The government of Uganda has decided to collaborate with business giant China in order to advance technology.
Through such partnerships, the government believes that thousands of “unemployed youths will benefit from technological skills that will in turn aid job creation.”
“Uganda is privileged to have China as a creditable development and business partner.” We commit to continue promoting and supporting the mutual collaboration between Ugandan and Chinese companies,” Opolot Okaasai, the state minister for energy in Uganda, said on April 25 in Kampala at the China-Uganda Investment Economic and Trade Promotion.
Okaasai added that Uganda admires the Asian country’s growth trajectory, which has made it a worldwide economic powerhouse.
The minister claimed that when Chinese businesses take advantage of Uganda’s mineral-rich sector and invest there, many partnerships can be realized.
“The country presents great opportunities in the oil and gas sector in several projects, including the East African Crude Oil Pipeline (EACOP) Project, Kingfisher Development Project, Tilenga Project, which is ongoing, and oil and gas exploration through the upcoming third licensing round, together with investment in the downstream segment of the oil and gas sector,” he said.
The East African nation is also seeking to develop and modernize its energy sector, which, as the minister noted, gives a number of chances for investment and collaboration between Chinese and Ugandan businesses.
According to reports, China made $131 million in direct investments in Uganda in 2022, placing it tenth among all African nations. Zhang Lizhong, the Chinese ambassador to Uganda, noted in his speech that investments between China and Uganda in the areas of transportation, energy generation and transmission, oil development, and industrial parks have progressed well.
“In 2022, the economic cooperation between China and Uganda withstood the test of uncertain factors in the post-pandemic era and showed a good momentum of steady progress. The bilateral trade volume rose by 6.6% against the trend, reaching $1.14 billion. China granted zero-tariff treatment for 98% taxable items to Uganda and will support Uganda in exporting more value-added products into the Chinese market,” the ambassador remarked.
The envoy disclosed that a new direct route between Entebbe, Uganda, and Guangzhou, China, is anticipated to launch shortly to promote trade and intercultural interchange.