In a bid to keep abreast with the changing trends in the business sector, staff of the School of Business, College of Business and Management Sciences (CoBAMS), led by the Dean Dr. Akileng Godfrey on November 3, 2021 spent the day interacting with players in the private sector. The staff undertook the capacity building as part of their continuous professional development.
The staff heard from Mr. Kakande Robert, the MD of Finca Uganda who shared an analysis of the performance of the financial sector in Uganda. The participants learnt that despite the Covid–19 pandemic, the banks saw an increase in cash deposits by 20% and a decline in the loan portfolios by 14%. This was attributed to the decline in trade, owing to the travel restrictions. This was also compounded by the fact that Ugandans are generally a risk averse population. Many people, about 49%, borrow from informal lenders such as friends, family and investment groups. It was noted that only 11% of the population keep their money in banks. About 43% keep money in saving groups, 27% keep it at home while 23% keep it on mobile phones.
This, Mr. Kakande said calls for a national financial inclusion strategy. Some of the emerging and contemporary issues in the financial sector include digitization. The world is growing exponentially, which calls for new ways of doing things. The development of the internet, artificial Intelligence, Internet of things has forced banks to digitize all their services. This Mr. Kakande said, has helped improve customer experiences and reduce the number of people transacting in the banking hall. Today, Uganda has 28 million mobile phone users, 12.1 million internet users and 3.6 million social media users. This means the financial sector also has got to evolve and meet the demands of these customers. This has seen the development of online banking, bank to phone transactions, which have greatly improved the financial sector.
The participants learnt that Bank of Uganda, had issued new regulations for commercial banks, in an effort to secure depositors money. This, Mr. Kakande called the BASEI 11 Capital Accord Framework. Commercial banks are now required to have operating capital of Shs150 billion up from Shs25 billion, while tier 4 institutions such microfinance institutions are required to have capital of Shs5billion up from Shs500 million. BOU has also set out to regulate the Mobile Money business which is being run by the telecommunication companies.
Another emerging issue is Bancassurance. This is a relationship between a bank and an insurance company that is aimed at offering insurance products or insurance benefits to the bank’s customers. In this partnership, bank staff and tellers become the point of sale and point of contact for the customer. Agency banking is another contemporary trend that the financial institutions have adopted. This has also been done in an effort to extend the bank to the clients.
On the issue of high interest rates charged by the banks, Mr. Kakande said, this is because the credit risk among the population is high. The emergence of Infrastructure bonds is something the financial sector players also have to look at in the future.
The staff also got an opportunity to interact with Mrs. Immaculate Ngulumi, the Marketing Manager of Centenary Bank. She shared how the service industry has been able to attract and retain clients. Mrs. Ngulumi said that because service is not a tangible product, the service providers have to appeal to the emotions of people. This, she said calls for investment in 3 Ps (People, processes and physical evidence). The people/staff, she said, have to be well trained, motivated and treated well, so that they can pass on this positivity to the clients. The processes have to be quick and seamless while the ambiance must be good. She shared with the team, the 4 aspects of managing services
- Managing customer relationships
- Managing service quality
- Managing service productivity
- Managing staff and positioning services
Mrs. Ngulumi concluded by saying that in the service industry, the customer does not buy a product, they buy the experience, so give them the best experience.
Other topics discussed included the International Financial Reporting Standards and the role of the private sector in public sector procurement.
The Dean School of Business, Dr. Godfrey Akileng thanked the participants for attending and the facilitators for making time to share with his team.
Betty Kyakuwa is the Principal Communication Officer, CoBAMS
Makerere University hosts CSAE Economic Development workshop 2023
Makerere University has hosted this year’s Center for the Study of African Economies (CSAE) workshop that brings together scholars across the world.
The workshop started on November 27and is expected to run up to November 30 at Makerere University Yusuf Lule Central Teaching Facility II (CTF).
The Center has brought together economic scholars from Africa, Europe, North America, and Asia among others to discuss how the economy of Africa can be developed through conducting research.
According to Prof Eria Hisali, the Principal of the College of Business and Management Sciences (CoBAMS), they are looking at scholars doing research to the extent that it can help them to understand the problems hindering development, understanding the obstacles and finding the correct solutions to the development of the African countries.
