continue to diversify its
On trade, the leaders followed the Chi- WTO. Similarly, their expression of sup- international economic and political rela-
nese lead. They expressed their support port for the AU’s free trade agreement and tions, should attach appropriate value to
for a rules based multilateral international Agenda 2063 was devoid of any specific the BRICS and all the other regional and
trading system and called on all countries to commitments. This is particularly note- international forums and groupings in
comply with their World Trade Organisa- worthy because both the Chinese and the which it participates, and should avoid
tion (WTO) commitments. They also stated Indian leaders combined their participation over-investing in the BRICS.
their support for the newly signed African in the summit with visits to various African
Continental Free Trade Agreement and for countries to whom they made specific offers Danny Bradlow is SARCHI Professor of
the African Union’s Agenda 2063. of support. This suggests that India and International Development Law and African
They agreed on the importance of pro- China see the BRICS as only one channel for Economic Relations, University of Pretoria
moting a more inclusive and sustainable developing economic relations in Africa. It
#NBSUpdates