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News analysis Health Business

Behind teargas for Besigye, Is drinking cold Rwanda-Uganda feud:


house arrest for Bobi Wine water bad? traders turn to other markets

Issue No. 570 May. 03 - 09 2019 Ushs 5,000,Kshs 200, RwF 1,500, SDP 8

Lessons to
Bobi Wine from
Besigye
It’s defiance or death

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May. 03 - 09 2019 1
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Issue No. 570 May. 03 - 09 2019

News analysis Business Health Arts Motoring

Cover story
Lessons to Bobi Wine from Besigye
It’s defiance or death

5 The Week
30 Comments
Kidnapped American tourist
speaks out on Uganda Monetisation of garbage:
The incentives that must be
given to people to minimise
9 The Last Word
the amount of garbage that
The road to serfdom: How reaches landfills
Ugandans have cultivated a mindset
that is making them servants of
32 Health
foreigners in their own country
Is drinking cold water
bad?: A study investigated
14 Analysis the effects of different
drinks on the performance
Behind teargas for Besigye,
of 12 trained male athletes
house arrest for Bobi Wine: Should
opposition trust NRM promise on meetings?
35 Arts & Culture
27 Business Old is gold: Art inspired
by a humble life and a
Rwanda-Uganda feud:
grandfather’s idioms
traders turn to other markets

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

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

2 May. 03 - 09 2019
Offline

“We are now going to create our own radio


stations within the community. This is
through networking with the locals and
leaders at the grassroots. These grassroots
radios will help us pass information from
bottom to top and vice versa.”Dr Kizza Besigye,
opposition leader

City Businessman Sudhir Ruparelia has won a multibillion shilling case he filed in 2017 seeking
orders stopping Sebalu and Lule Advocates from representing DFCU bank in a matter involving
his former bank, the defunct Crane Bank, citing conflict of Interest

Kyadondo East
MP, Robert
Kyagulanyi aka
Bobi who was on “The Public Order Management Act is a
April 29 arrested well-framed act. It does not say ask for
as he headed to permission it simply says you notify the
Kibuli to respond
to Criminal police.”Mwesigwa Rukutana, deputy attorney
Investigations general
Directorate (CID)
summons and
arraigned before
Buganda Road
Magistrates
Court.

Nasasi Belinda, a
businesswoman on
April 27 won the
first-ever Uganda
`Miss Curvy beauty
pageant’. The “Parliament is not a haven or a place of
pageant became
controversial when safety for criminal conduct; if you commit
Tourism minister a crime outside Parliament, the privileges
Godfrey Kiwanda
suggested the and immunities of Parliament cannot
curvy women protect you. Parliament is not a haven for
could be tourist criminality.”Jacob Oulanyah, Deputy Speaker of
attraction
Parliament

Sub-counties which
Candidates who Money UK has invested in
400 3316 Shs577bn
have not been funded
for a full financial year failed primary teacher Uganda to boost crop production
education exams and post-harvest handling

May. 03 - 09 2019 3
week

Prime Minister
Ruhakana Rugunda
(M), Gerald Siranda
IPOD Council
chairman (L), Frank
Rusa IPOD organiser
and Mwesigwa
Rukutana deputy
attorney general at
an IPOD meeting to
discuss the Public
Order Management
Act on April 25 at
Commonwealth
Resort Munyonyo.
IPOD stands for Inter
Party Organisation
on Dialogue.

ISO grills Kampala Tension at Kampala city authority Gov’t loses Shs2.5bn
taxi boss Jennifer Musisi, former employees are leaving in droves on youth loans
KCCA executive director, is because some believed in Musi-
In a continuation of its wide reported to have left behind an si’s leadership and are not com- The government through
ranging operations, the Internal institution in disarray when she fortable with the current leader- the ministry of gender, labour
Security Organisation (ISO) resigned and handed over office ship of Andrew Kitaka, acting and social development has
interrogated Yasin Ssematimba in December. Sources in KCCA executive director. The recruit- written off Shs2.5 billion in
over several days over allega- say directors, mid ranking staff ment of KCCA employees is bad loans under the Youth
tions that he was involved in and other employees are in sus- now back in the hands of the Livelihood programme. The
fuelling city riots, protests and pense over the uncertainty that Public Service Commission after money has been extended to
wrangles among taxi drivers has engulfed the city authority. the Musisi-led KCCA had insti- 2000 youth and the ministry
Most employees were work- tuted their own independent
and operators in Kampala. has given up on recovering the
ing on four month contracts mechanism of hiring employees
Ssematimba is the chairperson money after several attempts.
and did not renew the moment on a four months basis.
of Kampala Operators and Janat Mukwaya, the minister
Musisi quit. Sources also say
Taxi Stages Association. Over for gender told lawmakers
the past several years, the lat- while defending her ministry’s
ter organization and similar budget of Shs162billion for
outfits have been implicated in the next financial year. The
criminal activities. Most promi- money was calculated from the
nently is Boda Boda 2010 whose book value of Centenary Bank
leader Abdullah Kitatta is facing which was an implementing
charges of murder at the General partner with the ministry when
Court Martial in Makindye, the project was launched in
Kampala. His organization was 2012. Under the MoU with the
implicated in robberies and gender ministry, Centenary
murders at the height of former Bank was supposed to manage
IGP Kale Kayihura’s reign. the funds and provide quarterly
reports to the ministry.

ACP Siraje Bakaleke case hangs in balance


Assistant Commissioner of James Byamukama, Bakaleke’s to have the witnesses’ statements
Police Siraje Bakaleke is still on the lawyer said “It is not proper for the but this has either been ignored
run and the Ant-Corruption Divi- defence to manage the state’s case or State just refused,” he added.
sion of the High Court is actively on whether to strike off someone Bakaleke was one of former IGP
hunting for him to answer charges from a charge sheet or not, all Kale Kayihura’s right hand men
of abuse of office, conspiracy to we can state is that the prosecu- and was implicated in the fleecing
defraud, kidnapping with intent to tion is not ready.” He said there of Shs1.4billion from South Korean
confine a person, and conspiracy have been court appearances in investors in a shady deal. He has
to commit a felony. However his vain without any witness coming been on the run since Kayihura
lawyers asked the court to dis- forward since October 2018. “We was dropped as IGP early last year.
miss the case for lack of evidence. have made applications in this case

4 May. 03 - 09 2019
Week

Kidnapped American tourist speaks out on Uganda


Kimberly Endicott, the Jean Mirenge, hostage and see the most beautiful sky I’ve
American tourist who was their days in captivity before a ever seen in my life.” Endicott
kidnapped while in Uganda ransom payment secured their bonded with the captors and she
told CBS, an American Telvision release. “And then the sun is revealed more. “It’s nothing like
that her captors turned out setting and we keep walking I’ve ever seen before. And that
to be her protectors too. In and it gets to complete, like, was when I became very aware
her first interview about the pitch darkness,” she said during of humanizing myself to them
ordeal, Endicott spoke about the CBS interview and added, ... I said, ‘Look at the sky.’ I said,
the humanity of the four men “So at one point we stopped. ‘We don’t have this at home.”
who took her and her tour guide And I look up in the sky and I

Court awards Chief Justice in South


Shs2.6bn to fired Africa for eye surgery
railway workers Chief Justice power to choose
5,105 former employees Bart Katureebe is a leader of their
of Uganda Railways in South Africa for choice. In my
Corporation (URC) will have cataract surgery. considered view
Shs2.6billion as compensation He left the country therefore, the
for lost time when they shortly after the Justices of the
were suffered wrongful Supreme Court Constitutional
termination from the delivered its ruling Court were correct
railways body. The claimants on the age limit case to find that the
worked at the body from after an appeal by restriction on the
1986 to 2004. The Court of the Constitutional age of a President
Appeal in a ruling led by its Court. He was or the Chairperson
head, deputy chief justice,
Alphonse Owiny-Dollo,
Eliud Kipchoge wins accompanied by
his wife Bernadette
Local Council V
was not a basic
also ordered URC to pay
the former employees two
fourth London marathon Katureebe
and personal
pillar of the
Constitution of
thirds of the costs of appeal. assistant, Aloysius Uganda.”
Justice Kenneth Kakuru Kenyan long distance maestro ran in two hours two Natwijuka. The
and Stephen Musota made minutes 38 seconds to win the London marathon for a Supreme Court
up the three man panel. fourth time. Kipchoge set the world record last year in upheld the ruling of
The claimants worked at Berlin and in London he ran his second fastest race. Kenya the Constitutional
as accountants, traffic staff, wrapped itself in double glory when Brigid Kosgei, Court in a 4-3
civil engineers and in other 25, became the youngest female London winner. She decision. Katureebe
technical capacities. The court completed her race in two hours eighteen minutes twenty ruled thus “To deny
awarded them Shs500, 000 seconds almost two minutes ahead of compatriot Vivian a person a chance to
each at a 17% interest rate Cheruiyot. Kosgei is slightly less than a month older than participate in vying
from June 2004 when they Aselefech Mergia, the previous youngest winner, of the for leadership of the
filed the case at the High 2010 race. It was a disappointing finish for Briton Mo Country because
Court till payment in full. Farrah who finished fifth. He was involved in a row with of age would
URC has filed an appeal to Olympic champion Haile Gebrselassie days before the affect the people’s
the Supreme Court. race which is said to have distracted him. sovereignty and

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May. 03 - 09 2019 5
Week
Changes in O-level
Farmers petition Speaker on sugar cane zoning curriculum
conditions should be met before
any attempt to legalise zoning Students in Ordinary Level
(O-level) will no longer have
is made: Farmers land in the
to study for long hours in class
zone should be treated as an
according to a new curriculum
investment meaning that at
approved by the government.
least 60 percent shares of the
Classes will begin at 8am and
factory be owned by farmers,
end at 2:50pm. The rest of the
since farmers supply more time up to 5pm will be devoted
than 70 percent raw material; towards research projects or cur-
Farmers to be represented on ricular activities. The National
the factory governing board; Curriculum Development Cen-
Government undertaking to tre (NCDC) has also cut number
fully compensate farmers in of taught subjects at O-level by
case of burnt cane above 10 more than half from 42 to 20. In
months since the factory has other changes, O-level exams
no capacity to crush cane in the will account for 80% of the
zone, which is a 25 km radius marks for every student and the
has production potential of other 20% will be derived from
10,000 tons cane per day, and continuous assessment. In some
yet in Uganda no sugar factory syllabus changes, students will
has this crushing capacity. Also, be taught the NRA bush war
Sugar cane growers associa- believes in wealth accumulation the farmers want a penalty of history which will replace out-
tions of Masindi, Mukono and by rent-seeking behaviours 3 percent interest per month worn topics that comprise North
Busoga have petitioned the i.e., “in this case Farmers land for delayed harvesting of cane American and European history.
Speaker of Parliament Rebecca (private property) is grabbed/ beyond the stipulated time NCDC and Uganda National
Kadaga over sugar cane zon- colonised for production frame of 18 months (Sugar Examinations Board (UNEB) are
ing to reject the idea terming for a particular mill.” In the Policy 2010). now in harmonization talks on
it as an out-dated model that petition, the farmers say some how schools can record marks
for national grading.

6 May. 03 - 09 2019
Humour Did you know?
Rh-null is rarest and
most precious blood type

Rh-null or Golden Blood is an


extremely rare blood type that has only
The government seals Shs600b deal to export marijuana to Canada and Germany starting in June been identified in 43 people around the
world in the last 50 years. It is sought
after both for scientific research and
blood transfusions, but also incredibly
dangerous to live with for the people who
have it, because of its scarcity.
Human blood may look the same in
everyone, but it’s actually very different.
On the surface of every one of our red
blood cells we have up to 342 antigens –
the molecules that trigger the production
of certain specialised proteins called
antibodies – and it’s the absence of certain
antigens that determines a person’s blood
type. The 342 known antigens belong to
35 blood group systems, of which the Rh,
or ‘Rhesus’, system is the largest, with 61
antigens. It’s not uncommon for humans
to be missing one of these antigens. But
what if a human is missing all of the 61 Rh
antigens?
Until half a century ago, doctors
Ugandan women working in the Middle East continue to complain about the mistreatment and believed that such an embryo couldn’t
poor working conditions even survive in the uterus, let alone
develop into a normal, healthy adult. But
in 1961, an Aboriginal Australian woman
was identified as having Rh-null blood,
meaning she lacked all the antigens in the
Rh blood system, which made no sense at
the time. Since then, only 43 people with
Rh-null blood have been identified.
Rh-null blood can be given to anyone
with a negative Rh blood type, which is
why scientists often say that it’s worth
its weight in gold, but what if a person
born with this unusual blood type ever
needs a blood transfusion. That would
be a big problem, as they could only
receive Rh-null blood. This makes it
very dangerous to live with. If they
receive blood from someone who is
‘positive’ for one of the 61 Rh antigens
they lack, their own antibodies could
react with the incompatible donor blood
Civil Aviation Authority plans to ban taxi cabs that were manufactured 10years ago from cells, triggering a potentially lethal
accessing Entebbe Airport immune system response.

May. 03 - 09 2019 7
News analysis Health Business
Why NRM fears HIV treatment Fights at
Independent MPs breakthrough Posta Uganda

Issue No. 569 April. 26 - May 02 2019


Ushs 5,000,Kshs 200, RwF 1,500, SDP 8

Money fuels
fights within
Opposition

Inbox
Follow us on Twitter @ Why Mao, Besigye, Bobi Wine
http://twitter.com/#!/ugandatalks cannot work together

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Letters are
welcome !
The Editor welcomes short and Thanks to government Kira Road accident shows
concise letters from our esteemed
readers on topical issues. Please for CCTV cameras value of street cameras
send them to:
The Editor, The Independent Refer to “Dozens injured in Kira Road Refer to “Dozens injured in Kira
Publications Ltd, accident” (The Independent Online Road accident” (The Independent
P.O Box 3304,
Plot 82/84 Kanjokya St,
April 25). Thanks to the government for Online April 25). We are so sorry for
Kamwokya. the introduction of CCTV cameras, now those who lost their beloved ones. May
Kampala,Uganda. road users should know whatever crimi- their souls rest in eternal peace. But the
nal acts are committed. Accountability is government should introduce more
Email: editor@independent.co.ug key. No room for exit. cameras on roads hope that camera
helped to show how accident hap-
Julie pened.

