Business & Management
The Role of E-commerce in Commercializing Entrepreneurship Ventures at Mak
E-commerce, the process of buying and selling goods using the internet, is a great facilitator of trade. Owing to the reduced cost of doing business – in most some cases there is no need for a physical shop, increased efficiency – orders and stock are easily tracked, and increased access to geographically distant markets, E-commerce has become a game changer for businesses that have adopted it. Unfortunately, student entrepreneurs at Makerere University have not been keen to make the most of this avenue of doing business.
According to a team of researchers led by Dr. Hellen Namawejje from the Department of
Statistical Methods and Actuarial Science, College of Business and Management Sciences (CoBAMS), less than 10% of the business enterprises exhibited at the 2018 Annual Students’ Entrepreneurship Expo organized by the College were using pure e-commerce. With partial e-commerce, goods and services are sold through internet, but hand-delivered to customers while with pure e-commerce, all the process involved are digital.
The team, with funding from the Makerere University Research and Innovations Fund (Mak-RIF), therefore sought to understand this low uptake through a study titled “Commercializing of Entrepreneurship Ventures using E-Commerce: Evidence from Makerere University, Uganda”. Other members of the research team were; Dr. Proscovia Katumba-Department of Marketing
and Management, CoBAMS, Dr. Patricia Ndugga-Department of Population Studies, CoBAMS, Mr. Augustine Ssekyondwa, Directorate of E-Government Services, National Information Technology Authority-Uganda (NITA-U) and Dr. Isaac Shinyekwa-Economic Policy Research Centre (EPRC).
and Management.
Speaking at the dissemination event held in the CoBAMS Conference Room and virtually on Thursday 17th December, 2020, members of the Mak-RIF Grants Management Committee (GMC) in attendance thanked Government of Uganda for the generous funding that enabled the research team to conduct studies that can help address youth unemployment in Uganda. They equally paid tribute to the Chairperson GMC, Prof. William Bazeyo for his negotiation skills that influenced the Government to allocate the funding.
“With 70% of youth in Uganda currently unemployed, this study will be of great assistance in addressing this pertinent issue,” remarked Dr. John Mutenyo, a GMC Member. “I urge you to disseminate these findings widely so that the youth can know that there are other avenues through which they can get employment” he added.
Dr. Mutenyo reminded the audience that the call for RIF 3 (the third round of Mak-RIF funding) will go out early next year and urged them to prepare good proposals that can attract Government funding especially in research areas that address NDP III (the Third National Development Plan) and the SDGs.
“Entrepreneurship and E-commerce are currently big players in the economy of any country in the world. I believe that these findings are not going to end here but will be taken down to potential users and hopefully help them. This will boost the impact that we ought to see from these research funds” added Dr. Isa Kabenge, another GMC member.
When it comes to understanding business ventures, it is always advisable to hear from an established practitioner. E-commerce ought not to be the exception. Delivering a brief keynote address, Makerere University alumnus and Founder, Xente Tech Limited, Mr. Allan Rwakatungu paid tribute to his alma mater and the research team in particular for taking steps to bring more Ugandans into the digital economy.
Xente is a platform founded in 2016 with a vision to make every person and business join the digital economy. “The opportunities out there are immense, not only for users of the platforms but also for entrepreneurs who are able to harness them” shared Mr. Rwakatungu.
Taking an example of Jumia, he noted that although the company controls less than 3% of the total retail market in Africa, it is worth billions of US dollars. “To show you what that actually means, the percentage covered by Alibaba is about 25%, and when you look at the size of the Chinese market, the opportunities for growth are immense” he added.
According to Wikipedia, the Alibaba Group recorded a net income of US$ 19.82 Billion in 2020 and had over 117,000 employees as at 31st March 2020.
Addressing participants, the Dean School of Business, CoBAMS-Dr. Godfrey Akileng observed that the current disruptions occasioned by the COVID-19 pandemic have provided us all with an opportunity to rethink how we can better manage and do business. “Those who will not embrace international electronic payment systems will struggle as the pandemic continues to sustain itself.”
