General
WBG Economic Update Makes Case for Investing More in Uganda’s Education
On Thursday, 30th May 2019, Makerere University was privileged to host the official launch of the Uganda Economic Update, 13th Edition in partnership with the World Bank Group (WBG). Held in the Main Hall, the event was presided over by the State Minister for Higher Education, Hon. Dr. John Chrysostom Muyingo, who represented the First Lady and Minister of Education and Sports, Hon. Janet Kataaha Museveni.
Delivering the welcome remarks, the Vice Chancellor, Prof. Barnabas Nawangwe thanked the World Bank Group chiefly represented by the Uganda Country Manager Mr. Antony Thompson, for choosing Makerere University to host the event. He noted that the theme for the 13th Edition; Economic Development and Human Capital in Uganda: A case for Investing more in Education particularly fits in well with Makerere’s mandate to produce quality human resources for the region.
“The 13th Economic Update highlights pertinent issues rotating around improving quality in the Uganda’s Education sector, which are also at the heart of Makerere University. I particularly appreciate the World Bank’s Human Capital Index (HCI) that measures the impact of under investing in human capital on the productivity of the next generation of workers” added Prof. Nawangwe.
Prof. Nawangwe further thanked the World Bank for collaborating with staff at the School of Economics to produce and disseminate the 6th, 7th, 8th and 9th Uganda Economic Updates as well as allocating a US$900,000 grant to establish a Public Investment Management (PIM) Centre of Excellence at the same School. He noted that the two World Bank funded Centres of Excellence the; African Center of Excellence in Materials, Product Development and Nano-Technology (MAPRONANO) and Makerere University Regional Centre of Excellence in Crop Improvement (MaRCCI) had since inception recruited students at Masters and PhD level, procured equipment and facilitated various capacity building trainings for staff.
In his remarks, Mr. Antony Thompson thanked the Vice Chancellor and University leadership for accepting to host the launch of the 13th Edition of the Economic Update. Admitting that the launch was his inaugural visit to Makerere, he could not hide his admiration for the job well done by KCCA in rehabilitating infrastructure at the University as part of the Second Kampala Institutional and Infrastructure Development Project (KIIDP-2).
Mr. Thompson observed that although Uganda’s economy remains strong and stable, it still faces major risks such as poor quality of the human capital. He advised that countries can only end extreme poverty and create more inclusive societies if they invest in developing their human capital. “In addition to the economic benefits, basic education increases individual’s earnings by about 70 percent. Education reduces the risk of poverty and provides other benefits, including lower under-age pregnancy and better health outcomes.”
The Country Manager however noted that despite advances such as Universal Primary Education (UPE) made by the Ugandan Education sector, the country’s Human Capital Index still remains low. “A child born in Uganda today will be only 38% as productive when she grows up as she could be if she enjoyed complete education and full health.”
He also reported that over 1.4million pupils currently drop out from primary schools and never make it to P7. He nevertheless opined that when this trend is addressed, one million new places need to be created in lower secondary schools in next 6 years to accommodate this additional intake.
“Achieving these ambitious results will require significant changes in educational policy and major additional investments of at least $2 billion between 2019 and 2025 to improve both the quality of learning and enrollment. This requires increasing the current education spending from 10 percent to reach the sub Saharan average of 16 percent” explained the Country Manager.
He nevertheless reiterated the World Bank’s commitment to support the Ugandan Government to realize these goals.
The panel discussion that followed the presentation of the Economic Update brought to light a number of initiatives being undertaken by the Ugandan Government in partnership with the World Bank as well as several points of reflection. The presentation underscored the need to increase budgetary allocation to the Education Sector, expand early childhood (pre-primary) education, scrap the Primary Leaving Examination (PLE) in preference for continuous assessment, adopt the automatic promotion policy and improve the transition rate from Primary to Secondary school among other recommendations.
The Permanent Secretary Ministry of Education and Sports (MoES), Mr. Alex Kakooza shared that through the Uganda Teacher and School Effectiveness Project (UTSEP), MoES had with support from the Global Partnership for Education (GPE) under supervision of the World Bank been able to improve early grade literacy instruction and parent participation in children education. UTSEP has also improved parent participation in school activities like feeding programmes. He added that the outcomes from the pilot districts in Eastern Uganda had been tremendous so far, with pupils as low as P3 exhibiting improved literacy and numeracy skills.