Mwenda, and capitalism, Osbert Bamporere

Bashir and grave diggers


Refer to: “The fall of Omar
Bashir” (The Independent April
19). I seem to have a problem with
Andrew Mwenda and his Karl Marx
‘grave digger’ reasoning. If to do Why fly Uganda On new Uganda Airlines
well for previously impoverished
people when leading government Airlines Refer to: “Museveni welcomes ‘baby’, pushes
means ‘digging one’s political grave’ Refer to: “Museveni welcomes for East African airline” (The Independent On-
then those who want to remain in ‘baby’, pushes for East African line April 24). In 1977 Uganda airlines was born
leadership for as long as nature airline” (The Independent On- after a “whimsical” thought by then Ugandan
enables them, cannot consciously be line April 24). Why would I fly president Idi Amin. It was rundown and eventu-
doing ‘good’ for the people, unless on a Uganda Airlines plane (or ally collapsed in 2001 during the reign of Presi-
their motive is not self-interest. Rwandair, Kenya Airways) if I dent Yoweri Museveni who, by any measure is a
Which also brings me to his view can fly KLM or SN Brussels that more refined leader than Idi Amin. What makes
on capitalism: While I may agree offer much better services? these two leaders “identical” is the manner in
that many capitalists (including G. Ndaruhutse. which they arrive at critical decision. If what
him?) seek profit first, I am inclined Mr. Mwenda reported in these pages is
to disagree on true innovators and
inventors. The creative part in the
East African Airline anything to go by, the idea of ” reviv-
ing” the airline was not borne out of
process of invention is so precarious not good idea a thorough economic thought. There
that to put profit behind it, would Refer to: “Museveni welcomes was no feasibility study. It was another
very easily abort it. The drive ‘baby’, pushes for East African “whimsical” thought- a culmination of frus-
behind it for many inventors is a airline” (The Independent On- tration that has led to this so called “baby.” As a
desire to feel you have done what line April 24). Amalgamating all Ugandan, I am proud that we “own” an airline.
no one else has been able to do – regional airlines into one airline But I would be more proud if that airline was
and if you can profiteer from that will create a monopoly. Do we protected from its earlier “inadequacies”
effort, that would be ‘bonus’. Since want a monopoly which will that led to its failure in the first place.
Mwenda likes reading, I would result in higher ticket prices? My
– without blowing own trumpet opinion is for African govern- Rajab Kakyama
– advise him to checkout : https:// ments to adopt the open skies
www.intechopen.com/online-first/ policy protocol. It is amazing
mechanical-engineering-design- African governments have met
going-over-the-analysis-synthesis- twice at the AU and signed the
mountain-to-seed-creativity and open skies protocol but to no
focus on section 3.1 of that work. avail. Our policy makers are
good at talking but no action.
Dr Eng Kant Ateenyi Godfrey Mubiru

8 May. 03 - 09 2019
The Last Word Opinion

The road to serfdom


By Andrew M. Mwenda
How Ugandans have cultivated a mindset that is making
them servants of foreigners in their own country

M
y friend Henry Mayanja left zero in taxes. They are poor largely because of the state, in large part because their
Uganda as a teenager and we do not have entrepreneurs to create immigrant status denies them the luxury
lived in the UK for 20 years. He businesses that can employ them. of thinking they need to change anything
worked for the UK government For many Ugandans hearing the politically to succeed. (I have deliberately
earning a salary and thinking he had dominance of Indian capital in our omitted South Sudanese because these
made it. When he visited Uganda in 2011, economy, the first intuition is to look for a come loaded with cash after looting their
he found some ordinary guy he left in villain to blame. The best way to make such own state to invest here).
Hima – uneducated, riding a bicycle and a villain recognisable is to give him/her a If the state and its corruption and
selling milk – a successful entrepreneur in human face. So President Yoweri Museveni incompetence are the reasons many
Kampala with 24 lorries and investments in becomes the villain. Of course Museveni Ugandans are unable to begin businesses
real estate. The guy explained to Henry that personally carries part of the blame for this. and prosper, how come immigrants do not
he had grown from the bicycle to a boda He has been a strong advocate of Foreign find this an impediment? This convinces
boda, to a small pickup, to the lorries. Direct Investment as a driver of economic me that corruption (however morally
Henry felt challenged and resolved to growth. He is also fascinated by Indians repugnant it may be) and incompetence are
return to Uganda and enter business. He and sees them as more entrepreneurial than excuses, not an explanation for the failure
went back to UK, got a second job, and was indigenous Ugandans. He has thus been of many Ugandans to set up businesses that
earning £35,000 (Shs170 million) a year – willing to use the state to support some of can grow and thrive.
which to Ugandan ears sounds great. After them. Some Ugandans think, and in a few
two years, he had saved £15,000 (Shs73 Yet most Indian entrepreneurs have specific cases correctly so, that success in
million) and bought two lorry-heads and never received any direct state support but business requires political connections. But
returned to Uganda in 2013. He partnered they are thriving. In any case, limited local the vast majority of successful immigrant
with a friend who provided him five trucks ownership of the economy is a characteristic businesspersons in Uganda lack even the
(pulled by lorries) and entered the logistics feature of most of the economies of Africa. most basic political connections to explain
business. Today Henry has over 70 lorries In Tanzania, Kenya, Zambia, Malawi, their success.
with their trucks; his business is worth over Ivory Coast, Liberia, Sierra Leone etc., Most of our people, especially the
$5 million and is diversifying into real estate foreigners own most of the businesses. This educated, claim the government has not
and mining. The money he makes today in demonstrates that many of the problems “opened opportunities” for them. But if the
Uganda is 20 times what he was earning in we attribute to individual leaders like government has closed opportunities, how
UK. Museveni are actually results of broader, come immigrants are making a fortune? If
The lesson from Henry’s story is historical, impersonal forces. Leaders like we continue with the mindset of blaming
simple but fundamental: Ugandans do Museveni are consequences, not causes, of government for individual failures, we
not need to run to Europe and North the neocolonial character of the state. shall continue to be servants/workers of
America to prosper. Our country has I have grown increasingly to believe that immigrant groups in our country. Soon
many opportunities, which anyone one of the main causes of our economic politicians seeking votes will whip up
entrepreneurial can exploit and prosper backwardness in Africa is our mindset. This nationalistic sentiments against immigrants
better than anything the U.S. and Europe is inculcated in us largely but not entirely in order to rob them of their property.
can offer. Yet very many Ugandans, even through our education system and in public This will lead to an economic collapse as
the most educated and exposed, spend a lot media. happened with Idi Amin’s economic war
of time complaining about how government There is a suffocating belief that the state of 1972.
has failed to create opportunities for them is the source of prosperity for individuals I meet many Ugandans who can hardly
to prosper. This is the most dysfunctional and groups. The maxim, therefore, is that speak English (meaning they did not go
mindset across our vast continent. individual and collective prosperity requires far in school) who have made a fortune as
Government cannot create opportunities a competent and honest government – traders, real estate investors, etc. Why are
for anyone. At best it can create an enabling whatever these two adjectives mean. the most successful indigenous Ugandans
environment for people to succeed. This explains the over politicisation of life in business equally the least educated?
For instance, we have an estimated 20,000 in Africa – everyone wants to be engaged in Because they have not been indoctrinated
Indians (or South Asians generally) in politics as the vehicle for improvement. with the belief that their success depends
Uganda i.e. 0.5% of the population. Then Yet there are many successful on government; so they seek to rely on their
someone recently told me that Indians (or businesspersons, most especially from wits too. Meanwhile the most educated
Indian owned businesses) pay 64% of our immigrant communities – Ethiopians, Ugandans work in NGOs, embassies,
tax revenues. If this number is correct, then Somalis, Eritreans, Indians, Chinese, etc. in government, multinational corporations, or
it reveals something fundamental about Uganda. Most of them come to this country as employees of businesses of immigrants.
this country: the thinness of indigenous with nothing but their wits. They set up Why? Our education system teaches that
participation in the economy as productive businesses and within a few years they have success comes from the state instead of
agents – exactly as colonialism designed. built thriving enterprises and are employing individual initiative.
Meanwhile 70% of Ugandans are peasants Ugandans.
living on agriculture, which contributes They succeed without seeking any reform amwenda@independent.co.ug

May. 03 - 09 2019 9
cover story

Lessons to
Bobi Wine from
Besigye
It’s defiance or death

10 May. 03 - 09 2019
cover story

Police arrests Bobi Wine

A
By Haggai Matsiko “What President Museveni needs to against my rights,” he explained.
know is that no military might can save While police had earlier on April 25 left
n eventful five days from him from being overthrown,” Sewanyana Bobi Wine’s, four days later, they struck
Easter Monday April 22 added, “But guaranteeing people their free- again and arrested while he drove to Crimi-
to Friday April appears to doms and creating an environment where nal Investigation Department (CID) head-
have made something snap everyone feels involved would. Without quarters in Kibuli to answer for defying the
in Kyadondo East MP, Ky- that, people will always fight back.” IGP’s orders earlier on Easter Monday.
agulanyi Sentamu aka Bobi Bobi Wine says police has blocked 124 He was arrested near the Mulago round-
Wine’s head. concerts of his since October 2017 when he about, driven to Nagalama police station in
It appears that the police’s restriction started openly identifying with the opposi- Mukono district, and then driven back to
of his political and musical activities have tion to Museveni. Earlier he had refused to Buganda Road court.
pushed him from being an advocate of be part of a coterie of musicians who sung a At court, he pleaded not guilty to charges
political change by the ballot to a believer in campaign song praising Museveni. that he and others held a public meet-
“change through defiance”. The latest police attack on Bobi Wine on ing—the OTT tax demonstration on July 11,
In a sign of the change, Bobi Wine on April 22 was scarily similar to the infamous 2018)—without notifying police contrary to
April 22 defied police in an attempt to stage attack on leading opposition politician provisions of the Public Order Management
a music concert at his One Love Beach in Kizza Besigye in Kampala in 2011. But Bobi Act (POMA). Court remanded to Luzira
Busabala. Police reacted with teargas and Wine was not scared. until May 2.
smashed his car window before arresting Locked up in his home, with police
him and other and carting off the music patrols and barricades all round, Bobi Wine Defiance gains support
equipment. on April 23 announced his readiness to Bobi Wine’s acts and feats of defiance,
Inspector General of Police (IGP), Martin lead mass protests if his rights continue to which are likely to continue, have until now
Okoth Ochola, in a letter signed by Assis- be trampled on. He also released a video been associated with one person; seasoned
tant Inspector General of Police Asuman of protest music against the police titled opposition politician and former Forum
Mugenyi, had blocked the concert claiming `Afande’. for Democratic Change (FDC) boss, Kizza
previous concerts at the same venue have Then on April 25 he showed up unex- Besigye
turned into a public nuisance, violated traf- pectedly at the funeral of a prominent oppo- In fact, until now, Bobi Wine has
fic rules, among others on top of endanger- sition politician in Bugiri, eastern Uganda appeared to disagree with Besigye on using
ing the lives of other people who are not and worked the crowds with the tale of defiance as a strategy in the fight to end
even part of them. But that did not fool how he escaped from his own home to be President Yoweri Museveni’s 33-year rule.
anyone. It is clear police is targeting Bobi there. Bobi Wine has been insisting that elections
Wine because of his opposition to President “I sneaked out of my home which is can remove Museveni.
Yoweri Museveni. now a prison,” he told the cheering crowd “For a leader to say a vote can never oust
Dr. Livingstone Sewanyana, the Execu- draped in red attire, capes, and bandanas Museveni without offering a solution is
tive Director, Foundation for Human Rights –the colours of his `People Power’ move- disappointing. Don’t talk about democracy
(FHRI), told The Independent that Musev- ment. and stand four times and on the fifth time
eni blocks activities like Bobi Wine’s con- “I do not support escaping from prison; you say it does not work, we believe it
certs because “he fears that he will mobilise I am a law-abiding citizen. But I got out works.”
people and they will overthrow him”. because it was a violation of the law and But the police’s continuous moves to

May. 03 - 09 2019 11
cover story
block him from holding musical concerts
appear to have taught Bobi Wine a new
lesson; that to survive, he must fight for his
right to perform his music and to politically
mobilise supporters.
Bobi Wine who says music is his source
of livelihood says he must hold concerts. By
blocking these activities, it appears, police
has forced Bobi Wine to resort to defiance.
In what many saw as an act of defiance,
Bobi Wine called for mass protests at his
home in Magere-Gayaza, on the outskirts of
Kampala city.
Leader of Opposition in Parliament, Betty
Aol Ocan; who on April 24 visited Bobi
Wine during detention, told The Indepen-
dent on April 27 that she is mobilising her
group for defiance too.
“It has become clear that police belongs to
one man, it is no longer the people’s police.
It is also clear that police is not the problem
but where they get orders, our police is
being misused with a lot of impunity,” she
said.
She said opposition leaders need to
develop an action plan against police brutal-
ity. “Even when we go to court,” she told
The Independent, “government doesn’t Police arrests Besigye
listen. So we go to the court of public
opinion—defiance, just like Dr. Besigye the only way is to resort to the
has been doing.” power of guns just like Musev-
She said she was encouraged by other eni did in 1981. Unfortunately,
legislators- Roland Mugume (Rukungiri when you analyse, you find
Municipality), Barnabas Tinkasimire that taking government by arms
(Buyaga West), Gilbert Oulanya (Kilak ends up causing even more
South) and Mathias Kasamba- were also chaos. So, we will keep pushing
there “standing with a colleague at a for a peaceful transition using
time his family was being traumatised the defiance approach.”
by police”.
She told The Independent that a big- Lessons from Besigye
ger group of legislators were planning The defiance approach has
Rwakafuzi Ssewanyana Ocan
to visit Bobi Wine’s home and protest been a subject of controversy
the police brutality. Ocan was disturbed since Besigye introduced it in
that in the case of Bobi Wine, government done about it. the build up to the 2016 elections.
brutality has gone extreme and blocked his For that, Ocan said, together with repre- Besigye had vowed not to participate in
source of livelihood; staging concerts at his sentatives of the opposition, the government 2016 elections if the electoral process was
own private beach in Busabala. side agreed that a committee comprising not reformed.
Ocan said she was disturbed that leaders secretary generals of political parties under But in a surprise move, he got nominated,
of opposition parties and ruling party repre- IPOD, the Attorney General and chaired by defeated then FDC President Mugisha
sentatives on April 25 had just condemned Democratic Party’s Gerald Siranda, drafts Muntu to win the party ticket and launched
such police brutality but police had with regulations that will guide implementation into campaign mode amidst intense criti-
impunity continued holding Bobi Wine of the Act. cism.
under house arrest. Ocan’s attendance of IPOD was a major “We are participating to win this election
She said she had been in the meeting effort at politics of negotiation because her and we shall win this election. We shall win
under the aegis of the Inter-Party Organ- party, the FDC, has for years boycotted the the flawed elections. We shall not win it by
isation for Dialogue (IPOD) on the Public meeting to protest police brutality. compliance but by defiance,” Besigye said
Order Management Act (POMA) that police However, she told The Independent, as while addressing journalists at his Katonga
often cites to break up opposition gather- she returned to Kitgum on April 27, she was Road office on October 8, 2015.
ings. greeted with teargas and found that police In reaction, then-Electoral Commission
She said the meeting attended by Prime was restricting the movement of people just chairman Badru Kiggundu said Besigye’s
Minister Ruhakana Ruganda, Deputy because the FDC was launching an office campaign was aimed at inciting violence
Attorney General Mwesigwa Rukutana, there. during the elections. Kiggundu even threat-
Security Minister Gen. Elly Tumwiine, “Some people are out there stranded ened that he would deploy the military to
Internal Affairs Minister Gen. Jeje Odongo, looking for police services but in other counter Besigye’s campaign.
and Defense Minister Adolf Mwesige at places police is deploying heavily just to As part of the defiance campaign, Besigye
Commonwealth Resort, Munyonyo agreed restrict lawful activities,” Ocan lamented, would routinely emerge from his home
that the police was implementing POMA in “this misuse of power and of public office is and start walking, a crowd would grow
illegal fashion and something needed to be disturbing. It pushes one into thinking that around and walk with him, the police