He added that the mix of entrepreneurship and e-commerce presents students of business with an opportunity to reflect further on the contribution of these areas to development. “Uganda is considered among top ten most enterprising countries in the world but unfortunately, the demise of these business startups is very high. I hope this research will help us illustrate how e-commerce can find a lasting solution in terms of sustainability of these firms.”
Giving an overview of the project, Dr. Prossy Katumba identified absence of delivery infrastructure and secure payment methods as two major barriers to the wider acceptance of E-commerce in Africa. “Several countries lack an organized physical address system, and cash on delivery is the main payment method that online merchants such as Jumia, SafeBoda, Café Javas, Xente among others must deal with.”
She added that the entrepreneurship course offered to all undergraduate students at the Schools of Economics and Business, CoBAMS as well as Masters of Business Administration (MBA) and Masters of Economic Policy and Management students equips them with skills that enable learners to start their own enterprises.
“We have some success stories that have come out of this entrepreneurship course such as Dalausi Juice in Wandegeya, which has become a must-have at high-end parties” shared Dr. Katumba. “This thriving business was birthed out of a simple coursework idea” she added.
Dr. Katumba equally made mention of Andrew Mupuya, who as a result of his course work in entrepreneurship went into the production of recycled paper, “and has as a result won many awards from various international organizations and been featured on CNN – we encourage our students to start small and grow their ideas into a formidable business,” she explained.
Presenting the findings, the Principal Investigator-Dr. Namawejje shared that 796 out of 1,320 students that took part in the 2018 Entrepreneurship Expo were surveyed. 47% of these were female while 53% were male. 77% of participants were below the age of 24 while 23% were aged 24 years and above. In terms of origin, 38% of participants were from the Western region, while 32% were from Central, 16% from Eastern, 8% from Northern and 6% either from other regions or of different nationalities.
Technology is an essential driver of e-commerce uptake. 88% of the 796 respondents used smart phones, while 52% used laptops, 4% used either desktops or tablets and 9% had no device to use. The high percentages recorded in the use of smart phones and laptops could imply that some respondents used more than one device.
Additional drivers of E-commerce uptake reported included; the Annual Students’ Entrepreneurship Expo that enabled budding entrepreneurs to practice what they had learnt in class and a regulatory environment that was conducive to doing business online – there are no restrictions imposed on entrepreneurs who posted their products and services on various platforms. The natural shift of businesses online due to the COVID-19 pandemic was also another driver of e-commerce uptake by both entrepreneurs and customers.
The findings further revealed that entrepreneurs employed three main models of E-commerce; Business to Customer (B2C), Business to Business (B2B) and Business to Government (B2G). At 80%, B2C had the largest share while B2G was understandably at only 1%. “Owing to the capital intensive nature of doing business with Government, we did not expect the B2G model to feature prominently in our findings” explained Dr. Namawejje.
At 95%, the use of Social Media Platforms dominated the channels employed by students to reach their customers. This was followed by Websites at 21%, Email at 18%, Mobile Short Codes (SMS Codes) at 4%, Word of Mouth at 1.8% and Making Calls at 0.8%. Platforms such as Facebook have already taken advantage of this trend by introducing Facebook Shops – enabling businesses to create online stores on Facebook and Instagram free of charge.
Despite the availability of free options for entrepreneurs to easily embrace e-commerce, it became apparent to the research team that some barriers were impeding this. The lack of e-commerce knowledge topped this list with 73% of entrepreneurs citing it. This was followed by the high cost of internet at 67%, Lack of access to gadgets at 54% and Poor Internet connections at 49%. Trust and cyber security issues were cited by 45% of respondents while Conservatism among community members accounted for 20%.
To help boost the commercialization of entrepreneurship ventures using e-commerce, the research team made the following recommendations at policy level;
- Government should provide subsidized or free Internet to Makerere University to enable students easily utilise online platforms for generating and nurturing entrepreneurship ideas and projects.
- Taxes on e-commerce enablers such as Internet and smart phones should be reduced as a way of attracting business enterprises especially the start-ups to take up e-commerce in their operations.