Mr. Kakooza however observed that more resources will be required to implement the World Bank recommendations, especially in the recruitment of more teachers and construction of additional classrooms. “Currently, over 1,000 parishes in Uganda do not have primary schools. If these were to be constructed, an additional 20,000 teachers would need to be recruited to teach these pupils.”
He nevertheless thanked the World Bank for sharing cost effective infrastructure development plans, which would enable the Ministry meet the rapidly growing demand for classroom space.
The Executive Director National Planning Authority (NPA), Dr. Joseph Muvawala observed that whereas Uganda constantly trumped up the benefits of reaping a demographic dividend from its relatively young population, well structured investments were of utmost importance. “I thank the World Bank for this report but wish to state that dividends accrue to those that invest and it is clear that we are not investing enough.”
On the scrapping of PLE, Dr. Muvawala said that whereas this was technically the most viable option, it would not be implementable as observations had revealed teachers’ preference of a final exam over continuous assessment. He also stressed the need to further investigate the high dropouts recorded at primary level and come up with investments aimed at addressing the findings.
The Deputy Secretary to the Treasury, Mr. Patrick Ocailap’s opportunity to speak was highly anticipated as most recommendations had in essence called for increased budgetary allocation to the Education sector. He thanked the World Bank Group for its report and concurred with all the findings and conclusions therein. He nevertheless asked the calls for increased funding to be matched with an analysis of efficient use of current allocations to the sector.
Mr. Ocailap also advocated for improved efficiency in revenue collection as a way of boosting government revenue but cautioned that as the economy expands, marginal and not proportional allocations to the education sector might be the more viable option.
The Deputy Secretary to Treasury also weighed in on the calls for increased salaries to teachers, noting that they were indeed legitimate. He however emphasised that this ought to be balanced by evident improvements in students’ performance and improved efficiency of teaching in schools.
Mr. Patrick Kaboyo the Executive Director, Coalition of Uganda Private School Teachers Association (COUPSTA) reminded the gathering that whereas world leaders meeting in Muscat, Oman in 2014 had agreed to commit 6% of national GDP to Education, Uganda’s commitment still stood at less than 3%. He nevertheless applauded the Cabinet for approving the National Teacher Policy on 1st April 2019, which would go a long way in improving teachers’ productivity, discipline, retention and motivation.
He acknowledged that whereas the Ugandan Education Sector is currently in reform mode, there was need to look beyond improving access and massification to ensuring that the sector produces critical thinkers. These, he noted, would be better suited to function in today’s creativity-driven marketplace.
A curriculum that matches personal development and attainment of knowledge with the skills that meet current industry demands will be a great asset to the implementation of WBG recommendations and achievement of the Education Sector’s targets. Dr. Rovincer Najjuma a Lecturer and Curriculum Specialist in the College of Education and External Studies (CEES) shared that Uganda requires a curriculum that offers holistic development of skills at all levels of education because the employability of a workforce starts with skills developed right from the foundational stages of lower primary.
She however cautioned that developing a great curriculum should not take precedence over the training of quality teachers. This position, she said, was derived from reports showing that a child in sub-Saharan Africa spends a great percentage of their school going age interacting with teachers. As such, teachers possibly have the greatest influence on pupils. She therefore advocated for a Centre of Excellence to develop teachers’ capabilities.
Delivering the final address of the day, the Guest of Honour, Hon. Dr. John Chrysostom Muyingo thanked the Makerere University Management for accepting to host the important launch. He equally thanked the WBG Country Director for the well researched report, noting that it would generate a lot of debate from almost every Ugandan. He asked the audience to observe a moment of silence in respect of a great academic and former Prime Minister and Chancellor of Makerere University, Rt. Hon. Prof. Apolo Robin Nsibambi who passed away on Tuesday 28th May 2019.
Reading the First Lady and Honourable Minister of Education and Sports’ remarks, Hon. Muyingo said that Africa has been reported as the region of the world having the highest return on Education. He shared that MoES has been reviewing the Government White Paper on Education (1992), which analyses the full scope of education sector and its polices. He added that MoES is working with the WBG under the Global Partnership for Education (GPE) to review Uganda’s Integrated Early Childhood Development Policy so as to ensure adherence to minimum standards.