12 May. 03 - 09 2019
cover story
cal activists like Bobi Wine will continue
to enjoy their rights within the law despite
efforts by authorities to restrict them,” he
said.
He said is difficult to get a judge who will
be bold enough to make the ruling because
President Yoweri Museveni appointed all
of them.
Even parliament cannot help Bobi Wine,
Rwakafuzi added, pointing to statements
made by the deputy Speaker of Parliament
Jacob Oulanyah while Bobi Wine was under
house arrest.
Oulanyah had ruled that intervening in
Bobi Wine’s troubles was not within parlia-
ment’s mandate.
“Let us make a distinction; parliamentary
privileges and immunities relate to what
you say and do in Parliament. They do not
relate to what you say and do outside Par-
liament. Please remember this it might help
you in future,” Oulanya told legislators.
He was responding to concerns raised by
Mukono Municipality legislator Betty Nam-
booze regarding police brutality against the
opposition.
Apart from Bobi Wine, police have in the
past few months blocked and dispersed ral-
would pounce; often with teargas and live the Office of the President when he declared lies organised by FDC’s Besigye and pulled
bullets. The crowd would flee and Besigye himself the elected president of Uganda. radio stations off air whenever Besigye was
would get arrested and be taken to a police He was remanded to Luzira until June to be a guest on talk shows.
cell until late in the night when he would be 1. But Besigye has not abandoned the cam- On Bobi wine, Nambooze wanted Oulan-
released back home. paign. Following his release in July, he went yah to invoke the House provisions on
At one point, Police mounted a 45-day to work and later announced the people’s privileges enjoyed by sitting MPs to rescue
siege at his home until pressure from dip- government with fully-fledged structures. the legislator.
lomats and activists forced them to leave. However, ever since Bobi Wine “I beg that government comes out clearly
Even after, he remained under tight surveil- announced intent to run for president on whether it is an offence to dress in red
lance but did not stop his defiance activities. in 2021 and his `People Power’ gathered and sing slogans of People Power,” Nam-
At one point, the Deputy Attorney Gen- strength, the authorities appear to be target- booze said.
eral, Mwesigwa Rukutana, sought a Consti- ing him more than even Besigye. Sewanyana of FHRI also told The
tutional Court declaration that Besigye and They have blocked his rallies, appearanc- Independent that preventive detention,
FDC’s defiance campaign was illegal. es on radio, and laid siege at his home. For which police is in the habit of exploiting, is
On April 29 2016, Deputy Chief Justice some, this is a sign that Museveni sees Bobi “unconstitutional as it tantamounts to politi-
Steven Kavuma, who at the time headed the Wine as a bigger threat. The question now cal persecution”.
Constitutional Court, issued the order and is whether Bobi Wine’s going the defiance He advised Bobi Wine and other activists
banned the FDC activities. way will advance or frustrate his ambitions who find it hard to protest because of the
But Besigye described Kavuma’s the for 2021. Public Order Management Act (POMA),
order as illegal and said he would defy it. to go to court and seek orders reversing
Besigye defied the Electoral Commission by Defiance is the only way out police’s illegal actions.
challenging the results of the 2016 election. Commenting on Bobi Wine’s acts of “The court processes might not be expe-
He said he had “incontrovertible evidence” defiance, prominent human rights lawyer ditious but it also depends on what one asks
that he won the election with 52% of the Laudislaus Rwakafuzi told The Indepen- for,” Sewanyana said, “I find that courts
vote although the EC declared Museveni dent on April 27 that “reality will dawn on find it easy to issue orders and injunctions.”
winner. all of the opposition politicians that defiance But he added: “Where authorities defy
Basing on this, Besigye demanded an is the only way out”. court orders, a culture of impunity—where
internationally supervised independent Rwakafuzi said that neither court nor Museveni is the law and the law is Musev-
audit of the 2016 election results. When parliament can help Bobi Wine because eni—Ugandans must challenge this”.
the EC did not act, Besigye decided to get even if Bobi Wine wanted a declaration He said that it was the duty of all Ugan-
sworn-in as president. A day to the May 12 from court that the police actions were ille- dans to carryout all lawful actions such that
official swearing-in of President Museveni, gal, it is likely it would take years to come. this does not become the order of the day.
Besigye who had been under house arrest “The law is helpless, institutions like “As long as Ugandans are not angry
escaped and emerged in the city centre. court that would help cannot,” he said. enough,” Sewanyana warned, “this state of
Shortly after, a video of his purported He said Bobi Wine’s decision to escape affairs will remain. Ugandans need to know
swearing-in emerged. from his home to attend the burial cer- that the President is supposed to govern
Besigye was then arrested and charged emony of former Bugiri District chairperson according to the constitution and the will of
with treason. Prosecution alleged that Siraji Lyavala on April 25, was an effective the people not his whims.”
Besigye and others, between February 20 act of defiance.
and May 11, planned to forcefully ascend to “It is only through defiance that politi-

May. 03 - 09 2019 13
news analysis

Police officers arrest Bobi Wine in Kampala last year. Lawyers and the Opposition say police is misinterpreting the Public Order Management Act

Behind teargas for Besigye,


house arrest for Bobi Wine
Should opposition trust NRM promise on meetings?

By Ian Katusiime meeting organised under the Inter Party Heated meeting

A
Organisation for Dialogue (IPOD), she Ochan who attended in her capacity as
meeting between leaders of thought it would be the perfect opportunity LoP reportedly attempted to bring up the
government and political parties to raise the issue at the highest possible issue of the incarcerated Bobi Wine but
on April 25 to discuss how the level; with the Prime Minister Ruhakana the government side cut her off. She was
Uganda Police is implementing Rugunda. reportedly told the meeting was not to
the Public Order Management Act (POMA) Rugunda attended the meeting together discuss specific cases.
went badly for the Leader of Opposition with Ministers Gen. Elly Tumwine Sources that attended told The Independent
in Parliament (LoP), Betty Aol Ochan, (Security), Jeje Odongo (Internal Affairs), on condition of anonymity that the meeting
according to sources. Mwesigwa Rukutana (Deputy Attorney got quite heated. But it appears that the
Three days before the meeting, on April General), Mary Karooro Okurut (General government side had planned ahead for
22, police claiming to be acting under Duties) and Charles Engola (Minister of that.
POMA had fired teargas and sprayed water State for Defence). Although the meeting was initially
on supporters of rising opposition politician Representing the parties was Secretary set to be at the more accessible Imperial
Robert Kyagulanyi aka Bobi Wine at his General Justine Kasule Lumumba and Royale Hotel in the middle of Kampala
One Love Beach Busabala, near Kampala in Women League chairperson Lydia city, it was shifted at the last minute to the
Ssabagabo-Makindye sub-county of Wakiso Wanyoto for the ruling NRM, Secretary more reclusive Commonwealth Resort
district. General Nandala Mafabi and his Deputy, Munyonyo, about 16km away on the edge
Bobi Wine who is the Kyadondo East Harold Kaija, and Salaamu Musumba, of Lake Victoria.
constituency MP and a popular musician the vice president for eastern Uganda, for Sources told The Independent that
was arrested and kept under house arrest main opposition party FDC, and Secretary Rugunda and Lumumba decided that
by police who barricaded his house in General Fred Ebil for UPC. Secretary holding the meeting in the city would
Magere-Gayaza on the other side of the General Gerald Blacks Siranda and Samuel attract a lot of attention to it from journalists.
district. Lubega attended on behalf of DP. Siranda is Even as Munyonyo was deemed far
So when Ochan headed to the also the current chair of the IPOD Council. enough, it was also decided that any
Commonwealth Resort Munyonyo for the Each party delegation had other members. journalists who ventured out there would

14 May. 03 - 09 2019
news analysis
not be allowed to cover the proceedings. problem. The police turned the notice into He says the law was not intended for
Instead, they would be locked out and permission. And even then when you want what it is being used for and it is the reason
given a polished communique of what to notify them, they do not respond and why it is only used to curtail those with
supposedly was deliberated at the end of then teargas follows after,” she said. alternative views.
the six hour meeting. Sources say even the government side is He says the way the police is
In the end what emerged officially was “a divided house on this law”. implementing POMA goes back to
that some common positions were reached Some government officials reportedly Constitutional Appeal no. 09 of 2005; a
and assurances made on others. It was believe the police brutalization of the prominent case filed by Muwanga Kivumbi
agreed that a subcommittee comprising opposition hurts the image of the against the government.
the attorney general and the five secretaries government and should stop. But the other Muwanga Kivumbi argued that Section
general of the political parties in IPOD side, which is reportedly led by President 32 of the Police Act did not give police
report back to the IPOD council in 10 days Museveni, believes opposition figures have permission to prohibit political activity and
with draft regulations for streamlining and a mission to cause anarchy with the hope was unconstitutional if it did. He won. But
smoothening the implementation of the of inspiring an insurrection and should be POMA appears to have resurrected the
POMA. blocked at every opportunity. police’s impunity.
“I am very happy about this meeting, this The problem starts with Section 5 of the “Right now where an activity is not in
is the understanding we must champion. POMA. This states that “an organiser of a the interests of the powers that be, it will be
We have agreed to set up regulations,” said meeting shall give notice in writing to the prohibited,” Ruhweza told The Independent.
Salaamu Musumba. authorised officer of the intention to hold a The issue of contention is that Section 8 of
“I feel happy that there are no hard public meeting at least three days before the POMA grants an authorised officer the right
positions. There is a change of heart,” she proposed date of the public meeting”. to stop a public meeting.
told The Independent after the meeting. Section 8(1) reads: “Subject to the
Rugunda who chaired the meeting as direction of the Inspector General of Police,
Prime Minister did not say much in his an authorised officer or any other police

The
usual style. officer of or above the rank of inspector,
“We have had a vibrant, candid and may stop or prevent the holding of a public

implementation
productive discussion on POMA,” he said. meeting where the public meeting is held
Frank Rusa, the executive director of contrary to the Act”.
the Netherlands Institute for Multiparty
Democracy (NIMD), which is behind has been the Section 3 of the POMA has also become
contentious. It says, “The Inspector General
the national dialogue process, “the main
takeaway from the meeting was getting the problem. The of Police or an authorised officer shall have
the power to regulate the conduct of all
ministers to sit and have a discussion with
the opposition on the interpretation and
police turned public meetings in accordance with the
law”.
implementation of the POMA”.
“NRM is serious this time, they are
the notice into If those opposed to POMA say it majorly
talks about notification of the police, those
involved a lot in preparatory processes and
even on the regulations of the POMA, and
permission. And on the government side can as well say
the IGP has powers to regulate public
they have shown commitment on forging a even then when meetings and it is well within the IGP’s

you want to notify


way forward,” he said. right to interpret the broad powers as to
grant or deny permission for the meetings
POMA contentious
However, unofficially, the take away was them, they do not to proceed.
Critics have argued that the POMA was
that POMA as a law remains contentious.
Since POMA was enacted in 2013, it respond and then in many ways a replication of Section 32(2)
of the Police Act which was declared null
has been used to break up rallies, make
arrests and cancel any meeting or assembly
teargas follows and void by the Constitutional Court in
the ruling of Muwanga Kivumbi vs the
organised by any opposition party or Attorney General in 2008.
individual. One of the judgments read; “It is my
Mainly it has been Dr. Kizza Besigye, a considered view that section 32 (2) of the
veteran politician who has been targeted Police Act gives the inspector general of
but police attention appears to have police excessive powers that which he
turned to Bobi Wine. A day after the That appears clear enough. However may use a he wishes to curtail people’s
IPOD meeting, on April 26, Besigye and on many occasions, leaders of opposition rights and freedom of conscience, speech,
other FDC leaders and supporters were parties say they write notices to police but association and assembly…”
teargased and dispersed as they celebrated it does not respond. Sometimes police deny It adds that “In case the inspector
the opening of their office in Kitgum town receiving the notice. Both appear deliberate general of police sees any possibility of a
in northern Uganda. The next day similar ploys by police to frustrate the opposition. breach of peace at any assembly, the police
scenes were repeated in Lira town. On April Daniel Ruhweza, a lawyer and law should provide protection.”
29 Bobi Wine was arrested as he drove from lecturer at Makerere University agrees with Ruhweza says as long as the
his home, with a huge crowd of supporters those opposed to the law. He argues that Constitutional Court does not come
in tow, to Kibuli Police CIID headquarters the implementation has turned out to be out and declare clearly once again the
to answer summons over the Busabala totally different from the intention. significance of POMA, there is going to
incident. He was locked up at Nagalama. “It says notify the police of your intended be an increase in the number of events
Ochan has since told journalists that “the activity. It does not say seek permission, to and public engagements that are being
police has made its own interpretation of the best of my understanding. When you frustrated by the misapplication and
the law”. notify the police, police provides guidance misinterpretation of this law.
“The implementation has been the and security if you require it.”

May. 03 - 09 2019 15
news analysis

Total E&P-led oil


project approved
Environmental activists raise concerns on NEMA's role
By Ronald Musoke

T
otal E&P has secured the green light
for its major oil project also known
as Tilenga to proceed after 10
months of evaluations by Uganda’s
environmental body.
Total E&P said the approval by the
National Environment Management
Authority (NEMA) is a major step in
Uganda’s journey to produce oil but con-
servationists are concerned that proper
procedures were not followed, which could
endanger the environment.
The Tilenga project is the main centre-
piece of the oil projects that are supposed
to bring into Uganda investments of over
US$ 20b but its location at the heart of Mur-
chison Falls National Park, one of Uganda’s
leading tourist destinations and home
to endangered species of animals, birds,
insects and reptiles, has for long made con-
servationists nervous.
By issuing a certificate of approval for
Tilenga’s Environmental Impact Assess-
ment (EIA), the National Environment Man-
agement Authority (NEMA) has intensified
these fears.
NEMA’s approval was a result of a 10
month process that involved several field
visits to the project area and public hear-
ings to capture concerns of especially the
affected communities.
“People expressed their views with
regards to the project violating their cultural
rights; the people also asked NEMA to
ensure that management plans for noise,
dust and water pollution are in place before
any approval is done,” Dickens Kamugisha,
the head of the Africa Institute for Energy
Governance (AFIEGO) a Kampala-based
non-profit told The Independent. Map showing proposed infrastructure required
Kamugisha is also worried about the to commercialize Uganda’s oil resources.  SOURCE: CNOOC UGANDA LTD
fact that the environmental body approved
the project without taking into account the and mining sector. should challenge these institutions in the
views of over 2000 people who turned up “The law clearly talks about the presid- courts of law, otherwise, these public hear-
for the public hearings last year. ing officer not being an interested party in ings are just a formality,” Kamugisha told
Kamugisha says civil society also took the project for which the public hearing has The Independent on April 26.
exception to the fact that the presiding offi- been called,” he said, “The approval has not The other longstanding concern has been
cer for the two public hearings was Fred been done in line with the concerns of the over whether oil activities can go on with-
Kabagambe Kaliisa, the former Permanent people.” out interrupting tourism activities in the
Secretary in the Ministry of Energy and “We are planning to take NEMA to court Murchison Falls National Park.
Mineral Development who now advises for breach of the law because we feel that if Rossini Silveira, a petroleum engineer
President Yoweri Museveni on the oil, gas the procedures have not been followed, we turned consultant who has over the last 25

