General
Universities need to generate Entrepreneurs & Innovators – Ramathan Ggoobi, Permanent Secretary & Secretary to the Treasury
By Our Writer
Ggoobi said a young Mutebile was conscious enough to comprehend Amin’s economic distortions and human rights violations, and risked to oppose them. Yet, like many budding economists of the time, Mutebile started as a socialist. He quickly mutated into a liberal thinker and went on to help Uganda to get rid of economic distortions.
Universities should also play a key role in economic and social planning. Enterprise incubators and start-up support should be scaled to boost local job creation and competitiveness of small businesses, Ramathan Ggoobi the Permanent Secretary and Secretary to the Treasury in the Ministry of Finance, Planning and Economic Development Uganda has said.
Ggoobi also said as hosts for the country’s young generations, universities should think about practical ways of averting the growing boomerang generation—young adults who return to their parents’ home after university because they’ve failed to live on their own.
Delivering his keynote speech at the inaugural Tumusiime Mutebile Memorial Lecture under the theme, ‘Economic recovery and resilience in a post Covid-19 world-The role of Higher Institutions,’ Ggoobi said the key to economic recovery now is in the ability of our university to generate the kind of human resource that ultimately will translate into entrepreneurship and innovations
“Apart from promoting greater productivity and work efficiency, education is the primary opportunity equalizer. Probably the key to economic recovery is in the ability of our universities to generate the kind of human resource that ultimately will translate into entrepreneurship and innovations.
Ggoobi said during the pandemic Makerere set up a University Scientific Advisory Committee which was key in advising the Government.
“Universities need to relax a bit on the requirements – both academic and financial – to take on more students and reduce the dropout rate, one of the effects of the pandemic. Please do everything possible not to leave any student behind, particularly those who belong to the most vulnerable socioeconomic backgrounds. Remember, families are going through a very difficult time. So, develop timely, student-centric responses,” Ggoobi said.
Ggoobi said as government, they were committed to continue enhancing funding for universities to support the transformation of higher education in the face of tectonic, long-term shifts in demographics, technology and competition. We shall invest more in online, hybrid and competency-based learning, improved infrastructure, student sponsorship, and most importantly research and innovation.
Ggoobi said that it was an immense pleasure to return to this intellectual powerhouse to honor one of the greatest economists and reformers of our time, and also to talk about economic recovery efforts.
“On behalf of the Ministry of Finance, Planning and Economic Development, and specifically the hundreds of fellow alumni of this great institution working in the Ministry, I am delighted to congratulate Makerere upon reaching 100 years of Building for the Future,” Ggoobi said.
Ggoobi said Makerere University was one of the world’s most prestigious universities. “Its alumni include world leaders, top notch intellectuals, leading business executives, and many other impactful human beings, both living and dead. I thank you for inviting me and enabling me to return to Makerere for the first time as the Secretary to the Treasury of the Republic of Uganda. I started my journey of training as an economist here,” he added.
Ggoobi noted that there were a number of things he was scheduled to do, “but I honestly can’t think of one that would make me happier and proud, than one for the promotion of economics. Until recently, my life’s work (my teaching, my research, my public writing, my community work, and even my twitter and Facebook posts) has been all about trying to demonstrate to fellow Ugandans what I learnt while in the gates of Makerere – that economics is not common sense per se.
Ggoobi said the Covid-19 pandemic had greatly affected the country and the entire world.
“In any case the entire world has been a laboratory and us all the specimens for its torment. From the anguish of losing our loved ones (a world total of 6.23 million souls – and still counting; of whom 3,597 were Ugandans) to a disrupted recovery and higher inflation, the pandemic has plagued the human race at unprecedented scale,”
Ggoobi noted that at its peak the global economic growth declined to minus 3.1 percent in 2020, from 2.9 percent in 2019. “In Uganda’s case, economic activity was cut by more than half. The services sector was most affected, in particular education, transport, hospitality and entertainment activities. The size of the labour force declined with many workers moving from modern and semi-modern sectors into subsistence agriculture.”
He also said the share of working persons in subsistence agriculture increased from 41% to 52% before and after the outbreak of the pandemic. “As we talk now, 6.8 million people (housed in 3.5 million homes) are in subsistence. We have also experienced revenue shortfalls in the past two years yet expenditure needs increased to finance the fight against Covid-19, enforcement of Covid-19 SOPs to keep Ugandans alive.”
On commodity prices, Ggoobi said, “Economists know that it takes time for external shock to manifest themselves. In this case, they have started with prices of essential items, particularly laundry bar soap, fuel, cooking oil, building materials like cement and steel, some food items, and education services.”
He admitted that these had significantly increased in recent months. “As a result, inflation has risen to 3.7% in March 2022. The causes are largely external and supply-side related, key of which is the effect of Covid-19 restrictions which disrupted supply-chains worldwide leading to higher transport costs, shortage of shipping containers, shortage of raw materials, and higher fuel prices. This cocktail has curtailed smooth manufacturing/production and movement of goods and services, leading to increased commodity prices.”
He also attributed the increase in prices to the full opening of economies globally and the Russia-Ukraine war “After Covid had lessened, it led to a swift rise in aggregate demand for a number of goods and services such as fuel, transport, education etc. This has further increased prices. Since crises are like taxis; another one is often the way as one leaves the stage, the Russia-Ukraine conflict emerged as Covid left the stage and has further disrupted supply of goods such as oil, wheat, maize, and sunflower oil, as well as raw materials. The two countries are major producers and exporters of these commodities.
On what the Government was doing, Ggoobi said the causes of the current spike in prices were as a result of; Supply related; External; and Global. “Government policy response, therefore, must focus on addressing the supply constraints most of which are external and affecting the entire world. Anything else implemented would be a wrong medicine to a known ailment.”