The State Minister for Education further reported that the Government had approved the Technical, Vocational Education and Training (TVET) Policy. The policy will pave way for an employer-led TVET System and TVET Qualification Framework. He added that MoES would soon come up with an ICT Education Policy to enhance access to the vast online resources.
Hon. Muyingo concluded his remarks by appreciating all partners who work with the Ministry of Education and Sports to ensure timely delivery of quality education and thanked WBG for the well-timed release of the report, noting that it will inform ongoing policy reform.
Article by Public Relations Office.
General
MURBS has declared 13.40% interest on members’ balances for the financial year that ended on 30th June 2024.
By: Ritah Namisango
Dr. Elizabeth Patricia Nansubuga, Chairperson of the Makerere University Retirement Benefits Scheme (MURBS) Board of Trustees, announced this milestone during the 14th Annual General Meeting (AGM) for the year 2023/24 held on Thursday, 24th October 2024, at Makerere University Main Campus, School of Public Health Auditorium.
The AGM attracted various stakeholders, including trustees, Audit Committee Chairperson CPA David Ssenoga, Board Evaluation Consultant Vincent Kaheeru, URBRA Representative Mark Lotukei, Audit Committee members, co-opted members, and university administrators.
Presenting the performance report, on behalf of the Board of Trustees, Dr. Nansubuga highlighted that this is the highest interest declared by the scheme in the past five years, and she anticipates continued improvements. She noted that for the previous financial year, which ended in June 2023, the Board of Trustees declared an interest an interest of 12.34%.
Dr Nansubuga also announced that the scheme has achieved a Net Investment Income of UGX 44.6 billion, far higher than the UGX34.4 billion collected in Contributions during the year.
The Chairperson of the Board also revealed that the fund value had grown from UGX352.4 billion recorded at the end of the last financial year to UGX409.2 billion, indicating an increase of 16.1%.
“By 30th June 2023, MURBS had a fund value of UGX 352.4 billion. The Board of Trustees targeted Fund growth of 17%, and I am glad to inform you, that the fund value of MURBS, as per the Audited Financial Statements of 30th June 2024 is UGX 409.2 billion, which is an increase of 16.1%. This achievement was made possible by strategic periodical activities undertaken by the Board and our fund managers, supported by the strong oversight committees of the Board,” she reported.
She attributed the positive growth to factors such as improved debt recovery, operational efficiency, timely remittance of contributions by the sponsor (Makerere University), an increase in project and contract contributions, and the recovery of UGX8.85 billion in debts.
Dr. Nansubuga also expressed gratitude to Makerere University, the scheme’s sponsor, for consistently remitting contributions, a key factor that has significantly contributed to MURBS’ smooth operation. “I am happy to announce that the sponsor-Makerere University remitted your retirement benefits for the financial year 2023/24,” she said.
In the same development, Dr. Nansubuga reported that MURBS registered a legal victory against Uganda Revenue Authority (URA) over a real estate investment in Sonde undertaken in 2019, and which URA sought to tax heavily. She notified the AGM that MURBS won the case and was awarded costs which also set a precedent.
“On behalf of the Board of Trustees, I am pleased to inform you that during the financial year, we received a favorable outcome on a key court case. How did we end up with this case? In 2019, MURBS invested in real estate, we bought land in Sonde,” Dr Nansubuga explained.
“Uganda Revenue Authority (URA) then charged us with a tax assessment worth UGX600 million. It has been four (4) years in the tax appeals tribunal. Since then, the lawyers, the former and current trustees, have been appearing before the appeals tribunal, but in December 2023, MURBS won the case. We challenged URA, and this case was awarded with costs. URA has to pay MURBS. We therefore saved UGX600 million,” she added.
In terms of governance, Dr Nansubuga said that the scheme made changes in the board. Initially, the trustees were six and they needed a seventh member, and following a competitive race, they recruited another trustee; CPA Edina Rugumayo who has over thirty years in accounting.
“In terms of governance, we continue to uphold good governance practices and we align with international standards. Last year during the presentation, I said we were six and we needed to have the seventh trustee because the Board composition is supposed to be seven,” she explained.