- Government should support building of e-commerce infrastructure at Makerere University since it’s a Government institution.
The dissemination event was moderated by Dr. Anthony Tibaingana from the School of Statistics and Planning, who last week disseminated his findings on “The impact of Skilling the Youth and Women in Household Enterprise Start-Up and Performance in Uganda”.
Article by Public Relations Office
Business & Management
Uganda Launches Policy Briefs on Natural Capital Accounts to position Nature at the Centre of Economic Planning
Uganda has launched five policy briefs on Natural Capital Accounts aimed at integrating the value of the country’s forests, wetlands, water resources, land, energy systems and ecosystems into national economic planning and decision making.
The Policy Briefs, developed by the Centre of Excellence for Africa Climate-Sensitive Macroeconomic Modelling (CEACM) under the College of Business and Management Sciences, were launched on Wednesday 15th July 2026 at Makerere University.
The initiative brings together government, academia and development partners to promote climate-informed economic policies as Uganda pursues sustainable development and its economic transformation targets.
The five policy briefs address Uganda’s energy transition, declining wood stocks, natural capital integration into development planning, sustainable land use, and national water accounting amid climate change.
The five policy briefs include:
- Uganda’s Wood Stock on a Declining Pathway to Extinction: A Call for Policy Review and Action
- Uganda’s Energy System at a Crossroads: The Unsustainable Reliance on Biomass and the Need for Energy Transition
- Integrating Natural Capital into Development Planning in Uganda: Insights from the Ecosystem Service and Asset Accounts (1990-2015)
- Leveraging Land Natural Capital to Drive Uganda’s Sustainable and Inclusive Growth
- National Water Accounts Development: Tracking Uganda’s Progress amidst Climate Change.
Link to the Policy Briefs: https://bams.mak.ac.ug/policy-briefs/
Speaking at the Launch of the policy briefs, the Minister of State for Environment, Hon. Beatrice Atim Anywar who represented the Minister of Water and Environment, said natural capital accounting provides Uganda with a new approach to valuing its environmental resources.
“Today, we are launching a new way of seeing, planning and managing Uganda’s development,” Hon. Anywar said.
She noted that for years, Uganda’s economic progress has largely been measured through indicators such as Gross Domestic Product (GDP), which do not capture the decline or improvement of natural resources.
“But GDP does not tell us if our forests, water sources and wetlands are shrinking. It does not tell us if our forests can still hold our waters or whether our soils will still feed the next generation,” she said.
Hon. Anywar said Uganda’s natural capital, including forests, wetlands, water resources, biodiversity, minerals and fertile soils, supports livelihoods, tourism, energy generation and climate resilience. “This natural capital supports over 70 percent of our population and powers our hydropower. It feeds into tourism and buffers us against droughts and threatening floods,” she said.
She warned that degradation of these resources represents a loss of national wealth. “When natural capital is degraded, we are not just losing trees, wetlands, water or soils. We are losing wealth. We are losing jobs for our children and future generations,” she said.
The Minister said natural capital accounting allows Uganda to place nature on its economic balance sheet. “This is what natural capital accounting does. It puts nature on the balance sheet. I studied basic accounting, but I never imagined that natural resources could also be reflected on a balance sheet. Today, that is becoming a reality,” she said.
She challenged all stakeholders to ensure that every future development decision considers its impact on Uganda’s natural capital, stressing that informed choices today will secure sustainable prosperity for generations to come.
Hon. Anywar also called for recognition of the role communities play in protecting natural resources, saying traditional knowledge must complement modern science.
“Our ancestors protected the environment without maps, technology or scientific reports. They knew which areas were sacred, where water sources were protected and where forests should not be disturbed,” she said. “When communities understand that protecting a wetland or forest protects their own livelihoods, we will not need constant enforcement. People themselves will become protectors of nature,” she added.
Research Must Drive Policy Decisions
Delivering the opening remarks, the Vice Chancellor of Makerere University, Prof. Barnabas Nawangwe highlighted the event as a significant milestone in strengthening climate-sensitive economic planning.