16 May. 03 - 09 2019
news analysis
years worked on projects in Australia, Nige- approval is legally necessary to allow the Ramsar Secretariat and the Ramsar mission
ria, the U.S, Indonesia and the Middle East, project go ahead, it is also an important in October, 2018 to harmonize the findings
says that implementing the Tilenga project requirement for the final investment deci- with what was presented in the project’s
in a sustainable manner will be hard. sion (FID). environmental and social impact assess-
He says that for some of the projects he “Total and its partners Tullow and ment.
worked on which were located in parks; the CNOOC are committed to being models of In January this year, the NEMA board
project managers took what he calls “consci- excellence whose mission is to operate in a also conducted a weeklong inspection of the
entious decisions.” “Those plans need a lot safe and environmentally friendly manner ecologically sensitive Albertine region with
of scrutiny by independent auditors by all for current and future generations,” the particular focus on areas where oil and gas
means,” he told The Independent. statement reads in part. operations are taking place.
“Some of the roads in Murchison Falls “We are fully committed to applying The NEMA officials’ visit to the Albertine
National Park are already being widened best practices to the development of the oil region was done to assess the impacts of oil
and this is an obstruction to animals like resources by avoiding potential negative and gas development activities on the envi-
elephants and the increase in traffic in the impacts as our first priority, minimizing ronment in the Albertine Graben; review
park could potentially increase the number potential impacts and strictly adhering to interventions and engage with district lead-
of animal kills,” Silveira said, “We might policies and standards that meet interna- ers and other stakeholders on matters relat-
have an oil project but we might not have tional requirements such as the Internation- ing to environment and natural resources
tourism for a while,” Silveira said, referring al Finance Corporation’s (IFC) performance management in the region.
to the fact that the oil project will probably standards (PS) of 2012, as well as national The team visited the Tangi Camp, which
last a maximum of 30 years. environmental laws and regulations.” was previously used during exploration by
But Dr. Akankwasah Barirega, the com- The joint venture partners said an envi- Tullow but was handed over to Total E&P.
missioner for wildlife conservation in the ronment and social management plan It is one of the Tilenga development project
Ministry of Tourism, Wildlife and Antiq- (ESMP) has been developed in order to sup- components, which Total E&P intends to
uities told The Independent that they have port the development and implementation expand to accommodate more people and
participated in the review of the Tilenga of the mitigation measures identified in the equipment during the production phase
Project’s ESIA and they are “satisfied” with Environmental and Social Impact Assess- since it will be used as a material supply
the management plans. ment (ESIA). They also pledged to continue base. But tourism experts say that when
“Of course we know that it’s one thing to the dialogue with all stakeholders including the camp is expanded, it will eat into an
have the management plans on paper and NEMA as the project moves into the next elephant corridor in one direction and rail-
another to follow through with the imple- phases. way land on the other.
mentation of those plans,” Barirega told The The Tilenga oil project constitutes License The NEMA team also visited the pro-
Independent on April 26, “The impacts on the Areas 1 and 2 which are currently oper- posed industrial area which comprises 29.57
environment will always be there but if the ated by Total E&P Uganda B.V and Tullow sq km of land that will host a refinery, an
mitigation mechanisms are followed then Uganda Operations Pty Ltd and is found international airport, and petro-chemical
the two projects should co-exist.” in the north of Lake Albert closer to the industries together with crude oil storage,
Edgar Buhanga, the deputy director, Uganda-DR Congo border. logistics and warehousing.
planning, monitoring and research at the It includes; six oil fields, an industrial The team also visited the Nyamasoga
Uganda Wildlife Authority says UWA is area, buried infield pipelines and support- Waste Treatment Plant. The waste treatment
confident that the mitigation measures and ing infrastructure, including camps most and disposal facility in Hoima is the first
the management plans that have been put of which are within or near the ecologically engineered landfill in the country and was
in place will help the wildlife agency “pull fragile Murchison Falls National Park and established to treat waste generated from
through” during the production phase just the Nile Delta. the oil appraisal wells in the Albertine Gra-
like the conservation agency pulled through The impact assessment report describes ben, during the exploration phase.
during the exploration phase. the main characteristics of the project, the It is perhaps this visit alongside other
“Remember back then the industry was potential environmental and social conse- engagements with many more other stake-
relatively new and we had little or no expe- quences as well as the corresponding miti- holders that convinced NEMA to approve
rience,” he said. gation measures that will be implemented the project that has thrilled the joint venture
“We have since developed specific tools to avoid and minimize any potential nega- oil company partners.
and a specific atlas for the Murchison Falls tive impacts.
National Park clearly identifying breeding On top of hosting thousands of endan- Kingfisher ESIA
grounds and routes for the animals.” gered species, Murchison Falls National NEMA has now embarked on receiving
“We have mapped the oil wells and we Park also hosts a long stretch of the River comments on the environmental and social
have also done a baseline of what is in the Nile, which is shared by Uganda, Rwanda, impact assessment for the Kingfisher project
game park and we want to compare it with Sudan, Tanzania, Burundi, South Sudan, in Hoima that was submitted by CNOOC
what we will have after the restoration of Sudan, Ethiopia, Kenya, DR Congo and Uganda Limited, the Chinese operator that
the project sites.” Egypt. The review process for the project’s is looking at developing oil production
“We want to ensure that there are no environmental and social impact assess- infrastructure along the southeastern side of
spills and animal kills,” Buhanga told The ment started in June, last year, and included Lake Albert.
Independent, “We want to minimize impact two public hearings held on 12th and 15th Both the Tilenga and Kingfisher projects
on tourism and the wildlife heritage in the November, 2018 in Buliisa and Nwoya are estimated to cost US$ 8bn and will
park.” districts where the project facilities will be respectively have processing facilities with
located. capacity of up to 190,000 and 40,000 barrels
Joint venture partners Prior to the approval of the Tilenga proj- of oil per day.
In a statement released on April 23, the ect, NEMA officials say they held consulta- These processing facilities are
joint venture oil companies said NEMA’s tions with several stakeholders including supposed to feed crude oil into the
approval marks a key milestone in the prog- UWA regarding interference with the ani- refinery and the 1,445km long export
ress towards the development of Uganda’s mal corridors. pipeline once production, which is now
oil resources. They noted that whereas the NEMA also held consultations with the scheduled for 2022, starts.

May. 03 - 09 2019 17
news analysis
By Andrew Sudmant & Andy Gouldson

S
treet-lighting is important. It allows
informal vendors and traders to op-
erate for longer hours and improves
road and public safety. It also makes
streets feel safer and more secure, especially
for women.
But street-lighting is sorely lacking in
many of sub-Saharan Africa’s cities, and
where it is present it’s highly unreliable. In
Kampala, Uganda for example, just 8% of
the city’s paved road and street network is
illuminated. In cities faced with multiple
pressing challenges and very limited bud-
gets, street lighting is rarely a priority.
Even when there’s political will, there
are major barriers to implementing con-
ventional street-lighting. Many cities have
large areas of informal settlements which
aren’t connected to the national grid. The
upfront costs of grid connectivity and street
light infrastructure – like poles, lamps and
pavements – are huge. The solution may Solar powered street lights in Kampala, Uganda.

Why solar street


lie instead with solar lighting. We wrote
a policy research paper based on work
we did in two Ugandan cities, the capital
Kampala and Jinja; a secondary city with a

lights make sense


population of around 80,000, and found that
solar street-lighting could offer a cheaper,
more sustainable solution – and bring huge
benefits.
Solar street lights are cheaper to install
and operate since they generate their own
power, instead of drawing from the grid.
They reduce its upfront costs by
Saving money 25%, electricity costs by 40%, and
We chose Kampala and Jinja because both
cities’ governments had installed solar street maintenance costs by 60%
lights in 2018: more than 1800 in Kampala
and 92 in Jinja. We wanted to know what Multiple benefits oping city plans rather than developing
the lights’ impact had been since they were Local residents and NGO workers we domestic markets which could spur nation-
installed and if this could be replicated in spoke to identified many knock-on effects al growth.
other cities across Uganda and sub-Saharan from both solar street-light projects. Second, though the economic case for
Africa. In Jinja residents of a low-income settle- choosing solar over conventional street
We analysed national policy documents ment, where 20 solar street lights were lights is clear, municipalities lack the
and city development strategies and con- installed, said that the lights created safer necessary capital to finance their upfront
sulted with research colleagues at Makerere streets and allowed small businesses to stay investment. There’s also a high risk that
University in Kampala to identify a range of open for an extra five hours per day. This replacement lights could be unaffordable if
stakeholders to interview. In total, we inter- is particularly important for low-income municipal budgeting is not improved.
viewed 23 people including government groups who can now make more money in To overcome these challenges, national
officials, NGOs and members of local com- the day. governments should create a more robust
munities, like business owners and road The street lights have the potential to do regulatory framework to grow and control
users. Across the two cities, the average much more. For example, solar lights can domestic solar markets; building the capac-
cost for a solar light was around USD$1,600 help increase trading hours for small busi- ity of municipal staff to plan, finance and
per solar street light pole, compared to nesses. And thanks to savings on electricity, deliver infrastructure projects; and ensure
USD$2,150 for a conventional street light the cities’ governments could also redirect a wide range of stakeholders –- including
pole. In Jinja the city’s US$350,000 electric- saved funds into the setting up of more local communities –- are involved in the
ity debt led to the conventional street lights street lights and other public services. planning of projects in order to maximise
being turned off. They are still off today. the social returns.
If these projects were replicated nation- Rolling out Andrew Sudmant is a PhD candidate and
wide, the Ugandan government could Though we found many benefits to the research Fellow in the Economics of Climate
reduce its upfront costs by 25%, electricity use of solar street-lights, there were chal- Smart Cities research programme, University
costs by 40% and maintenance costs by 60%. lenges too. of Leeds & Andy Gouldson is Professor of
Solar lighting also had almost no operat- First, cities in Uganda, as in many sub- Environmental Policy and Associate Pro-
ing costs because you put the lights up and Saharan Africa countries, lack the domestic Vice-Chancellor (Interdisciplinary Research),
leave the sun to do the rest. Conversely, expertise to plan and implement new solar University of Leeds. Lucy Oates, a Research
conventional lighting incur large electricity lighting projects. This means municipalities Fellow on the Economics of Climate Smart Cities
bills and higher maintenance costs because have to rely on external donors for devel- research program at the University of Leeds,
bulbs need to be replaced more frequently. contributed to this article.

18 May. 03 - 09 2019
pictorial

Uganda
Airlines
reborn

President Yoweri
Museveni was on
April 23 at Entebbe
International Airport
to receive two Uganda
Airlines Bombardier
planes at a colourful
ceremony marked with
dancing, photo-ops,
and grand promises of
aviation revival.

May. 03 - 09 2019 xix


news analysis

Successful popular protests like this one in Algeria are the exception not the rule.   EPA-EFE/AMEL PAIN

Repression increasing
across Africa
But if freedom is weakening,
so is popular demand for it
By Peter Penar & Carolyn Logan Burundi, Senegal, Togo and Zambia. Shrinking political space

I
Freedom House’s 2019 Freedom
n recent months, persistent in the World Report suggests that Two-thirds (67%) of the respondents
protesters in Algeria and Sudan political liberalisation in countries said they were at least “somewhat”
have faced down government like Ethiopia and The Gambia belies free to say what they thought. This
repression to depose long-time “creeping restrictions” and a general represents a 7 percentage point decline
political leaders. Unfortunately, these trend toward authoritarian behaviour. across 31 countries tracked since
two countries are the exception rather This trend is confirmed in the 2011/2013.
than the norm. most recent survey conducted by When it came to the freedom to
More often than not, political Afrobarometer, an independent discuss politics, the picture was more
opposition in countries across the African research network. It was troubling: 68% felt that they needed
continent has met a different fate conducted between late 2016 and to be careful about what they said.
as governments have used a variety late 2018 in 34 countries. On average Across a sample of 20 countries
of tactics to restrict freedoms and across all the countries surveyed, tracked over the past decade,
dissent. These include shutting down citizens appeared to confirm that civic expressions of caution had increased
the internet (Cameroon, Zimbabwe), and political space was closing. Many by 9 percentage points.
imposing social media taxes (Uganda), also expressed a willingness to accept If freedom is weakening, so is
and imposing blogger licenses restrictions on their liberties in the popular demand for it. Six in ten
(Tanzania). Governments have also name of security. respondents (62%) believed that
resorted to outright violence in citizens should be able to join any

20 May. 03 - 09 2019
news analysis
political organisation supported the right to country is faced with communications, regulation
they choose. Yet, popular private communication in security threats, people of religious speech,
insistence on freedom of Zimbabwe, Gabon, and should be free to move and restrictions on free
association declined by at Sudan, all countries where about the country at any movement, with average
least 3 percentage points civil liberties are still time of day or night.   support for freedom of
in 21 of the surveyed contested. But only about association.
countries. It grew in just one-third or less of citizens Political liberalisation These levels of support
seven countries (Figure 1). in Cameroon, Burkina Faso, Since these trends in for government restrictions
Figure 1: Changes in Tanzania, Senegal, and Mali demand for and supply of in Burkina Faso and Tunisia
support for freedom to opted for freedom over freedoms vary considerably are concerning, given that
join any organisation security when it came to by country, more detailed political liberalisation in
(percentage points) | 33 private communication. country-level analysis both countries is relatively
countries | 2008-2018 Forty-nine percent of would be instructive. recent and still vulnerable.
Note: The Gambia is not respondents favoured Looking in particular In Zimbabwe, where
shown because it was first complete freedom of at countries that have the new government
surveyed in 2018. religious speech, while 47% experienced significant has argued that a “new
In Gabon and Togo thought the government political liberalisation in dispensation” is afoot
more than 80% of citizens should be able to regulate recent years, we found since the ousting of former
rejected the idea that President Robert
the government should Mugabe, citizens
have the right to ban generally embraced
organisations that went basic freedoms, and
against its policies. In saw no change in the
both countries growing level of freedom of
popular discontent with expression over the
political processes was past decade.
met with government But Zimbabweans
efforts to repress expressed high levels
discontent. of caution about
In contrast, in Tanzania exercising basic
just 39% of citizens freedoms, suggesting
favoured full freedom scepticism about the
of association. The government’s gestures
government in Tanzania toward political
has recently taken steps liberalisation.
to close political space. Finally, more
Likewise, there was some established democracies
underlying support in presented a mixed
Kenya for increasing picture. On the one
efforts of social control. hand, citizens in Cabo
Only 47% of respondents Verde and São Tomé
supported freedom of and Príncipe generally
association. embraced basic
freedoms. They also
Individual freedoms rejected restrictions
versus security? on freedoms because
of perceived security
A second troubling threats. Yet, the high
trend was the degree of tolerance
considerable willingness for restrictions on
to accept government basic freedoms in
restrictions on individual Ghana highlights the
freedoms in the name power – across much of
of public security. For Africa – of the security
example, a slim majority what was said in places that Gambians generally argument for restricting
(53%) of respondents of worship. The lowest embraced freedoms of individual freedoms.
stood for people’s right to levels of support for association, communication, Peter Penar is Assistant
private communication. religious freedom came and speech in religious Professor in the Department
But a substantial minority from Tunisia (21%), Mali settings. But they of Political Science,
(43%) were willing to accept (23%), and Senegal (31%). supported the idea that Michigan State University
that governments should (Both Mali and Tunisia have the government should be & Carolyn Logan is
be able to monitor private experienced major incidents able to impose curfews and Deputy Director of the
communications to make of extremist violence.) roadblocks. Afrobarometer & Associate
sure that people weren’t Support for freedom In contrast, in Burkina Professor in the Department
plotting violence. This of movement is even less Faso and Tunisia, the of Political Science and
included monitoring their robust. Only about one majority of people MSU’s African Studies
cellphones. in three Africans (35%) supported government Center, Michigan State
More than two-thirds said that even when their monitoring of private University.

May. 03 - 09 2019 21
interview

Behind the Good


Country Index
Simon Anholt the co-founder of the Good Country Index has since
2014 been challenging governments around the world to harmonize their
domestic with international responsibilities by cooperating and collaborating
more without necessarily losing their competitive edge. He shared his views
with The Independent’s Ronald Musoke in an email interview

What is the “Good Country Index” all ened self-interest in international relations common measure which gives an overall

T
about? comes from the study of national image and ranking, a ranking in each of the seven cate-
he Good Country Index tries to its role in stimulating economic growth. gories, and a balance-sheet for each country
measure how much each country on Each year since 2005, I have been polling a that shows at a glance how much that coun-
earth contributes to the planet and sample of 25,000 people around the world try contributes to the world and how much
to the human race, relative to its size to measure their unprompted perceptions it takes away. The performance indicators
(measured in GDP). Most indexes measure of 50 countries and 50 cities in what is now are measured per GDP (in US dollars), to
and compare the performance of individual called the National Brands Index and City correct for the size of each country’s econo-
countries; their economic growth, stability, Brands Index. Analysis of the NBI database my, and create a level playing field.
justice, transparency, good governance, reveals that the countries which are per-
productivity, democracy, freedom, or even ceived to contribute more to the common What exactly do you look at when
happiness. But the Good Country Index good of humanity gain the most trust and analyzing a country’s contribution in the
tries to measure the impact of policies and approval worldwide, and in consequence categories?
behaviours of countries on the whole of tend to get the most tourists, talent, inves- The 35 datasets I use to create the seven
humanity and the whole planet as well as tors and consumers for their goods and sub-rankings include measure-
what they take away. services. In other words, if a nation ments such as the
wants to do well, it has to do number of foreign
What prompted you to come up with this good. students
index? study-
I came up with this index after realizing How do countries ing
that the biggest challenges facing humanity score what they score in
today are global and borderless—climate on the index? a
change, economic crisis, terrorism, drug I use 35 reliable
trafficking, slavery, pandemics, poverty datasets which mea-
and inequality, population growth, food sure how countries
and water shortages, energy, species loss, affect the world out-
human rights, and migration— just to men- side their own bor-
tion a few. The only way these challenges ders. There are five
can be met is through international efforts of these in each of the
(yet) the trouble is that most countries carry seven categories, cov-
on behaving as if they were islands, focus- ering the big issues
ing on domestic solutions to domestic prob- like education, sci-
lems. So I felt that measuring the external ence, war and peace,
impacts of countries, rather than continually trade, culture, health,
focusing on their domestic performance, censorship, the envi-
was one good way to start people thinking a ronment, and free-
bit differently. dom. Most of these
datasets are produced
Why should governments be interested in by the United Nations
collaborating internationally rather than system and other inter-
looking inwards? national agencies, and a
More collaborative behaviour can pro- few by NGOs and other
vide tangible and immediate benefits, organisations. These
thanks to cultural cross-fertilisation. The datasets are com-
process of teaming up with others facing bined into a
similar problems to find and implement
shared solutions is almost always more
productive than tackling those
problems alone. Another
striking example of the
potential for enlight-