“So, following a competitive process, we recruited an independent trustee. It was a very competitive position. You must have served on board which has over UGX50 billion. So, from that process, we were able to recruit CPA Edna Rugumayo Simbwa. She is a certified public accountant with over thirty years of experience in accounting, taxation, and corporate governance,” she mentioned.
She also thanked other stakeholders for making sure that MURBS activities run smoothly. These entities include Makerere University, KPMG, Gen Africa, Arcadia Advocates, Zamara, URBRA, and Stanbic Bank among others.
While discussing investments, Dr. Nansubuga mentioned that 86% of MURBS’ funds are currently invested in government bonds, but added that the Board is exploring diversification to reduce risks.
“86% percent of our money is invested in government bonds, and sometimes, you do not have to put all your eggs in one basket, there is a high concentration of risk. so that is one of the key material risks that we want to address to reduce the amount we have in government securities. We want to diversify our portfolio and avoid investing heavily in government securities. The Board will venture into other fields in order to earn money or return on investment from the diverse undertakings,” she said.
In terms of membership, Dr. Nansubuga reported a 4.4% increase, with the number of members rising from 8,229 to 8,590. She attributed this growth to the reinstatement of in-house beneficiaries and an increase in project and contract staff.
Dr. Kakuba also thanked the sponsor-Makerere University for remitting the membership contributions timely which has helped the scheme to grow.
Dr. Godwin Kakuba -Secretary, MURBS Board of Trustees, who presented the record of the 13th Annual General Meeting stressed that the AGM climaxes a financial year and the Board of Trustee has been vigilant on this and has not missed any AGM for 14 years now.
“We applaud the sponsor because many of these positives in the chairperson’s report can only be attributed to the support by the sponsor through fulfilling the obligation of remitting members’ contributions to the scheme,” he added.
Partner Asad Ssenoga, an independent auditor who audited the scheme said that he was impressed with the level of compliance that the scheme exhibited in all aspects. He said they focused on ensuring that the member contributions are supported with statements and allocated to members appropriately.
“Overall we were satisfied with the work we did on the audit, the numbers that were presented by the Chairperson are the correct numbers that we audited. We were comfortable with those numbers, due process was followed during the audit,” he said.
Mr. Mark Lotukei who represented the CEO of Uganda Retirement Benefits Regulatory Authority (URBRA) thanked the Trustees for always prioritizing governance, which has helped them to reach several milestones.
“As URBRA, we look at governance as the biggest component of our compliance. MURBS Trustees from the former to the current, have taken governance as the most important aspect. We really encourage them to continue with this good practice because governance informs all the other aspects,” he said.
Mr. Arthur Kibira, a member in attendance, expressed his appreciation for the Board’s efforts. He urged them to explore higher-risk investments for potentially greater returns. He expressed concern over the scheme’s heavy reliance on government bonds.
“Dr Elizabeth Nansubuga, I want to congratulate you, and your team and also congratulate ourselves. But, I want to believe that there is room for improvement. I am one of those who do not believe that the sky is the limit, we are limited by our own thinking. I am thinking that high risks give high returns. Is there a way of managing those risks, so that we could push this 13.40% interest to a figure much higher? If we do so, we shall say we have learnt how to manage risks,”, he guided.
General
Makerere University at the 2024 O.R. Tambo Africa Research Chairs Annual Gathering in Ouagadougou, Burkina Faso
The Research Chairs concept is similar to Centers of Excellence (for instance in supporting world-class research in a priority area), but also has many distinguishing features. Most notably, it recognizes individual excellence, leadership and talent. The O.R. Tambo Africa Research Chairs Initiative (ORTARChI) builds on the work of Oliver Tambo, a prominent South African and pan-Africanist with a science education background, who believed in creating change through education and in cooperation and solidarity among African nations. The Initiative focuses on celebrating his legacy in building knowledge-based economies for the advancement of Africa.
ORTARChI builds on and leverages existing continental frameworks and interventions geared towards institutional capacity strengthening; recruitment and retention of excellent researchers; and incentives to support research that contributes to socio-economic and transformative development.