He noted that the theme of the launch and dissemination workshop, “Advancing Climate-Informed Economic Policy for Sustainable Development in Africa,” aligns with the research-led agenda of Makerere University.
Prof. Nawangwe said the launch demonstrates the role of universities in generating evidence to support national development. “Today’s event demonstrates the power of collaboration between academia, government and development partners in generating knowledge that informs public policy and advances Uganda’s sustainable development agenda,” he said.
Prof. Nawangwe said the policy briefs provide evidence needed for integrating natural capital into national planning, budgeting and investment decisions. He said the University will continue strengthening research capacity to support Uganda and Africa.
Emphasizing the urgency of informed decision-making, he observed that Africa remains one of the regions most affected by climate change while experiencing rapid population growth, placing increasing pressure on natural resources. He stressed that research-driven policies are essential for achieving climate resilience and sustainable economic growth.
The Vice Chancellor commended the Government of Uganda, particularly the Ministry of Finance, Planning and Economic Development, on the country’s historic appointment as the first Co-Chair of the Coalition of Finance Ministers for Climate Action.
He recognised the Centre of Excellence for Africa Climate-Sensitive Macroeconomic Modelling (CEACM) for advancing interdisciplinary research and strengthening Uganda’s position as a regional leader in climate-sensitive macroeconomic modelling and evidence-informed policymaking.
“The Centre continues to build the capacity of African researchers and policymakers while fostering partnerships with government institutions, development partners, regional organisations, and the private sector,” he said.
Strengthening Africa’s Climate Policy Research Agenda
Prof. Edward Bbaale, the Director of CEACM and the Principal, College of Business and Management Sciences (CoBAMS), reported on Makerere University’s investment in establishing specialised centres that address critical policy challenges facing Uganda and the African continent.
He stated that CEACM was established to respond to growing global demands for climate considerations to become part of national planning, budgeting and macroeconomic decision-making.
“The Centre is committed to producing high-quality policy-oriented research while strengthening the capacity of policymakers and practitioners to respond effectively to climate and economic challenges,” he said.
He explained that CEACM was established because climate change can no longer be separated from economic planning. “It is very important that national planning, budgeting, macroeconomic frameworks and fiscal policies are not oblivious to climate change, but instead fully integrate climate-related considerations,” he said.
He stated that CEACM’s work aligns with emerging global and continental initiatives, including the Coalition of Finance Ministers for Climate Action and the Pan-African Forum of Finance Ministers on Climate Action, underscoring the increasing role of finance ministries in integrating climate priorities into economic planning and fiscal decision-making.
Prof. Bbaale added that Makerere University had positioned itself as a partner to government through research, evidence generation and capacity building. “We could not stand aside. We have to be part of this global effort and contribute the much-needed evidence, research and capacity building to support the Ministry of Finance in executing this important responsibility,” he said.
He noted that Uganda’s role as the first African country to co-chair the Coalition of Finance Ministers for Climate Action had created an opportunity for local institutions to strengthen climate-sensitive economic modelling.
Uganda’s Progress in Integrating Natural Capital into Economic Planning
Representing the GGGI Country Representative, the Manager of Climate Finance, Mr. Arthur Ssebbugga-Kimeze commended Uganda’s efforts to integrate natural capital accounting into national economic planning. “This is a critical step towards climate-resilient and sustainable development,” he acknowledged.
The Manager of Climate Finance applauded the collaboration between Makerere University, the Ministry of Finance, Planning and Economic Development, and development partners in generating evidence that supports informed policymaking.
He also recognised the Government of Denmark for its continued support in advancing climate-smart economic policies through the Denmark-EGP partnership.
Emphasizing the significance of natural capital as a key pillar of economic prosperity, Mr. Ssebbugga-Kimeze called for sustained investment in protecting these assets. “Uganda’s experience is increasingly informing climate finance and policy discussions across Africa through the Pan-African Finance Ministers’ Forum on Climate Action,” he added.