“Researchers are presenting their research to get advice, get room for improvement and pave a way of translating the research finding into policies,” he said.
He noted that it is a great opportunity for researchers from different universities both on the African continent and outside the continent to present the work that they are doing and to understand the economies of the different countries.
This years’ conference is attended by about 40 speakers on the continent and around 10 speakers from Europe, Asia, and North America, Canada among others discussing different areas that are relevant to understanding the economies.
These include the Natural resources and environmental misuse, fiscal policies and monetary policies, agriculture, inequality and poverty and trade and structural transformation among others.
Prof Hisali said Uganda’s problems arise from her structural formation but there is need to look beyond just the physical problems like poverty and unemployment and establish the root cause of that.
“It is true we have unemployment in Uganda and we still need to grapple with issues of poverty but we need to appreciate that unemployment, poverty among others are not the primary problems, they are actually effects of certain underlying problems. So, we want researchers to understand what explains unemployment as we see it,” he explained.
Prof Stefan Dercon, the Professor of Economic Policy at the University of Oxford who doubles as the Director of CSAE revealed that African researchers need to improve the quality of their work and create avenues for associating with policy makers to appreciate their work for the development of their economies.
“Scholars are presenting their research and we give them feedback, share knowledge and learn from each other. A lot of research is still academic because we don’t create space for advisors. Very many economists are not good translators of research not only in Uganda but throughout the world,” he noted.
Prof Ibrahim Mike Okumu, the Dean of the School of Economics said this forum brings together scholars to discuss issues of the African economy among their colleagues who appreciate the African context saying, “They are here for quality checks. We have an opportunity to improve the quality of research papers that scholars across the African continent have developed. By improving the quality, we are trying to get authenticity, proof that the methodologies, the quality of analysis that we have is of standard and consequently we can have credibility regarding policy recommendation that will come from research papers.”
African scholars have come from Cameroon, Morocco, Ethiopia, Kenya, South Africa, Nigeria, and Botswana among others…
He re-echoed the message from the Principal concerning the problems affecting Uganda noting that they are not unique to Uganda, she (Uganda) is just struggling with sluggish structural transformation and that is the transition from agriculture to industry which he says is the same story across Africa.
“For as long as industries are not able to create sufficient jobs, the economy cannot pick up because the industry is what moves agriculture forward and is what gives business to the service sector. For as long as industry is not robust enough then you tend to have weak service and agricultural sectors,” he emphasized.
Dr Oluwabunmi Adejumo, a senior lecturer at Obafeemi Awolowo University in Nigeria who is conducting research on the clashes between herders and farmers from different states of the country from which over 10,000 fatalities were registered in 2020, advocates for a law of migrating herders to a separate place and stay away from farmers.
She noted that herders in Nigeria graze their cattle on the crops of farmers when the green space is exploited as a result of climate change like drying out of Lake Chad.
“I am suggesting a policy that I think will bring back sanity in Nigeria especially among herders and farmers,” she said.
This is the second time that this workshop is being held on the African continent, the first one was held in Ghana. The rest of other conferences have been held at Oxford University in the United Kingdom.
Makerere University to set up an agro-processing skilling hub in 2024
Makerere University in partnership with Promote Uganda Company Limited (PROUL) is set to establish an agro-processing skilling hub next year to expose students to agricultural machinery.
The hub that will be based at Makerere University main campus in Kampala will house agricultural machines that add value to agricultural products.
While unveiling the initiative on Thursday, November 23 during the opening day of the three-day 2nd Innovation and Agro-processing machine exhibition at Makerere University’s Freedom Square, Mr David Nsubuga, the Director for PROUL said many youths remain unemployed despite their academic qualifications and it is high time they embraced new technology to create more job opportunities for the graduates. He revealed that the university will be signing a memorandum of understanding with PROUL next week.
“On top of the courses students are studying, we are going to establish a skilling center where they can be exposed to the machines that add value to agricultural products. We believe that when they start buying and selling finished agricultural products, this, will start them on the journey of industrialists.” he noted
The Vice Chancellor, represented by his deputy Prof. Umar Kakumba, revealed that the university has student innovators who just need backup funds to transform the agricultural sector.