22 May. 03 - 09 2019
interview
country (according to UNESCO); each like Uganda do well mainly because they Not frustrating, exactly. I understand
country’s exports of periodicals, scientific do relatively little harm outside their own the appeal of nationalism very well, and I
journals and newspapers according to the borders, don’t export massive amounts certainly don’t think that people who vote
International Trade Centre (ITC); the num- of weapons to other countries, and often for nationalist politicians are mad, bad or
ber of accumulated Nobel prizes assigned because they contribute substantially to UN stupid. I just happen to think that the world
to countries based on the laureates’ country peacekeeping forces. we live in is much more complex than this,
of birth as well as country of institutional and “looking after your own interests” is
affiliation at the time of the award; the value Uganda unfortunately scores poorly in the an over-simplification; it just doesn’t work
of UNESCO dues in arrears as a percent- area of science and technology (110 out of in the long term. Indeed, it increasingly
age of the country’s contribution (this is a 153), prosperity and equality (81) and cul- fails to deliver in the relatively short term
negative indicator); freedom of the press ture (109). What must the government do too. On the other hand, collaborating and
(based on mean score for Reporters without to improve in these areas? cooperating with other countries isn’t about
Borders and Freedom House index as a Performing better in the Good Country compromises or self-sacrifice; it’s about
negative indicator); the number of peace- Index would not be, in my view, a very enlightened self-interest. Working more
keeping troops sent overseas for UN mis- worthwhile aspiration for any country; imaginatively and courageously with the
sions; the attributed number of casualties of rather, it is the principle behind the index international community can produce better
international organised violence according that really matters. Countries need to find domestic results, if it is done right. People
to the Uppsala Conflict Data Programme new and imaginative ways of harmonizing often frame collaboration between countries
/Peace Research Institute Oslo (UCDP/ the country’s domestic and international as altruism or a moral duty but this misses
PRIO) and this also is a negative indicator. responsibilities. It hardly matters whether the point. Of course a head of government
I also look at total exports of weapons and this behaviour corresponds to a particular is expected to consider his or her own popu-
ammunition according to ITC (a nega- dataset or category in the Good Country lation’s needs first—but the underlying
tive indicator) ; the number of refugees Index. The important thing is to change the assumption that coming first necessarily
hosted and the number of refugees overseas country’s culture of governance from one means that everyone else must come last is
(according to UNHCR); the number of UN that has traditionally been fundamentally limiting.
treaties signed; the country’s ecological competitive to one that is fundamentally
footprint (according to the Global Footprint collaborative and cooperative. How is this brand of collaboration sup-
Network); the country’s compliance to mul- posed to happen?
tilateral environmental agreements on haz- Pure “dual mandate” policies are
ardous waste and other chemicals; renew-
able energy share in the total final energy Countries which are quite hard to find but there are plenty of
examples of cooperation and collaboration
consumption; the number of aid workers perceived to contribute between countries. In the U.S, for instance,
and volunteers sent overseas (according there is the Overseas Private Investment
to the United Nations Volunteers); the more to the common Corporation (OPIC), a government agency
average transaction of sending remit-
tances from each country; development
good of humanity gain the that helps American businesses invest in
emerging frontier economies. By supporting
cooperation contributions (aid according to most trust and approval investment in areas of poverty, famine or
Development Initiatives); food aid funding
(according to WFP) relative to the size of the
worldwide war, it promotes stability and creates busi-
ness opportunities for the U.S. In Australia,
economy; humanitarian aid contributions the seasonal workers’ programme was
according to the UN Office for the Coordi- designed to support Australian develop-
nation of Humanitarian Affairs (UNOCHA) ment aid by boosting the incomes of work-
relative to the size of the economy; as well What can we learn from the fact that three ers from the Pacific region while simul-
as international health regulations compli- of the bottom four (Yemen, Mauritania, taneously filling chronic farming labour
ance according to the World Health Organi- Libya and Iraq) on the 2019 index are shortages. In Brazil, the Itaipu Dam, one
zation (WHO). countries that are currently engulfed in of the world’s largest hydropower projects
civil strife? initiated by Brazil to head off a looming
On the 2019 index, Uganda does well in The lesson from these countries is not, energy crisis is shared between Brazil and
the area of international peace and security of course, that they are in any sense ‘bad’ Paraguay. It provides 17% of Brazil’s energy
(42 out 153 countries), world order (52), countries but simply that their internal dif- needs while in Paraguay it provides 76%
planet and climate (37) and health and ficulties—whether this is conflict, poverty, of energy needs and has made the country
well being (29). What exactly has Uganda disease, inequality or corruption—takes nearly independent of fossil fuel while
done to score highly in these particular up all of their resources and energies, so boosting jobs and development.
categories? that they are unable to contribute in any
Uganda performs better than many coun- significant way to the world outside their What would you say has been the most
tries in a sufficient number of the 35 indica- own borders. It is hoped that it won’t be important achievement of this index so
tors to achieve a higher overall ranking. It too many years before they are able to start far?
is easy enough to identify from the website thinking about harmonizing their domestic The fact that, almost since the day it first
www.good.country which are the individ- and international responsibilities. appeared in 2014, millions of people around
ual ranks that push Uganda higher or lower the world started having new kinds of
than other countries. But bear in mind that You say that leaders from around the conversations: instead of asking how well
countries can rank high in the Good Coun- world must realise that they are respon- countries were doing, they started asking
try Index as a result of doing less sible not only for their own people but, for how much countries were doing. They may
harm as well as doing more every man, woman, child and animal on not all like the Index or its conclusions, but
good. In the context the planet. Unfortunately, there has been it produces a different kind of argument,
of the Peace and an emergence of inward-looking populist and that’s the point.
Security rankings, leaders around the world. Isn’t this quite a
many countries frustrating development?

May. 03 - 09 2019 23
Rwanda-Uganda feud:
traders turn to other markets

U
By Julius Businge to the minister’s counsel. north (South Sudan), open borders to
The Independent investigations reveal the west (DR Congo), and open bor-
gandan traders are that companies such as Hima Cement, ders to the east (Kenya),” he said.
slowly turning to other Mukwano and Roofing Rolling Mills
markets in the region to that have been exporting a substantial Contract breach
sell their goods as the amount of goods to Kigali are now re- Badagawa, however, said though
border standoff between focusing their energy into the internal traders have an alternative market in
Kigali and Kampala market as well as Congolese, South the region “most of our members have
continues into the third month with no Sudanese, Kenyan and Tanzanian mar- contracts to supply Rwanda (and) for
solution in sight. kets. as long as the borders remain closed,
Rwanda closed all its common bor- “We are now focusing on increas- these businesses are shrinking.”
der posts with Uganda including; ing our market share locally as well He said opening up borders is criti-
Katuna, Kagitumba, Mirama Hills and as exports to South Sudan, Tanzania cal for trade and investment across the
Cyanika towards the end of February and DR Congo,” a source from one of region.
accusing Uganda of harbouring Rwan- the companies that has been exporting Issa Ssekito, the spokesperson
dan dissidents. to Rwanda told The Independent in an of Kampala City Traders Associa-
However, Uganda has Uganda has interview. tion (KACITA) told The Independent
strongly denied these accusations. Gideon Badagawa, the Executive that they are compiling losses from
But as the behind-the-curtains-efforts Director of the Private Sector Foun- individual traders and will share the
to re-open the borders continue, the dation Uganda told The Independent details at an appropriate time.
Minister of Trade, Industry and Coop- on April 24 that exporters are now He said all goods destined from
eratives Amelia Kyambadde early last increasing their reliance on other Uganda to Rwanda or those that are
month advised traders to opt for other neighbouring countries in the region branded ‘Made in Uganda’ continue
markets within the East African Com- for trade as they await Rwanda’s next to be rejected by Rwandan authorities.
munity region and beyond in order to decision. Only those goods from Tanzania and
survive. It appears the traders listened “We still have open borders to the Kenya could enter Rwanda.

24 May. 03 - 09 2019
business
“If Rwandan authorities
discover that goods are
Uganda’s imports from neighboring
coming from Uganda they countries from 2010-2018 (US$)
will order them back or
destroy them,” he said, “It 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18
is that bad.” Rwanda 6.1 8.9 7.4 12 9.5 12 10.6 20.6
As a result, Ssekito said
that some traders are cur- Kenya 535 680 591 602 608 600 520 513
rently buying goods made South Sudan 00 00 00 00 0.76 4.82 7.6 14.7
and branded in other East Tanzania 32.4 54.8 47.4 55.1 55.1 78.2 170 204
African countries and sell-
ing them in Rwanda. DR Congo 6.7 25.5 30 24.8 31.5 22.7 149.4 168
Interestingly, some of Source: Bank of Uganda
the KACITA members are
Rwandan nationals who
own shops both in down
town Kampala and Kigali. Uganda’s exports from neighboring
“You cannot separate who
owns what because of the
countries from 2010-2018 (US$)
cordial relationship the two
2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 2017/18
countries have been hav-
ing,” he said. Rwanda 175 208 217 224 253 206 188 198
Kenya 214 226 268 348 374 414 475 678
Impact on Uganda’s South Sudan 00 1.92 80 236 309 225 281 311
economy Tanzania 38 45 54 50 56 61 71 46
Enock Twinoburyo, a DR Congo 175 210 255 231 160 159 190 196
senior economist at the Sus-
tainable Development Goals Source: Bank of Uganda
Center for Africa in Kigali
told The Independent that
the continued conflict could same period under review.
shed-off Uganda’s projected Twinoburyo said the
GDP growth in the range of Uganda-Rwanda trade link-
1-2 percentage points. ages are far beyond simply
Uganda’s economy is the trade balance or least
projected to grow at 6.3% the trade channel.
in the current financial year “There are other several
2018/19 and also in the next mechanisms in which either
financial year 2019/2020, economy that is trade,
following a recovery from financial flows in form of
the slump during financial FDI and remittances – all
year 2016/17, according to of which have implications
the International Monetary President Museveni President Kagame for the financial sector,” he
Fund. said.
Data from the Bank of US$253million in 2014/15– US$56million in 2014/15 to Regional observers say
Uganda shows that Ugan- the highest ever recorded US$46million 2017/18/. the solution to the current
da’s earnings from Rwanda over the last eight years – to However, the value impasse lies in the hands
ranges between US$16-18 US$198million in 2017/18. of Uganda’s imports of two leaders – Uganda’s
million per month. Uganda On the other hand, the from Tanzania and President Museveni and
exports mainly food stuffs value of Uganda’s imports DRC also increased Rwanda’s Paul Kagame.
and construction materi- from Rwanda remains from US$55.1million “They should sit together
als including cement, iron minimal. In 2014/15, and US$31.5million and understand the situa-
and steel, salt, beverages, Uganda’s imports from to US$204million and tion, the challenges that the
spirits, vinegar, soaps, and Rwanda increased from US$168million, respective- business people are going
fuels among others. merely US$9.5million to ly, during the same period through because these are
On the other hand, US$20.6million in 2017/18. under review. two countries that have
Uganda spends on average Meanwhile, the value Kenya remains the for a long a time worked
of US$1-3million per month of Uganda’s exports largest market for Ugan- together” Badagawa told
on importing ceramic prod- to South Sudan and dan products with the The Independent.
ucts, edible vegetables and DR Congo increased value of exports increas- “If countries within the
raw hides and skins –from from US$309million ing from US$348million to EAC integration don’t work
its neighbour to the South- to US$311million US$678million during the together, there is no way
west. and US$160million to same period under review. you can sustain the mar-
Uganda’s exports into US$196million, respective- Interestingly, Uganda’s ket,” he said.
the EAC over the last four ly, during the period under imports from Kenya fell
years shows a decline in review. However, exports from US$608million to
exports to Rwanda from to Tanzania fell from US$513million during the

May. 03 - 09 2019 25
business

BRAC Uganda now


a commercial bank
The lender records a 21% drop in net profit to Shs
17.2bn in 2018 owing to increased expenditure
By Isaac Khisa issuers of electronic money. You

B
are therefore coming at the time
RAC, one of the largest when the sector is taking a new
microfinance providers direction of growth.”
in Uganda, has become BRAC started in 1972 as a
a middle-sized commer- limited relief operation in a
cial bank also known as a Tier remote village in Bangladesh. In
II credit institution, paving way 2002, it expanded into Afghani-
for its customers to deposit and stan and currently has affiliates
open savings accounts. in 13 countries with a focus on
The lender rolled out its oper- Asia and Africa.
ation on April 25, with one of its In Uganda, BRAC has been
branches located on Kampala working since 2006 to advance
Road upon getting a go-ahead women’s empowerment, pro-
from the industry regulator, vide education for children
Bank of Uganda. and adolescent girls, address
Jimmy Adiga, the chief execu- gender-based violence, improve
tive officer at BRAC Uganda livelihoods and skills for small-
Bank Ltd told his guests during holder farmers and support
the bank launch at the Kampala people to lift themselves out of
Serena Hotel the organisation’s abject poverty.
transition into a bank will allow Two years later, it opened a
it drive more impactful financial separate entity, BRAC Micro-
inclusion. finance Ltd, a Tier IV financial
“Our clients can now have institution as a credit only NGO
the confidence and trust of sav- serving mainly the rural house-
ing at a formal institution, a holds.
critical component that ensures Currently, the lender covers
resilience for low-income house- 86 districts, with 163 outlets and
holds in times of social or eco- 270,000 customers countrywide.
nomic shocks,” he said. The company has also been
He said the bank will boost working with 105 schools and
agricultural production and awarded 5,600 scholarships to
market systems through avail- students countrywide.
ing loans to traders and farmers,
ultimately improving the lives of Profitability
the population. Though BRAC has recorded
He revealed that the credit consistent growth in profits,
institution will also introduce 2017 wasn’t a good year.
bancasurance and money transfer services services. Latest financial results shows that the
and thus widening its business opportuni- Mackey Aumo, director in charge of lender recorded a 20% decline in net profit
ties. national payments in the central bank, said to Shs 17.2bn due to increased operational
This new development is expected to BRAC has entered the banking industry at expenditure.
tighten competition in the Tier II credit cat- the right time and that it should leverage on BRAC total expenditure on opera-
egory currently dominated by Post Bank, the recent reforms to in the sector to deepen tions increased from Shs56.9bn in 2017 to
Opportunity Bank, Mercantile Credit Bank financial inclusion. Shs66.9bn in 2018. Provision of bad and
Ltd and Top Finance Bank. “You (BRAC Uganda Bank Ltd) are doubtful debts reduced from Shs 5.2bn to
Nathalie Gabala, who represented institu- coming in the right time, when many Shs3.4bn during the same period under
tional investors – Equator Capital Partners, good reforms have taken place such as the review.
DEG and Triple Jump which own a com- amended Financial Institutions Act 2016 However, the entity’s asset increased
bined 51% shareholding in BRAC, said they under which Tier II institutions are recog- from Shs202.2bn to Shs243.3bn during the
are ready to help the credit institution to nised as banks,” he said. period under review signalling its ability to
grow especially in the development of new “The licence you have also allows you meet all the expenses.
products and rolling out internet enabled to do agent banking and have partners of

26 May. 03 - 09 2019
business

Barclays Bank Managing Director Rakesh Jha flanked by Michael Segwaya addressing journalists at the bank’s headquarters in Kampala on April 25.

Taxes ‘eat’ into Barclays profits


Lender records a 5% drop in net profit to Shs 68bn
By Julius Businge Shs2tn in 2017 to Shs2.3tn. convenience to our customers,” he added.