He called for strong partnerships among government, academia, and development partners to ensure that research continues to drive evidence-based policymaking and sustainable economic growth, reaffirming GGGI’s commitment to supporting Uganda’s green growth agenda.
Policy Briefs Must Move from Shelves to Decisions
Representing the Embassy of Denmark in Uganda, Ms. Nina Guldbæk van Leeuwen, Counsellor and Team Leader for Politics, Regional Affairs and Refugee Support, said natural capital accounting is critical for building climate-resilient economies.
She commended Uganda’s leadership as co-chair of the Coalition of Finance Ministers for Climate Action. “These policy briefs are crucial in enhancing the role of economic, fiscal and financial policies in addressing climate change in Uganda and Africa as a whole,” she said.
Ms. Van Leeuwen said reliable natural capital accounts enable finance ministries to integrate climate considerations into economic planning. “Ministries of Finance require these accounts to support macroeconomic modelling, which can only be developed through a strengthened and collaborative national statistical system,” she said.
She urged stakeholders to ensure the research informs actual decisions. “Let us ensure that these policy briefs do not remain on institutional shelves but are actively used to inform decisions and policies going forward,” she said.
Natural Capital Data will improve Economic Decision
The Acting Commissioner for Macroeconomic Policy at Uganda’s Ministry of Finance, Planning and Economic Development, Mr. Davis Vuningoma, called for climate change to be treated as a macroeconomic and fiscal challenge rather than solely an environmental issue.
“Climate risks pose significant threats to agricultural productivity, energy generation, infrastructure, government revenues, and fiscal stability,” he noted.
Mr. Vuningoma said natural capital accounting will strengthen Uganda’s ability to make informed economic decisions.
He warned that climate change poses economic risks that could affect Uganda’s fiscal space. “If we do not address these challenges, our fiscal space could shrink, and our ability to provide public services could be affected,” Mr. Vuningoma said.
He said Uganda’s natural resources have historically not been fully reflected in traditional economic measurements. “Uganda is richly endowed with natural capital, including forests, wetlands and water resources. However, traditional measures of economic performance have often failed to fully capture the value of these assets,” he said.
Mr. Vuningoma said the policy briefs provide practical options for government as Uganda seeks to expand its economy. “This is particularly important at a time when Uganda is pursuing ambitious economic transformation targets, including the goal of growing the economy tenfold and achieving a USD 500 billion economy,” he said.
Key Findings Highlight Pressure on Uganda’s Natural Resources
Presenting the highlights, Dr. Peter Babyenda, the Coordinator of CEACM, disclosed that the policy briefs highlight growing pressure on Uganda’s natural resources.
The Energy System at Crossroads brief found that traditional biomass accounts for about 87 percent of Uganda’s final energy consumption, highlighting continued dependence on firewood and charcoal.
The Wood Stock Declining Pathway brief found that Uganda’s national wood resources declined by 45 percent between 1990 and 2015, with projections warning of possible exhaustion of available wood supply between 2032 and 2040 under current trends.
The Land Natural Capital brief identified unsustainable agricultural expansion, deforestation and urbanisation as major drivers of land degradation.
The Ecosystem Services and Asset Accounts brief noted that although the monetary value of ecosystem assets increased between 1990 and 2015, natural capital value per person declined by 17.7 percent due to population growth.
The National Water Accounts brief highlighted agriculture as the largest water user, accounting for 55.4 percent of total water abstraction in 2024, while warning of increasing climate risks.
Panel Discussion: Advancing Climate-Informed Economic Policy for Sustainable Development in Africa
Moderated by Prof. Edward Bbaale, the session featured the following panellists: Dr. Ronald Kaggwa-National Planning Authority, Mr. Wilson Asiimwe-Ministry of Finance, Planning and Economic Development, Mr. Nathan Mununuzi-Ministry of Water and Environment, Mr. Godwin Kamugisha-National Environment Management Authority, and Dr. Peter Babyenda-CEACM Coordinator and member of faculty at Makerere University College of Business and Management Sciences (MakCoBAMS).