“They have innovated machinery that can do irrigation. We are partnering with Promote Uganda Limited to showcase some of the innovations and to be able to connect them to banks which can give them credit and be able to promote their machinery that they are producing including those that do a lot with production of finished goods.” He said in a message delivered by Prof Umar Kakumba, the Deputy Vice Chancellor in charge of academics.
Student innovators of agricultural machinery are those pursuing degree programmes related to bioprocessing engineering, water resources engineering, dealing with mechanical engineering and students of business management sciences among others.
The 2nd innovation and Agro-processing machine expo is a three day exhibition that will run from Thursday, November 23 to Saturday, November 25.
Prof Kakumba understands 80 percent of Makerere graduates fail to get formal employment and revealed the need to inject money in such innovations to harness surging number of unemployed youth flooding the streets of Kampala looking for what to do saying, “Every year, higher institutions of learning and tertiary institutions produce about 150,000 students and yet government job slots are around 30,000 only which is a great blow to students who want white collar jobs,” he added
Mr Steven Byantwale Tibeijuka, the Director Crop Protection in the Ministry of Agriculture, Animal Fisheries and Industries who represented the minister for Agriculture, Mr Frank Tumwebaze pledged on behalf of the government to support the skilling hub that will be established at Makerere University next year.
“I ask the University to put it into writing and address the letter to the minister, the government cannot fail to give you funds once everything is ready,” he pledged
Dr Cathy Mbidde, the manager of the Makerere University Innovation hub said the hub was established in August 2022 under the office of the Vice Chancellor to commercialise the innovations from basically research that the university does and their main goal is to create awareness of the agro-processing machinery.
She added: “When you look at the current Uganda National Development Plan III government’s agenda goal one is agri-industrialisation. As the University, yes we do research and teach but how do we work with the private sector to achieve that goal. We have students who have done research and discovered nutritional values but they don’t have the machinery and access.”
She believes this expo will act as an eye opener to young innovators to team up and purchase the agricultural machinery they need to start up small companies and food processing enterprises while still at the university.
According to her, every year Makerere University graduates around 13,000 students and they can’t find jobs anywhere so there is a need to come up with financing models through financing companies, Non-governmental organisations, and the government to help them to get machinery on credit.
Promote Uganda limited is a company that produces agricultural machinery and their partnership with the university is to introduce the idea of using machines to add value to agricultural products.
When many students graduate, they fail to get formal employment, and end up going to Arab countries where many have lost their lives.
Mr Nsubuga wants the skilling training on operation of agricultural machinery to be added to the students’ courses.
The skilling center will help students to become entrepreneurs and know how to utilise raw materials that are readily available from agriculture to make value added products. The expo is a cross-cutting student exhibition.
Mr Anthony Akandwanaho, a student from Busitema University, said had come to exhibit a day and night dryer invented by his lecturer.
“The machine uses solar thermal during the day to dry the products which it collects directly from the sun and transpires the heat to the products for drying and solar energy during the night,” he said
He noted that this machine dries products from both animal and plant types including meat, chicken, fruits and vegetables. And the maximum drying time for products is 24 hours, for those with higher moisture content like pineapples. However, for products like meat, it dries them within eight hours.
“The unique beauty with it is that you collect the water from the product and can be used for domestic purposes.” Mr Akandwanaho explained
The student also exhibited a chicken de-feathering machine which is able to rip all feathers from the chicken. The mode of operation is that you slaughter the chicken and soak it in warm water for about one minute and transfer the chicken to the machines and in 15 seconds, the feathers are all removed. Its production rate is three chicken per minute.
Some of the exhibited machinery include a garden sprayer, a maize mill, grain grinder stainless, potato slicer, electric chips cutter, vacuum sealer, food dryer, bone Shaw, meat cutter among others.
EfD Uganda Stakeholders Propose Sustainable use of Biomass
The Inclusive Green Economy program of the Environment for Development Initiative in Uganda on 17th November hosted stakeholders across the country’s sectors to get their perspectives on biomass transition to clean energy sources in Uganda.
Uganda’s IGE engagement specialists Dr. Peter Babyenda says this is one of the work plan item on on social inclusion where stakeholders were identified by IGE fellows during the 17th EfD Annual meeting in Ghana.