H
The other area that managers have
uge taxes paid to Uganda to cautiously deal with is the large loan Tremendous performance
Revenue Authority has seen exposures (large loans offered to single Segwaya said the customer deposits
Barclays Bank Uganda Limited persons) that the bank recorded at that grew by 6% was as a result of
record a 5% drop in net profit to Shs663bn in 2018, up from Shs415bn in customers appreciating changes that were
Shs 68bn for year ended December 2018. 2017. coming onboard regarding rebranding.
Barclays bank financial results released This is critical because failure by these The bank is expected to be rebranded
on April 25 shows that the lender’s taxes few individuals to pay back loans on from Barclays to Absa soon.
to the taxman nearly doubled from Shs time would negatively impact the bank’s The bank also excelled in the area of
14.8bn to Shs 28.8bn during the period capital levels – a situation that led to the non-performing loans that dropped from
under review citing changes in the closure of some banks in the recent past. Shs106bn in 2017 to Shs53bn in 2018.
treatment of tax law provisions. During the year, the bank recorded 520 Going forward, Segwaya said 2019
However, the bank recorded an bank agents and plans to increase them to started off well as they are seeing more
increase in income from Shs304bn in 2017 1,000 by end of 2019. This is in addition to growth in the bank’s balance sheet. They
to Shs339bn in 2018. This was equally diversifying its product offering to offer are also seeing more customers taking on
matched with an increase in operating insurance products under bancassurance, more channels, more agents opening up,
expenses from Shs 125bn to Shs 139bn according to the Bank’s Executive Director and more transactions being recorded.
during the period under review, signaling and Chief Finance Officer, Michael The bank is also gearing up for some of
the need for the lender to devise means to Segwaya. the changes that will be coming through
cut expenses. Segwaya told The Independent that the as a result of changes in the brand.
On a positive note, the bank recorded bank strong performance means that it “…and we are preparing our customers
an increase in interest on loans and will continue to excel in extending its for that,” he said.
advances – the core business of the bank services to the customers The bank’s Managing Director, Rakesh
– from Shs131bn in 2017 to Shs144bn in On the digital front, Segwaya said Jha described 2018 as a good year for
2018. they have provided agency banking the bank. “We saw solid growth on the
Further, its assets went up from and mobile banking that is facilitating balance sheet, coupled with growth in
Shs2.4tn in 2017 to Shs2.7tn in 2018 – payment for utility bills for their income. We managed our costs very well
comfortably cementing it in the top five customers. and the portfolio quality has improved
largest commercial banks in Uganda. “The world is getting interconnected giving rise to very strong earnings for the
But its liabilities slightly increased from and we are working to ensure we provide bank,” Jha said.

May. 03 - 09 2019 27
business

CIC Insurance sees


better times ahead
Insurer’s losses more than triple to Shs 6.39bn in 2018
By Isaac Khisa for growth, locally and in the region using Out of the total premium recorded, CIC

C
established groups such as cooperatives and South Sudan saw its gross written premi-
ooperative Insurance Company other aggregators like banks, churches and ums more than triple from Shs5bn in 2017
Africa Uganda Ltd, commonly schools. to Shs18bn in 2018.
known as CIC insurance, recorded “We will consistently review our general CIC Malawi also recorded an increase
a sharp drop in profits last year but and life business, analyzing account perfor- in gross premiums from Shs4bn to Shs7bn
management assures its shareholders that mance in view of retaining businesses bear- during the same period under review.
everything is in control. ing the potential of driving the company CIC Africa Ltd started its regional expan-
The company’s financial results for Gen- towards profitable growth,” he said. sion in 2014 to tap into the growing demand
eral and Life businesses shows that its net He, however, decried the low interest for insurance services.
losses nearly tripled from Shs 2.33bn in 2017 of local cooperatives to buy shares in the In Uganda, it partnered with the Uganda
to Shs 6.39bn in 2018 citing increased com- company. Cooperative Savings and Credit Union Ltd
petition and price undercutting in the coun- He said though the company offered (UCSCUL) and the Uganda Cooperative
try’s insurance industry that now boasts of 724,900 shares in 2015 to the local coopera- Alliance Ltd (UCAL), with a plan to own
32 insurers. tives to acquire a stake, they were under- 51% stake.
However, the company recorded a sharp subscribed. In Malawi it partnered with the Malawi
increase in gross underwritten premiums “CIC Kenya still holds 90% of the share- Union of Savings and Credit Cooperatives
from Shs 14.2bn to Shs 23.4bn during the holdings in CIC Africa Uganda Ltd yet they (MUSCCO) to form a cooperative insurance
period under review. would like to own 51% and the rest owned company co-owned on 50:50 basis.
The premium ceded to reinsurers grew by Ugandan cooperative societies,” he said. In South Sudan, the regional underwriter
93% to Shs5.8bn, with net premiums also He said opportunities still exist for local linked with the Cooperative Bank Group
increasing from Shs8.6bn to Shs16.5bn. cooperative societies to acquire a stake in operations, in which it is the majority share-
Tom Gitogo, CEO at the CIC Group the company. holder with a 69 % stake while Co-operative
revealed during the company’s Annual He said CIC Kenya Ltd has even offered Bank of South Sudan owns the remaining
General Meeting in Kampala on April 26 to reduce its shareholdings further in the stake.
that the high commission expense and the Ugandan subsidiary to local cooperatives Going forward, Japheth Magomere, the
change in reporting to standards to IRFS9 similar to its operations back home. chairperson CIC Group said the company
also contributed to a drop in profit. Currently, 74% shareholdings in CIC plans to invest in technological systems that
“We were extending our services to some Kenya Ltd is held by cooperative societies provide efficiency and value to customers.
companies at slightly lower prices as they and the rest is listed on the Nairobi Stock “The e-Oxygen for instance is a system
test our services. At the same time, we have Exchange. that has contributed to the growth of medi-
also been offering high incentives to our cal business. As a result of this success, we
staff. However, going forward, we are no Regional performance are launching medical insurance business
longer going to offer these incentives,” he In terms of Group performance, CIC here in Uganda,” he said.
said, adding that the company is expected Insurance recorded a 12% growth in gross He said the company is looking forward
to break-even this year. underwritten premiums to Shs614bn. to building strategic partnerships with like-
Yasin Nnume, the chairperson of CIC The Group’s before tax profit grew 64% minded organizations to break into new
Africa Uganda said they are reviewing to Shs 31.5bn while asset base grew by 8% and existing markets as well as provide
market opportunities that have the capacity to 1.2trillion. learning opportunity in their operations.

28 May. 03 - 09 2019
business
CSR TECH

Airtel rewards internet driven entrepreneurs Kenyans win big in


African start-ups

K
graduate and founder of Spare-
Wo – an online shop for motor enyans took the lion’s
spare parts; Pius Enywaru, the share of the over $1
founder of Fastlane Media and billion that went into
Communications and George African start-ups during
Nsamba a self-taught film- 2018, with much of this money
maker and proprietor of The going into fintech ventures
Ghetto Film Project all walked aimed at increasing financial
away with Shs5m each for the inclusion.
Most Innovative Hustle, Most Partech, the US-based invest-
Internet-Driven Hustle and ment firm, says in its latest
Most Impactful Hustle respec- annual report that Kenyans
tively. Launched in September received $348 million of total
2018, ‘My Hustle’ is an online- $1.163 billion investors injected
Airtel Uganda MD Somasekhar (R) and PSFU Executive Director, Gideon based series featuring different into African start-ups. This is
Badagawa (L) hands over a dummy cheque to Edrine Sempebwa, founder budding entrepreneurs running double the $560 million in 2017.
of SpareWo, an online motor spare parts shop

O
small and medium enterprises Driven by Fintech, financial
n April 24, Airtel campaign to recognise the most powered by the internet and inclusion remains the main in-
Uganda celebrated internet-driven, most innovative mobile money. V.G. Soma- vestment sector on the continent,
the end of a success- and most impactful business sekhar, the Airtel Uganda man- attracting 50 pc of the total fund-
ful season of their through both public vote and aging director applauded the ing last year.
testimonial digital series – ‘My a panel of judges.  Edrine Sem- participating entrepreneurs. However there has also been
Hustle’. The company used this pebwa, a 27-year-old economics a shift. Some 30 pc of the 2018
funding, (compared to 13 pc
in 2017), went to business-to-
business (B2B) ventures while
TECH Consumer Services accounted
for 19.6 pc. Last year the figure
MTN business seek to grow market on IT security was 42 pc.
Tala, Cellulant and Dlight

P
enrolling for the Managed Organisations need a more led the Kenyan success stories
an-Africa tech firm
Security-as-a-service (MSSP) automated, ever-green attracting investments of $50
MTN Business is
product will have an all-round threat detection and remedy million; $47.5 million and $41
seeking to grow its
IT security where MTN will mechanism that is neither million respectively.
market niche by
take over IT Security roles complicated nor involves Nigerians came in second
introducing an IT security
leaving companies to fully heavy capital investments,” he across Africa at $306 million and
management product targeting South Africans third with$250
concentrate on their core tasks. said.
Kenyan companies, according “One of the main headaches The technology will also be million. Within the region Tan-
to Business Daily. today for IT security teams available to multinationals, zanian start-ups got $75 million,
The firm’s senior manager is keeping up with the ever small and medium enterprises Rwandans got $19 million, the
and solutions architect, John increasing cyber threats and on a fully managed pay-per- Ethiopians $11 million while
Muraya, said companies their level of sophistication. use model. Ugandans received only $2
million.
BANKING CSR

EADB gets new country manager Vivo energy to reward customers with Shs50m

F
rancis Ogwang (pictured) is the new Shell Select participating store, spend at
country manager of East African least 50,000 shillings and fill in a raffle
Development Bank (EADB). He has ticket to enter a weekly draw to win
17 years of banking experience, eight free shopping worth Shs50, 000.This
of which at middle management and senior will automatically enter them into the
leadership levels. His banking experience weekly draw to stand a chance to win
ranges from corporate and investment banking, the grand prize. At the end of the pro-
transaction banking to commercial and SME Some of the Vivo Energy campaign winners motion, five lucky customers will each

V
banking and more. Before joining EADB, Ogwang walk away with a full kitchen make
worked at EcoBank Uganda ivo Energy Uganda has an- over consisting of kitchen essentials
limited and at Centenary nounced a campaign dubbed including a fridge, 12kg Shell Gas Lite
Bank Limited in different the “Kitchen Make Over” that cylinder, microwave, blender, kettle
capacities. He holds a Master’s will see Shell Select customers and coffee maker, all worth Shs25 mil-
Degree in Business rewarded with prizes worth Shs50 mil- lion. According to Evelyn Driciru, the
lion across its 21 outlets. The campaign company’s convenience retail brand
Administration and Bachelors of
is open to all customers. To participate, manager said the campaign runs for
Arts Degree – Economics both
customers are required to visit any two months until May 31.
from Makerere University.

May. 03 - 09 2019 29
business

BATU net profits


hit Shs13.7bn
By Julius Businge offset by improvement in pro-

B
ductivity. However, finance
ritish American To- costs reduced significantly
bacco Uganda Ltd by Shs1.8billion as a result
(BATU) has defied of lower overdraft utilisation
the effects on taxes following the positive change
imposed on cigarette products in the company’s supply
two years ago to record a 14% chain model that resulted
growth in net profit to Shs into reduced working capital
13.7bn for the year ended De- requirements.
cember 2018. BATU Managing Director,
Financial results released on Mathu Kiunjuri, said the com-
April 23 also shows that the pany is currently worried of
cigarette seller recorded an the high incidence of illicit cig-
increase in revenue by 3% to arettes in the market, adding
Shs 154bn driven by excise-led that it reduces the amount of
Centenary Banks MD, Fabian Kasi (C) hands over a dummy cheque worth pricing in the market.
Shs2 million to members of Christ Link Investment Club. This was at duty-paid cigarettes.
The government imposed “We continue to engage the
the Investment Club of the Year Awards themed «sustainable growth for Shs55, 000 per 1,000 sticks as
investment clubs», recently in Kampala.    COURTESY PHOTO. government on the importance
tax on locally manufactured of a stable, predictable and
soft cup cigarettes in the Finan- fair tax environment to ensure
cial Year 2017/18; Shs5, 000 sustained business and govern-
more from the old charges. ment revenue growth,” Kiun-
Also, the government charges juri said.
Shs75, 000 per 1,000 sticks of Last year, BATU saw its taxes
imported cigar rates. paid to government increase
On the other hand, locally by Shs4bbn to Shs 90.5bn due
manufactured Hinge lid ciga- to increase in taxes on ciga-
rettes are taxed Shs80, 000 and rettes in the previous year.
the imported one taxed Shs100, The company’s Board of
000 per 1,000 sticks. Directors has recommended a
The company’s cost of opera- final dividend for the year as
tions increased marginally by Shs280 per share. This will be
1% to Shs49.9 billion during subject to approval from the
the period under review Annual General Meeting slated
though they were partially for May 22.
A donor gives blood to the Uganda Blood Transfusion Services in
Masaka on April 25. The blood donation drive was organized by Africell
in partnership with Uganda Marathon, a charity organization based in
Masaka District.   COURTESY PHOTO.

Weekly share price movement (April. 29)


Security April 29 March 29 Movement
BATU 30,000 30000 00
BOBU 129 130 0.7
CENT 1,178 1,182 0.3
QCL 173 190 8.9
DFCU 670 670 00
EABL 8,118 7,610 6.6
EBL 1,531 1,487 2.9
JHL 15,313 15,202 0.7
KA 183 185 1.1
KCB 1,660 1,619 2.5
NIC 14 13 7.6
NMG 2,140 2,214 3.3
NVL 334 334 00
One of the 14 Israeli celebrities gets up-close with a mountain gorilla at SBU 29 30 3.3
Bwindi Impenetrable Forest. The celebrities flew into Uganda on April UCHM 14 22 36
21 for a week long tourism trip. They visited several tourist attractions UCL 16 16 00
including Queen Elizabeth National Park and the Bwindi Impenetrable UMEME 300 298 0.6
Forest that was recently listed among the 25 most beautiful places on ALSI -- -- --
earth, the old Entebbe Airport among others.   COURTESY PHOTO

30 May. 03 - 09 2019
comment
By Stephen Nwaloziri
Monetisation of garbage
The incentives that must be given to people to minimise
the amount of garbage that reaches landfills

A
s a child growing up in Lagos, Many workers in Lagos are already Lagos, where I grew up. Introducing
Nigeria, in the late 1990s, I switching from cars to state-run com- such schemes would certainly help to
remember women roaming muter buses because they cannot afford cut the amount of plastic waste that is
through my community and the cost of fuel. If poorer people in generated or discarded.
chanting in Yoruba, “onigo de o! Anra particular could receive bus tickets for Lastly, campaigns to raise environ-
bata rubber ati ayo t’on jo.” This trans- their waste, life would be easier for mental awareness would encourage
lates as “The bottle peddler is here! everyone. There would be less garbage better waste management. By show-
We buy rubber sandals and leaky (alu- on the streets, roads would be less casing ordinary citizens being mindful
minum) pots.” Some families would clogged, and people wouldn’t need to of waste and their environment in
separate their waste, because they wait for waste trucks to get rid of their everyday life, such efforts can inspire
could give some of it to these women rubbish. In addition, households would others to do the same.
for cash. be more likely to separate waste if the My current work in Berea, Kentucky,
There are far fewer of these peddlers city gave food stamps or fruit to those at The Greenie Project, a non-profit
nowadays, perhaps because bottling that recycled a certain amount of metal, student initiative which I started,
companies are no longer recycling the clean plastic, or oil waste, for example. shows how environmental awareness
bottles that the women gather. But a Second, Lagos could reduce its plastic can spread. Our film “The Carlbergs”
large-scale effort along these lines to waste by working more closely with chronicles a local family that hosts
monetise waste in Lagos, if properly bottling companies and other manu- huge contra-dance events in their
coordinated and funded, could poten- facturers. This could involve public- home in a sustainable way – by using
tially have a huge impact on the city’s private partnerships that require silverware and ceramic plates instead
garbage problem. And what works each company to operate a recycling of disposable plates and cutlery, and
in Lagos could hold lessons for many center where consumers can bring by recycling. The film has inspired
other cities – and not only in the devel- used plastics. Citizens will feel moti- other groups and small businesses in
oping world. vated to recycle their plastic waste at the community, such as Berea Coffee
In Lagos, action is urgently needed. centers bearing recognisable brand and Tea, to be more sustainable.
The city has a population of about 22 names, especially if a reward program Similarly creative and locally relevant
million and, as the World Bank has is involved. No bottling companies approaches would work well almost
highlighted, is heavily polluted. Espe- currently have recycle-for-reward pro- anywhere.
cially in poorer areas, residents who grams in the Makoko community of That includes Lagos, where the waste
can’t afford to pay for waste collection problem hits the poor particularly
come out in the dead of night to dump hard. To address it, we should create
their garbage on the streets or in the the right incentives, as the bottle ped-
water. As a result, the city’s slums are
littered with paper, household waste,
Lagos could dlers in my part of the city did two
decades ago. Monetising waste will
and plastics.
By outsourcing most of the actual
reduce its encourage poorer communities to
participate, and awareness campaigns
waste collection and management to plastic waste can help to show just how easy it is to

by working
some 375 private companies, the Lagos be green. The result will be a cleaner,
Waste Management Authority, an arm more livable city that serves as an
of the Lagos State government, has
helped to reduce waste significantly. more closely example for others to follow.