The Panelists argued that assigning monetary value to forests, wetlands, water resources, and other ecosystems would enable evidence-based budgeting, investment decisions, and environmental protection while capturing costs ignored by traditional GDP measures.
They stressed the need for stronger institutions, increased funding, enhanced research and capacity building, and closer collaboration between government, academia, and development partners.
The event, organized by CEACM, brought on board distinguished stakeholders including the Minister of State for Environment, Hon. Beatrice Atim Anywar who represented the Minister of Water and Environment, Hon. Maj. Gen. (Rtd.) Kahinda Otafiire, Makerere University Vice Chancellor, Prof. Barnabas Nawangwe, the Principal, College of Business and Management Sciences (CoBAMS), and Director CEACM, Prof. Edward Bbaale and representatives from different Ministries and Agencies such as, the Embassy of Denmark in Uganda, the Global Green Growth Institute (GGGI), Ministry of Finance, Planning and Economic Development, the Ministry of Water and Environment, the National Environment Management Authority (NEMA), the Ministry of Lands, Housing and Urban Development, Ministry of Energy and Mineral Development, and among others.
CEACM is a research and policy centre that supports African countries in integrating climate change and natural capital into economic planning through research, capacity building, and evidence-based policymaking. CEACM is one of the centres within the School of Economics at the College of Business and Management Sciences (CoBAMS) at Makerere University.
The Public Investment Management Centre of Excellence (PIM CoE) at Makerere University is set to benefit from a grant under the World Bank-supported PIM-Plus Project, an initiative aimed at strengthening Public Investment Management Systems and enhancing the capacity for effective project planning, appraisal, implementation, and monitoring in Uganda.
Through the project, the Centre is expected to receive funding of approximately USD 8 million to support the construction of a modern teaching and residential facility. The proposed infrastructure is intended to enhance the Centre’s capacity to deliver high-quality training, research and technical advisory services in Public Investment Management (PIM) to government institutions and other stakeholders across the region and beyond.
The project’s construction activities are anticipated to commence in the next financial year following the completion of the necessary preparatory processes, including feasibility studies and project design.
As part of the ongoing project preparation activities, the PIM CoE today hosted a delegation of officials from the Ministry of Finance, Planning and Economic Development (MoFPED), who visited the Centre to assess progress made towards the implementation of the PIM-Plus Project. The visit provided an opportunity for the Ministry team to review the Centre’s readiness, discuss key project milestones, and identify areas requiring further attention to ensure timely project execution.
The Ministry delegation was led by Ms. Esther Ayebare, Ag. Assistant Commissioner, Public Investments and Project Analysis Department who commended the Centre for the progress registered thus far. She emphasized the importance of adhering to the project preparation timelines and urged the PIM CoE team to expedite the completion of the feasibility studies and other prerequisite activities necessary for project approval and commencement.
Ms. Ayebare noted that the successful implementation of the project will significantly strengthen the Centre’s role as a national and regional hub for capacity building, research and knowledge dissemination in Public Investment Management. She further underscored the Government’s commitment to supporting initiatives that enhance the quality of public investments and contribute to improved service delivery and sustainable economic development.
The Director of the PIM Centre, Prof. Edward Bbaale reaffirmed the Centre’s commitment to ensuring that all project preparation requirements are completed within the stipulated timelines. He noted that the planned facility will provide a conducive environment for training, accommodation and collaborative learning thereby strengthening the Centre’s ability to support the Country in developing and managing high-quality investment projects.
Dr. John Sseruyange, the Manager of the PIM Centre of Excellence emphasized that the Centre remains committed to delivering high-quality, demand-driven training courses that respond to the evolving needs of Public Investment Management practitioners and contribute to the successful implementation of Uganda’s Public Investment Management reform agenda. He further noted that the project will enable the Centre to effectively fulfil its mandate and contribute more meaningfully to addressing PIM capacity constraints in the region. The PIM-Plus Project forms part of broader efforts by the Government of Uganda and its development partners to improve the efficiency, effectiveness and impact of public investments, ensuring that public resources are directed towards projects that deliver maximum socio-economic benefits for citizens.
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