In a meeting held at Sheraton Hotel in Kampala, stakeholders gave the situation analysis of biomass use in the country, where they want to go, how to go there and who should take the country there.
“We found out that almost 90% of our households depend on biomass whether in rural areas or town. This is attributed to cultural issues where certain foods are believed to have good taste when cooked on firewood or charcoal, the fear to use electricity and gas that may result to shocks and fire explodes, inaccessibility to clean energy sources and affordability issues.”
The meeting resolved to primarily focus on behavioural change efforts of the sustainable use of biomass and gradual transitioning to clean energy sources.
’We concluded that for now we cannot say let us move to clean energy but go slowly go slowly on sustainable use of biomass by planting more trees so that instead of depending on natural forests, we depend on plantation forests, use energy saving stoves and those that can save users on effects of smoke and slowly move to clean energy sources by connecting households to electricity and make it affordable and make gas available at an affordable cost’´Babyenda said.
The meeting also proposed the need for more awareness creation about alternative energy sources such as biogas for schools and prisons.
Representing the Principal College of Business and Management Sciences, Dr. Yawe Bruno thanked Sida through the EfD Global hub at the University of Gothenburg for funding the IGE program and the EfD-Mak centre.
“The use of biomass in Uganda has persistently remained high. 80% use firewood and 13% charcoal for cooking but there is a proportion that use a combination of those two. This imposes great implication for household welfare.
Biomass usage affect our productivity, schooling of children, labour market participation especially by women and children. On health, the use of biomass especially firewood causes eye defects, breathing difficulties, snake bites, body dislocations and sexual abuse,” He explained.
Besides household effects, Yawe noted that reliance on biomass has effects on the environment.
Yawe reported that Uganda’s forest cover is being threatened by biomass usage reducing it from 24% in 1990 to less than 9% to date. Transiting to renewable and clean energy requires clear understanding of supply and demand relationship for both biomass and clean energy.
“We must know what drives the uptake and while many can afford gas and electricity, why are we insisting that we should have charcoal? Comparatively, a 6kg gas cylinder costs 60 thousand and today a bag of charcoal costs not less 70 thousand but some households find it cheaper which is expensive and because of the felling of trees, the quality of charcoal may not last more than a week,”
He challenged stakeholders to find out why the supply and demand for biomass is still high amidst detrimental effects and why the supply for clean energy is still low amidst numerous innovations.
Representing the Director EfD-Mak Center, the Dean, School of Economics Dr. Mike Okumu said many households are struggling to transition from firewood and charcoal due to socioeconomic characteristics that define them.
Okumu attributed the climate change effects to the household behaviours and enterprise behaviour and challenged stakeholders to find innovative ways of co-existing with the environment to enhance productivity and also feed communities
He congratulated the IGE engagement specialists for being intentional in identifying the participants taking into account that the majority and poorest population resides in the rural Uganda, and Uganda’s biggest population being the youth.
The meeting comprised specialists in environmental conservation, researchers in renewable energy specifically biomass energy, persons dealing in innovations in sustainable productivity, those working with rural energy transition and renewable energy through use of waste plants and animal residues and persons engaged in youth environmental initiative particularly agroforestry.
Okumu also congratulated the EfD-Mak centre for bringing on board collaborative partners from different Ministries, Departments and Agencies , the private sector and Civil Society organisations.
He expressed the centre’s commitment to engage in similar engagements for purposes of having a drive into a cleaner Uganda and mitigating climate change effects on Uganda’s economy and a drive to having persons making informed decisions towards a better climate sensitive Uganda.
Jane Anyango is the Communication Officer EfD Uganda
General6 days ago
Application Forms for Admission to Public Universities 2024/2025
General1 week ago
African Universities urged on developing comprehensive safeguarding policies with critical elements of safety & protection
Agriculture & Environment2 weeks ago
RUFORUM 19th AGM Urges Africa to Take the Lead on Climate Action
Agriculture & Environment6 days ago
Soybean Breeders Deliberate Strategies for Improving Productivity
Humanities & Social Sciences2 weeks ago
Anthems of the World Concert for the United Nations Day, 2023, in Uganda