But much more can, and must, be done.


Unless people are given incentives to with bottling Stephen Nwaloziri, founder of The Greenie
Project, is a program associate at the Berea
monetise their garbage and minimise
the amount that reaches landfills, the
companies College Forestry Outreach Center.

pollution problem will continue to


fester. Three options in particular look
and other Copyright: Project Syndicate, 2019.

promising.
For starters, Lagos could introduce
manufacturers
a green-exchange program like the
one established in the city of Curi-
tiba in Brazil. There, residents bring
their waste to designated local centers
in exchange for bus tickets or food.

May. 03 - 09 2019 31
comment
By Emma Nahayo Mugizi
Time to benefit from oil & gas is now
Investors will go through most of the over US$15 billion
capital expenditure during this development stage

A
t a recent meeting, Ernest three years so far is an important, must be in place before the oil comes
Rubondo, the Executive necessary and inevitable step of the out, including a Central Processing
Director of the Petroleum growth process. The progress we make Facility, Oil Refinery and Oil Export
Authority of Uganda as an organisation is, and will be, in Pipeline. Other infrastructure that
(PAU) described the progress of our stages. Just like the drill bit. needs to be completed includes the
organisation and the oil and gas sector The same goes for the oil and gas second international airport at Hoima,
in our country generally, with an industry in Uganda. The urge to “see the critical oil roads, and several
interesting analogy. He said we were our oil now” is quite strong, and camps.
experiencing “progress by the drill during some of the engagements we The good news for Ugandans,
bit”. have had with different stakeholders, though, is that this is not a “waiting”
We all listened keenly but the the “seeing is believing” mentality has stage like the exploration phase before
comparison stayed on my mind for been hard to shake. it. The time to benefit from oil and gas
some time after the meeting, until I Simply put, there is a process, is now; during this development stage.
finally decided to research this “drill an unavoidable, necessary process At the core of the PAU’s purpose
bit”. As I read about it, I understood that the country must go through is ensuring Ugandans benefit from
the significance of the analogy. before we “see the oil”. Just like the oil and gas activities, and it is
You see, the drill bit, is the end (or the drill bit. The oil will be realised crucial for us to spread this message.
beginning) of a drill. There are several during the production phase. The Keep in mind that the investors
types and sizes of drill bits in the oil stage we are in now, however, is the will go through most of the capital
and gas industry, with the biggest development phase. Several studies expenditure (over US$15 billion)
weighing 1,700kg – about the size and have been concluded; including during this time. The main benefits
weight of a small car. The drill bit Front End Engineering and Design for Ugandans are in form of the
usually consists of two or three cones (FEED) for the various projects, and opportunities for technical skills
that are made up of hard materials the investors are expected to take employment and supply of goods and
and “sharp teeth”. It goes through the Final Investment Decision (FID) services to the industry.
the ground, rotating, tearing away at this year. This stage also involves As the PAU and the sector progress
the soil, rock and sediments until it construction of the infrastructure that “by the drill bit” we shall continue
reaches and penetrates the reservoir with the stakeholder engagement
rock, targeting oil or water or gas: a programmes all over the country.
reservoir can have a combination of Our quest is to monitor and regulate
any of the three.
But the thing about the drill bit is
This stage Uganda’s oil and gas industry in a
way that creates lasting value for
the process. There is an inevitable
process it must go through in order
also involves society and ensures an attractive
investment environment.
to strike the oil. It has to go through construction
of the
all the necessary levels and existing The writer is the Senior Corporate Affairs
stratigraphic (rocks and soil) layers Officer at the Petroleum Authority of
and also through the reservoir rock.
And that is what makes this analogy infrastructure Uganda
www.pau.go.ug; corporateaffairs@pau.
brilliant.
The PAU is a fairly young that must go.ug

organisation: put in place by law in


2013.Its structure was set up in 2015
be in place
with the appointment of the Board
of Directors and management was
before the oil
put in place in 2016/2017. Then a
bold and impressive strategic plan
comes out
was approved in 2017/2018. This was
followed by the current staff structure
with less than 50% of the positions
filled.
Every step the PAU has taken in only

32 May. 03 - 09 2019
Is drinking cold water bad?
A study investigated the effects of different drinks
on the performance of 12 trained male athletes
By Beth Sissons slightly more calories, there

S
appears to be little difference
taying hydrated is vital for our between drinking cold and
health, but there is some debate room temperature water.
about the best temperature for
water to be when people drink Warm water can improve
it. Some advocates believe that drinking
cold water can be bad for you. circulation
Consuming enough water every day is People may find drinking
essential for supporting all bodily func- warm or hot water soothing,
tions, including digestion and metabo- especially in colder months,
lism, getting rid of waste, maintaining a while cool water can be more
normal body temperature, and keeping refreshing in warmer weather.
organs and tissues healthy. Drinking warm water may
In Western medicine, there is little sci- temporarily improve circula-
entific evidence to suggest that cold water tion by causing the arteries
is bad for the body or digestion. Drinking pipe, such as achalasia, should avoid drink- and veins to expand.
plenty of water can help the body flush out ing cold water. Achalasia is a rare condition Research suggests that the temperature of
toxins, aid digestion, and prevent constipa- that can make swallowing food and drink the water that people drink can affect levels
tion. A small study from 2013 investigated difficult. of sweating and rehydration. For example, a
the effects of drinking water at different A 2012 study found that drinking cold United States Army study from 1989 found
temperatures in six people who were dehy- water worsened symptoms in people with that drinking warm water (40°C) rather
drated, following mild exercise, in a hot and achalasia. However, when participants than cool water (15°C) may cause people
humid chamber. drank hot water, it helped soothe and relax to drink less, which can lead to dehydration.
The researchers found that changing the food pipe, making food and drink easier A 2013 study suggests that the optimal
the water temperature affected the sweat- to swallow. water temperature for rehydration follow-
ing response of the participants and how One 2001 study involving 669 women ing exercise may be 16°C, which is around
much water they drank. The optimal water suggests that drinking cold water may the same temperature as cool tap water.
temperature in the study was 16°C (60.8°F), cause headaches in some people. The researchers reported that participants
which is the temperature of cool tap water The researchers reported that 7.6 percent who consumed water at this temperature
because the participants drank more water of participants experienced a headache after drank more water voluntarily and sweated
and sweated less. drinking 150 milliliters of ice-cold water less than when they drank water at other
The researchers concluded that drinking through a straw. They also found that par- temperatures.
water at 16°C may be the best temperature ticipants with active migraine were twice In a 2011 study, researchers concluded
for rehydration in dehydrated athletes. as likely to get a headache after drinking that drinking cold water at a temperature of
According to the Indian traditions of cold water as those who had never had a 5°C did “not improve voluntary drinking
Ayurvedic medicine, cold water can cause migraine. Some people claim that consum- and hydration status” in six Taekwondo
an imbalance to the body and slow down ing cold drinks and foods can cause a sore athletes. However, drinking water of any
the digestive process. throat or cold. However, there is no scien- temperature is essential for staying hydrat-
The body has a core temperature of tific evidence to support this claim. ed, especially when exercising or in hot
around 98.6°F and Ayurvedic practitioners environments.
reason that the body needs to expend addi- Benefits of drinking cold water
tional energy to restore this temperature Some studies suggest that drinking Conclusion
after drinking cold water. colder water during exercise may improve a People should make sure they get enough
In the Ayurvedic tradition, cold water can person’s performance and endurance. water each day, regardless of its tempera-
dampen “the fire,” or Agni, which fuels all For example, a 2012 study involving 45 ture. The National Academies of Sciences,
the systems in the body and is essential to physically fit males found that drinking Engineering, and Medicine advise that
health. Ayurvedic practitioners also believe cold water during exercise significantly females need to consume around 2.7 litres
that warm or hot water helps to ease diges- reduced the rise in core body temperature of water a day to meet their hydration needs
tion. compared with drinking room temperature and males around 3.7 litres. This intake can
water. Some people claim that drinking come from both foods and beverages.
Risks of drinking cold water cold water can help promote weight loss.
Some research suggests that people with Although some studies suggest that drink-
conditions that affect the esophagus, or food ing more water can help the body burn

May. 03 - 09 2019 33
health

Is there a
By Agencies

F
or some people, having a pretty face
is like having a winning lottery ticket

beauty gene?
you can cash again and again.
Research tells us people who are
perceived to be attractive aren’t only more
likely to have better jobs and make more
money. They’re thought of as having more
positive personality attributions too.
If they commit a crime, they may be
viewed less harshly and may even be let off Scientists are trying to find it
more easily.
Standards of beauty can of course change mass and attractiveness, however, points to Chen, a plastic surgeon with experience in
depending on the era and the culture or one of the limitations of the study: Research- gene therapy research.
the person. After all, there is the phrase, ers don’t yet understand the roles of age, “Many features have environmental fac-
“beauty is in the eye of the beholder,” for a physical body shape, facial expression, and tors, such as smoking or diet, that change
reason. But it is also true that some people’s makeup in the perception of attractiveness. the results of our looks, like facial skin tex-
appearance is so physically attractive to oth- Indeed, for every promising correlation tures,” he said.
ers, they can benefit from it. they found, unanswered questions remain. Another complication is that beauty
So, can you find what genetically makes a “Similar to many other human traits, ideals can change over time or in different
person attractive? cultures.
Right now, scientists understand very But this search for attractiveness genes
little about what makes a person attractive might underpin something that other areas
— at least when it comes to their genes. of genetic research are wondering and
But a new study from researchers at attempting: Can we eventually manipulate
the University of Wisconsin-Madison has or change genes to boost the chances of
uncovered some of the genetics behind attractiveness?
beauty. Perhaps, Chen says, but not anytime
soon.
How the study found beauty “At this point, we can now identify parts
In a study published this month in of the gene that determine or are associ-
PLOS Genetics, lead author Qiongshi Lu, ated with certain physical or hormonal
assistant professor in the department of traits. These traits are likely multifactorial,
statistics at University of Wisconsin-Madi- so there’s not a single gene that can be
son, and his colleagues used attractiveness switched on or off,” he said.
scores to locate and identify several genes Chen explains this may be the next fron-
correlated to facial attractiveness in 4,383 tier in beauty.
individuals. “The danger is certainly being able to
In order to rate attractiveness, the manually manipulate these genes, perhaps
researchers asked volunteers, or “coders,” even selecting certain genes of embryos
to score yearbook photos of individuals before birth,” Chen said. “This ability is
on a scale from “not at all attractive” to still far away, perhaps decades, but it is
“extremely attractive.” Each coder looked at there is not a ‘master gene’ that determines certainly a caution as we progress in our
12 photos. a person’s attractiveness,” Lu said in a state- scientific understanding of beauty.”
The attractiveness scores in hand, the ment. “Instead, it is most likely associated Of course, attractiveness is an ever-evolv-
researchers then compared the coders’ rat- with a large number of genetic components ing definition, one that may be more primal
ing scores to each person’s genetic makeup, with weak effects.” than superficial.
looking for correlations or crossover genes. The researchers said they also recognise “Theoretically speaking, sexual selec-
Amid that genetic information they their study is based on a racially and ethni- tion’s pretty well established,” said Andrew
found a “handful of candidate genes.” cally homogenous group of people of about Neff, PhD, a neuroscientist specialising in
They also found that those genes varied the same age and background — that is, molecular and cellular biology and manag-
by sex. mainly white Midwestern American college ing director of Golgi Productions.
In females, the genetic variations that students of European ancestry. “Animals evolve not just for fitness but
most closely related to facial attractiveness The group is also small. Roughly 4,400 for any arbitrary reason that enhances their
were linked to genes that affect body mass, people is considered a moderate sample reproduction chances. If sexual selection
or the measure of a person’s weight and size. exists, and it’s driven by genetics, there has
height. And the researchers didn’t replicate their to be some underlying genes, and this study
In males, the genetic variations were findings with any external cohort, or group shows some prime candidates,” Neff said.
linked to genes that affect blood cholesterol of people. “External replication and valida- While this study was a “successful
levels. tion are critical steps in studies of complex attempt to pin down genetic components of
The study authors point out that research trait genetics,” the authors wrote in the human facial attractiveness,” the research-
has found blood cholesterol levels play a study. ers wrote, it could springboard many future
role “in the synthesis of testosterone and areas of research.
other steroid hormones.” That may help Could we change beauty genes?
explain why attractiveness scores were tied Genes alone don’t tell a whole picture Source: healthline
to a cholesterol gene. about attractiveness. A person’s lifestyle
The correlation between a female’s body can greatly influence that, says Dr. Charlie

34 May. 03 - 09 2019
ART | BOOKS | SOCIETY | TRAVEL | CULTURE

Old is gold
Art inspired by a humble life and a grandfather’s idioms

E
By Dominic Muwanguzi ette has rich golden as the background, with prized certificates of his sage grandfather.
vintage cars, classy Afro-haired women clad He scanned them and glues them together
arly exposure to life’s trials; in dapper colonial dress-codes to the fore. to create monochrome background colours.
with a single mother and con- It all appears to be a tribute the grandfather That the technique and its intricate applica-
stant scarce resources, ensured who loved the rich life. The artist talks about tion validate non-traditional media in art
that Adrian Migadde looks to him fondly. He paid his school fees and appears secondary. Instead, it shows that
art as a way out. In school, his supported him in many ways; even paving while recycling in art is considered a nov-
drawings made him friends way for his future success as an artist. elty today; in Migadde’s childhood, every-
and paid his school fees. Later on, when he His palette is also luminous bright, sug- thing was put into reuse endless times.
was re-united with his retired civil servant gesting his love for light. He says his love He interrogates the notion of cultural
grandfather, he exposed him to immense for television inspired his love for light. The preservation that is seemingly neglected
knowledge of the Buganda traditional cus- telly is a constant backdrop in his studio. by contemporary society. His art seems
toms, proverbs and idioms alongside the co- “I loved T.V and I still do,” he enthuses to imply that in order to move forward as
lonial mannerisms. The old man also loved shyly as he peers at the large screen in his a community, we must embrace old gold
the rich life. Today, Migaddes’s art mirrors small studio. And it influences his art. For alongside the modern muse.
the different influence in rather paradoxical example, he paints white people a lot –
ways. because they dominate the TV world. He is Adrian Miggade participated in the Afriart
His art is a delicate figurative mirror of also fascinated by the contrast between the Surfaces Conceptual workshop and exhibition
his life. But he works on large extravagant mobile forms and characters on TV and the in 2017. He now runs a studio MAG Arts at
canvases as if to mock his frugal past. He still images on canvas. Makerere Kavule along the Bwaise- Kawempe
grew up in a single small room, with every- When he does paper collages, he likes to Highway. Images, courtesy of the Artist FB
thing crammed into it. But his paintings are layer his paintings with mostly of old inter- page
dominated by old is gold concepts. His pal- national fashion-magazine cut-outs and the

May. 03 - 09 2019 35
Man cuts off his own finger after accidentally voting for wrong candidate
Pawan Kumar, a 25-year-old to a viral video of him with a his mistake and decided to chop
Indian man from Uttar Pradesh, bandaged index finger after he off his finger in desperation. “I
chopped off his index finger reportedly cut part of it off as wanted to vote for the elephant,
with a meat cleaver in despera- self-punishment for voting for but I voted for the flower by
tion, after accidentally voting for the ruling Bahujan Samaj Party mistake,” 25-year-old Kumar can
the wrong candidate in India’s (BSP) instead of the SP-BSP-RLD be heard saying in the video. He
national election. Kumar became candidate Yogesh Sharma. He said seeing his marked finger
an overnight sensation, first in says he got confused by the party reminded him of his mistake, so
India, and then globally, thanks symbols. He couldn’t live with he decided to get rid of it.

