Industry, Debt & Trade
The Economy of Uganda
30 years ago Uganda was known as 'the pearl of Africa', a beautiful country with a booming economy and food in abundance; then one dictator after another, each with an army to feed and pay, took over the country for some 25 years.
What effect did this have on the economy? Large numbers of
males joined the army; leaving the rest of the population to
resort to subsistence farming. People farmed only enough to supply
their own needs, so the economy suffered and the National Debt
in Uganda increased drastically.
Uganda is a very poor country, the fourteenth poorest in the world, with a huge National Debt. Governments in this situation have a dilemma in that money has to be spent in order to generate new income. For example, in the Kampala region, the government has spent money refurbishing the Sheraton Hotel, to turn it into a five star hotel. This may seem out of place in a very poor country but it does bring in hard currency.