Ten (10) O.R. Tambo Africa Research Chairs across seven (7) countries in Africa, namely; Botswana, Burkina Faso, Ghana, Mozambique, Tanzania, Uganda and Zambia have been selected for funding through a rigorous and competitive two-stage review process. These research chairs are focused on research priorities identified by each host institution in conjunction with, especially the Science Councils, and in alignment with AU Agenda 2063 and STISA 2024.
Prof. Noble Banadda from the College of Agricultural and Environmental Sciences had been inaugurated as one of the first 10 (ten) Oliver Tambo (ORTARChi) Chairs. Unfortunately, Prof. Banadda (R.I.P) passed on in July 2021, which created a vacuum. To ensure that Uganda and Makerere University continue to tap into the ORTARChi, we are glad to announce the appointment of Associate Professor David Meya from the College of Health Sciences at Makerere University for the purpose. The appointment will attract USD 170,000 annually for 5 years for graduate research with a target of training 5-6 PhDs, 10-15 Post-doctoral fellows and 10-12 Masters of Medicine and Master of Science Students at Makerere University and Mbarara University of Science and Technology.
Makerere University has had the pleasure of attending 2024 O.R. Tambo Africa Research Chairs Annual Gathering in Ouagadougou, Burkina Faso. The annual gathering is co-hosted by the Joseph Ki-Zerbo University, National Research and Innovation Fund for Development (FONRID) and the National Research Foundation (NRF) of South Africa. The theme for this year’s gathering is: “African Sovereignty: A Catalyst for Research Collaborations and Social Impact in the Continent“. At the annual gathering, Uganda was represented by Associate Prof. David Meya (Uganda Chair Elect, ORTARChI), Prof. Henry Alinaitwe (Deputy Vice Chancellor Finance and Administration, Mak), Associate Prof. Robert Wamala (Director, Research and Graduate Training) and Dr. Martin Ongol (Ag. Executive Secretary, UNCST). Assoc. Prof. David Meya – ORTARChI Chair Elect – is from Makerere University’s School of Medicine at the College of Health Sciences.
Hoima and Kikuube Districts, Uganda – October 20, 2024
A group of third-year students from College of Business and Management Sciences’s Energy and Natural Resources Economics program visited the Kingfisher oil operations and Kabalega Airport in Hoima and Kikuube districts on October 20, 2024. Led by Dr. Peter Babyenda and Dr. John Sseruyange, and with authorization from the Petroleum Authority of Uganda, the visit offered the students an invaluable opportunity to connect classroom learning with field experience.
The primary objective of the field trip was to enhance students’ practical understanding of Uganda’s oil industry by observing the extraction and production processes firsthand. According to Dr. Babyenda, “Blending theory with real-world exposure is essential for these students, as it allows them to apply and expand their knowledge beyond the classroom.”
During the tour, students explored several key areas:
- Practical Exposure – Witnessing the operational procedures of oil extraction offered students a concrete understanding of how theoretical concepts play out in the field, enhancing their grasp of the industry.
- Economic Impact Analysis – Observing the economic role of oil production in Hoima and Kikuube allowed the students to explore its broader impact on local and global markets and its contributions to community development and Uganda’s economic landscape.
- Technical Knowledge – The students gained insights into the technical aspects of oil extraction, learning about the complexities of the operations, the innovations employed, and the challenges faced by the industry.
- Environmental and Social Considerations – Students observed the environmental practices in place and evaluated the social dynamics involved, gaining an understanding of how oil companies balance production with community and environmental sustainability.
- Career Insights – With opportunities to interact with professionals in the oil sector, students received guidance on potential career paths in the industry, helping them make informed decisions about their futures.
- Current Industry Issues – The group also delved into the status of the East African Crude Oil Pipeline (EACOP) project and discussed challenges in oil and natural gas production, examining where Uganda stands in terms of production timelines, obstacles, solutions, and the role they can play as future energy professionals.
Reflecting on the trip, Dr. Sseruyange highlighted the importance of this experience in solidifying students’ understanding of Uganda’s evolving oil industry. “This field experience not only complements what they’ve learned in lectures but also equips them with a real sense of the operational and societal impact of the energy sector,”he noted.
The students expressed their gratitude for the immersive experience, noting how it broadened their perspectives and deepened their knowledge. The field trip served as an essential step in preparing them for careers within Uganda’s energy and natural resources sectors, bringing them closer to the industry’s forefront and the future of sustainable energy in the region.
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