Catholic man has been Sick of waiting for the government, Kenyan man digs road
nailed to a cross every A 45-year-old 7am to 5pm,
Good Friday for 33 years man from rural
Kenya is being
he created a
dirt road just
hailed a hero wide enough
A Filipino Catholic man playing the role by his commu- for cars to
of Jesus Christ in a yearly Good Friday nity after single- drive on in
reenactment of his crucifixion was nailed to handedly digging six days only.
a wooden cross for the 33rd consecutive time a one-mile road The road
this Easter. through a bushy is already
58-year-old Ruben Enaje, from the baran- area using only being used
gay of San Pedro Cutud, in San Fernando rudimentary tools. by students
City, has been volunteering to get nailed to a The people of and pupils
cross on Good Friday since the 80s. Four- Kaganda, a small of Kaganda
inch nails are driven into his hands and feet village 80km north of the That’s when a local hero Secondary School and
and he gets lifted on a large wooden cross Kenyan capital, Nairobi, Nicholas Muchami, who Kaganda Primary School
for about five minutes, every Good Friday. had long been appealing to earns a living doing odd as well as the other locals.
The event attracts many people. Although local government officials to jobs during the day and is Interestingly, none of the
wounds caused by the metal nails take up start work on a short stretch a guard at night, decided people in Kaganda offered
to two weeks to heal, religious fanatics who of road that would shorten to take matters into his own to lend him a hand because
volunteer to get nailed to a cross say it’s a their 4km daily trips to the hand and dig the road him- they didn’t want to the
small price to pay for the opportunity to nearest shopping center. self, for free. Working from work for free.
express their faith in a special way. Both
Catholic leaders and public health officials
condemn the practice of crucifixion. Can throwing coins into airplane engines bring good luck?
On April 22 a 66-year-old trip. Chinese often do this. their target, the consequenc-
woman surnamed Wang Luckily, all attempts to es could be devastating.
was detained for attempt- throw coins into airplane Ouyang Jie, a professor at
ing to throw six metal coins engines have so far failed; Civil Aviation University of
into the engine of a Tianjin with the metal pieces land- China, told journalists that
Airlines plane just before ing on the ground. But if if a coin reached the delicate
take-off, apparently in an one such superstitious per- engine core, it could cause it
effort to guarantee a safe son ever managed to reach to stop working midair.

Man sues supermarket after being cheated out of $0.008


A Chinese man recently took a super- as change instead of the 0.24 yuan (Ap- The superstore had no choice but to ad-
market chain to court after allegedly being prox. Shs130) he was owed. He didn’t really mit the mistake and apologise to Xiao and
cheated out of 0.04 yuan (Approx. Shs30) need the 0.04 yuan, but he considered the the general public.
because the checkout clerk rounded down supermarket’s rounding off system to be “The method of giving change by round-
the change he was owed. cheating, so he decided to sue them and ing up or down does not fully respect
Xiao claimed that after shopping at a draw attention to the practice, hoping it the consumer’s rights and causes them
branch of Yonghui Superstores and offering would get fixed. inconvenience,” the superstore lawyer said.
55 yuan (Approx. Shs30,500) for groceries “I just wanted to say no to the business’s Court ordered the Superstores to pay Xiao
worth 54.76 yuan (Approx.Shs30,360), he unlawful practice and unreasonable rules,” the change he was owed, as well as 50 yuan
was given only 0.20 yuan (Approx. Shs100) he said in an interview. (Approx. Shs30,000) in legal fees.

36 May. 03 - 09 2019
Here comes trouble The mud and dust must be hosed off and
not merely wiped off with a cloth that
leaves scratches.

for your car paint


The household items either are acidic,
such as coffee, or sticky such as the sugar
in the soda. So get rid of the ASAP.
The car items; brake fluid and petrol
contain chemicals which react with
chemicals in the car body paint to cause
Natural hazards, household items, trouble. In case of brake fluid, it is
caustic, and acts as paint thinner – eating
and dangerous car items to avoid away the outer layer of your car paint
and causing it to peel. There is some
good news on this, however. Apparently
By Motoring Guru shoe polish, salt, and shaving cream, and many new brake fluids are silicone-based

I
sharp items (keys, nails, razors, scissors and not dangerous. But hey! Think safety
f you’re a typical car owner, you etc. used by kids to deface the car paint). first when in doubt. Clean any brake
possibly want the body of your car Car items include brake fluid and fuel. fluid on car paint fast.
nicely waxed, without scratches or Most of these items cause trouble for The petrol trouble happens at the
dents. In reality, your wish might your car paint because they are corrosive, pump usually. Either you want to fill
never become reality with all the dirt are used badly or cleaned off badly. Most the tank to overflow or the attendant is
roads we drive on, bird poo under the of the natural hazards, such as bird poo, splashy sloppy, or forgets to replace the
tree shade, pools of flood water, and the are acidic and corrode the paint if left on fuel tank cover. In any of these cases, fuel
raw tar that clings like a leech. So we to dry. The ash is acidic; especially if it could spill onto the body. The fuel will
thought we might do two things to help; mixes with a liquid when your neighbor evaporate, but it can leave marks behind
first is to let you know where danger burns mowed grass and bits of ash and damage the clear coat.
lurks by listing some of the things that cover your car and are soaked in dew You might be surprised to find out
cause car body paint trouble, and two, overnight. By morning, the chemicals that shoe polish can stain a car and
suggesting ways to deal with the trouble. might have penetrated passed the body may be difficult, if not impossible to
First, we list some common sources of wax and onto the car paint. Some will not remove. It’s important not to let it sit
car body paint trouble. We group these go away however much you rub. Others or dry on the paint. To clean the polish
into three: Natural hazards, household will hide under the skin of the paint and off your car, might require a special
items, and car items. cause corrosive trouble later. So get rid detergent. Shaving cream too causes
Natural hazards include mud and of any ash real fast. The salt causes rust, discoloration of car paint if it’s left
dust, bird droppings, raw tar, and ash. and the raw tar you pick up from driving there. Wash the vehicle thoroughly
Household items include coffee, soda, on roads under constructions is clingy. with soap as soon as possible.

May. 03 - 09 2019 37
MP Bernard Atiku on being unselfish
‘I have witnessed street children barely two years old being
exploited to beg under the scorching sun and felt so low’
District Councillor a position that he says Oyavu village in Adumi Sub County which
By Agnes E Nantaba
enabled him build capacity and understand is among the seven sub-counties that make

B
how systems work. up Ayivu. He is the second born of nine
ernard Atiku is the Ayivu County
By 2011 Atiku was ready to contest for children of Etoru Rose and Ernest Yuma.
Member of Parliament. Now in his MP. He was enrolled at Wandegeya Muslim
second term, Atiku arrived in par- In Ayivu, Atiku prides in improving Primary School where he completed Pri-
liament in 2011 on the Forum for education in the county with the Ayivu mary education. He completed Ordinary
Democratic Change (FDC) ticket. But he fell Education Promotion Fund. Through the Level at St Joseph’s College in Ombachi
out with the FDC leadership in Arua and fund, best performing students are offered before joining Caltec Academy Makerere
ran on an ‘independent’ ticket in the 2016. scholarships at the different levels of educa- for Advanced Level. He graduated with a
He also campaigned for President Yoweri tion. The idea is to entice pupils to work bachelor’s degree in Development Studies
Museveni. Then he made news headlines in hard so that they benefit from the scholar- from Makerere University in 2004.
2017 after showering then- Arua Municipal- ship opportunity. He is married with four
ity MP Ibrahim Abiriga with punches dur- He also built a constitu- children.
ing debates on the controversial age limit ency office block that
bill. At parliament, his legacy project has he says will be used
been the amendment of the Children’s Act. even beyond his
It was signed into law by President Yoweri tenure as MP.
Museveni recently. Atiku
“It had been shelved for years and I hails from
struggled with it against the Government’s
Bill until mine was proved on grounds of
making more sense,” says Atiku, “I am
proud to keep a copy that the President
assented to.”
Atiku likes to see positivity in adversity.
The recent move by the Electoral Commis-
sion and leaders of political parties to enact
a tough law on independent candidates
complicates his re-election in 2021. But
Atiku is focusing on the positive in it. He
says independents need a law that spells
out their issues since they emanate from a
constitutional provision.
Atiku says: “The discussion is timely and
is good for the democracy of the country.”
“The act would spell out how one
participates in a multiparty political system
especially basing on the challenges and
weakness in the past elections,” says Atiku.
Atiku’s political career was ignited dur-
ing his last year at Makerere University as
a student of Development Studies. In one
of the lectures to close off the course, the
lecturer urged students to seek nominations
in the forthcoming general elections of 2006
because they had been trained as leaders.
This possibly did not make sense to many
of his peers, but Atiku gave it deep thought.
He says: “They were inspirational and
matching orders for anybody like me who
had political ambitions.”
The electoral process was in high gear
at the time of graduation and as a very
active member of Reform Agenda turned
FDC, Atiku grabbed the opportunity when
political space was opened for multiparty
politics. Atiku could not go higher than

38 May. 03 - 09 2019
Q&A
news analysis

Bernard Atiku’s Liteside


Any three things that we have an open cheque Anyone who abuses I have witnessed street
from me. I am the patron their leadership children barely two years

I
don’t know about you?
am one simple of Onduparaka FC and I positions without old being exploited to
person and very am willing to give in my remorse. Leaders must beg under the scorching
humble but very best for the good of the stick to their promises sun and felt so low.
team. and work hard to deliver They don’t deserve such
emotional with
on them. inhumane treatment.
disappointments. If What is the greatest
you disappoint me, you thing you have ever What is the quality you What is your favorite
cannot guarantee how done? most like in a woman? occupation?
I would react. If I am It is still work in Selflessness. I like what I am doing
honest with you and progress. I would love at the moment because
you reward me with to see the lives of my What is the quality you through my position,
dishonesty, you will not people improve. I dream most like in a man? I have the liberty to
get the best of me. I am of setting up a model Selflessness. interact with and
also very time conscious village where my people motivate people.
unless the situation is appreciate humanity What or who is the
beyond my capacity to living in harmony and greatest love of your What do you most value
manage. peace. life? in your friends?
My parents and wife. Being of help to one
What is your idea of What do you consider another without having
perfect happiness? the most overrated When and where were an ulterior motive.
Being able to help virtue? you happiest?
those who are in need. Honour; we do a lot In 2004 when I Who are your favorite
of talking and many graduated from writers?
What is your greatest times praise those who Makerere University as I love to read the
fear? don’t deserve. We are the first graduate from writings of Nelson
Not being able to also easily gullible our family. I was also Mandela.
help those who are and this has limited happy at my traditional
desperately in need. our talent of invention wedding last year and Which historical figure
and innovation. I look at the birth of my first do you most identify
What is the trait forward to a moment child. with?
you most deplore in when we begin to take I am already falling
yourself? pride in our actions. Which talent would you short of his ways but I
Many times I am a most like to have? still look up to Nelson
perfectionist and some What does being Playing golf; especially Mandela to guide my
people interpret it to powerful mean to you? once I am out of active leadership path.
being unaccommodating. Being able to follow political engagement.
the rules of the game to The game keeps you What is your greatest
What is the trait you the latter. interacting with people regret?
most deplore in others? and uses the entire I regret being unable
Untrustworthiness and On what occasion do human aspect. to join law school due to
laziness. you lie? lack of finances because
I hate to tell lies save Where would you most it is something that I
Which living person do on a few occasions if it is like to live? really wanted to do.
you most admire? unavoidable and for the I don’t see myself
I give it to Obama; I good of a situation. living elsewhere apart How would you like to
was inspired by Obama from Uganda. die?
coming out as one of What do you most Instantly after growing
the distinguished global dislike about your What is your most old because long life
leaders. Even after his appearance? treasured possession? is beautiful and you
tenure, Obama remains This is what God has My character of have the opportunity
relevant and influential; made me to be and I selflessness; I reserve to witness many things
especially among young appreciate it. The beauty nothing if someone is in happen.
people. of man is from the need of my help.
inside. What is your motto?
What is your greatest What do you regard Self-belief.
extravagance? Which living person do as the lowest depth of
Football and education you most despise? misery?

May. 03 - 09 2019 39
Global comment
By Koichi Hamada
The international economic policy game
When it comes to trade, we need competition among
economic agents, but cooperation among governments

U
ntil relatively recently, specialists hampering competition among economic boost their declining trade competitive-
in international relations had little agents; it also spurred retaliatory mea- ness. The Estonian economist Ragnar
interest in game theory; some sures, ultimately exacerbating the Great Nurkse pointed out, in the 1930s – after the
were even “frightened” to hear Depression. gold standard was abandoned and before
the term, as the chair of one of my pre- So when it comes to trade, we need com- the Bretton Woods system was established
sentations put it to me several years ago. petition among economic agents, but coop- – such competitive devaluations were
Today, many are better informed about eration among governments. The World “beggar thy neighbor,” leaving both the
the strategic analysis of political actors’ Trade Organisation was created precisely initiators and the world as a whole worse
behavior and decision-making. The rel- to facilitate such cooperation, with the off.
evance of such analysis for economic poli- WTO Charter dictating that tariffs must be Barry Eichengreen and Jeffrey D. Sachs
cymaking is no less obvious: each player regulated, in order to keep trade broadly demonstrated, however, that countries
on the world stage is not acting indepen- beneficial. Within this framework, the recovered from the Great Depression only
dently, but rather considers other players’ Trump administration’s actions are justifi- after “jettisoning the gold standard, aban-
possible reactions to his or her action. able only if they correct distortions created doning deflationary monetary policies, and
All human interaction is characterised by by China’s trade policy – in particular, its allowing (their) currency to depreciate.”
a mixture of competition and cooperation. failure adequately to protect intellectual They showed that non-cooperative mon-
Competition among individuals, busi- property. etary policy – set by each country with
nesses, and countries advances human In a world of flexible exchange rates, non- the objective of achieving domestic mac-
welfare by creating incentives to work cooperation also serves a useful purpose roeconomic stability – produces desirable
hard, innovate, and excel. Cooperation in monetary policy. Within such a regime outcomes for the world. After all, within a
does so by harnessing the strengths of – which has prevailed globally since the flexible exchange-rate regime, a country’s
different actors to drive progress toward demise of the Bretton Woods system in trading partners can always readjust their
shared objectives. Which approach is pref- 1973 – one country’s monetary expansion, own monetary policies to counteract or
erable depends on the context, including by causing its currency to depreciate, tends even fully offset any negative effects from
what the other players are doing. to increase employment at home, while its expansionary stance.
The mathematical foundations for ana- undermining employment in countries Though I once argued that coordina-
lysing both cooperative and non-cooper- with which it trades. tion of monetary policy was necessary
ative interactions among rational agents As with trade tariffs, this can spur more for better performance under the fixed
were developed by the late Nobel laureate countries to pursue monetary expansion, exchange rate, I now completely agree
John Nash. When there are a large number in order to weaken their currencies and with them. The rules of the international
of participants, and none has a monopoly monetary game changed under flexible
on power, non-cooperative behavior by exchange rates.
many actors can lead to optimal perfor- Given this, a laissez-faire approach should
mance. In trade, for example, free competi-
tion among economic agents can produce
Competition prevail in the monetary-policy game.
That is why the Trump administration’s
“Pareto efficiency”: resources are allocated
in such a way that any reallocation to ben-
starts to criticism of Japan’s monetary expansion –
clearly aimed not at impoverishing trading
efit one actor would hurt at least one other become a partners, but rather at promoting domestic
actor.
Competition starts to become a problem problem macroeconomic stability amid very low
inflation – is unwarranted.
when national governments intervene in
the game, in order to give their country’s
when national The balance between competition and
cooperation can be difficult to strike. One
firms an advantage. That is exactly what governments can only hope for a future in which more

intervene in the
U.S. President Donald Trump’s admin- political leaders recognise how game
istration did when it imposed tariffs on theory provides a useful framework for
imports from China, which retaliated with
its own tariffs on imports from the United game, in order assessing the possibilities and choosing the
most promising.
States. Far from advancing human welfare,
this competition threatens to cause serious
to give their Koichi Hamada is Professor Emeritus at Yale
damage to both economies – and to the rest country’s firms University and a special adviser to Japanese
of the world.
It’s happened before. The U.S. Smoot- an advantage Prime Minister Shinzo Abe.

Hawley Tariff Act, enacted in 1930 to Copyright: Project Syndicate, 2019.


protect American farmers and other
industries, not only created imbalances by

40 May. 03 - 09 2019
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