He outlined some of the measures being undertaken by the Government to include; “Ensuring that we maintain a competitive environment to support a continuous supply of the goods and services whose stream is currently constrained – that is, fuel, soap, cooking oil, cement, steel, etc.- and avoid creating more shortages. We cannot afford to make demand outstrip supply. Most of the things some people want us to do are good common sense but very bad economics.”
Ggoobi also noted that they were supporting farmers to grow more food to ensure we do not suffer food shortages since food is the main driver of Uganda’s inflation.
“We are also facilitating more exports to take advantage of the shocks, and earn more foreign exchange to pay for the now expensive imports.
On what Mutebile would have done had he still been around, Ggoobi noted Mutebile was the grandfather of the economy we have today.
“Mutebile liberated Uganda from the ‘control model’—the practice of using administrative controls to keep the prices low and revaluing the shilling to make imports cheap. Beginning in 1966 the State of Uganda had assumed a lead in all the major economic activities. The leaders then and the people they led thought this was the best way of ensuring making the economy work for everyone,” Ggoobi said.
He said in 1969, in the bid to enable indigenous Ugandans to “have a say in the economic affairs of their country,” which at the time was dominated by Asians and British immigrants, and “for the realization of the real meaning of Independence”, President Apollo Obote announced a “Move to the Left”, culminating into the infamous 1970 Common Man’s Charter.
“This was the beginning of the control model in Uganda. When Idi Amin took power in 1971, economics was replaced by flawed common sense. As we heard in the numerous eulogies by his contemporaries, Prof Mutebile took the risk to remind the brash and unapprised Amin how economics works, and paid a huge price. Yet many Ugandans then considered him a nationalist.”
Ggoobi noted that even today, many Ugandans silently support Amin’s expulsion and expropriation of Asian property, price and foreign exchange controls and many other economic distortions.
“Generations of my students, none of whom was born by 1972 when Amin executed the economic war, as well as various groups of people I have taught Uganda’s economic history during my, often expressed support and silent admiration of Amin’s ‘nationalist credentials’”.
Ggoobi said a young Mutebile was conscious enough to comprehend Amin’s economic distortions and human rights violations, and risked to oppose them. Yet, like many budding economists of the time, Mutebile started as a socialist. He quickly mutated into a liberal thinker and went on to help Uganda to get rid of economic distortions.
He outlined some of the economic distortions Mutebile helped Uganda get rid of;
“First, Mutebile helped this country to get rid of price control. It resulted in an emergency of black markets (magendo) involving hoarding of basic groceries and other essential commodities.”
He also noted that Mutebile kicked out smuggling in Uganda. “Due to economic mismanagement, the past governments were unable to collect enough tax revenue to finance government expenditures. To deal with this challenge, the governments resorted to levying exorbitant import tariffs to raise revenue. The high tariffs forced traders to engage in smuggling,” Ggoobi said.
He further noted that Mutebile, “helped Uganda to stop printing money to finance budget deficits. The Bank of Uganda had been turned into a printing press for money. Consequently, inflation had galloped into triple digits.
Mutebile also saved Uganda from black markets. “These used to emerge as a result of fixed exchange rates. For example, the official exchange rate in 1986 was fixed at sh14 and sh50 per US dollar for essential and non-essential imports respectively. Fixing of the exchange rate led to shortage of foreign exchange and emergence of black markets (the Kibanda market) for foreign currencies. International trade was severely affected leading to a shortage of imported goods and services.
Ggoobi also said, Mutebile helped Uganda to restore fiscal discipline. “He re-established the discipline of government, maintaining a fiscal position that is consistent with macroeconomic stability and sustained economic growth. Government avoided excessive borrowing and debt accumulation; committed more spending of the national budget on productive activities in the economy.
“It was Mutebile who masterminded the merger of the Ministry of Finance (MoF) with the Ministry of Planning and Economic Development (MoPED) in March 1992. This improved coordination of macroeconomic management. Within one fiscal year, inflation reduced from 54.5% in 1992/93 to 5.1% in 1993/94,” Ggoobi said.
Ggoobi further said that as pioneer PS/ST, Mutebile implemented three basic principles: Prudence by ensuring that expenditure by government was in line with revenue, and limiting borrowing strictly to necessary needs; Sustainability insisting no expenditure commitments that couldn’t be sustained over the medium and long term; and Consistency: all expenditures in line with the government’s long-term goal of building an independent, integrated and self-sustaining economy.
Ggoobi said Mutebile jealously defended the independence and authority of BoU over monetary policy (BoU Act); regulation and supervision of banks (FIA); and performance of its functions without subjecting it to the direction or control of any person or authority (Constitution). This transformed the bank into a credible institution with the prime objective of maintaining price stability.
“Mutebile led the crusade of private sector development to reduce government and its inefficiencies in doing business. All these reforms enabled Uganda recover and sustain growth at an impressive average annual rate of over 6.5% per year; maintained single-digit inflation averaging 5% for much of the period Mutebile was in charge at the Treasury and BoU; and facilitated poverty reduction from 56% in 1992 to 19.7% in 2014.
He also talked about the unfinished business Mutebile would want us to address saying the Government was now focused on the unfinished business not only to maintain Mutebile’s legacy but to propel Uganda to the level he and all of us want it to get to.
“In the medium term our efforts and resources will be concentrated on addressing the following: A large subsistence economy that has crippled household incomes and the purchasing power of the population; High unemployment and underemployment of the young people; High cost of credit, electricity and transport, which lower competitiveness of Ugandan products in regional and international markets; Low investment in scientific research and development to inform innovation and policy.
He also noted that they would focus on; Low level of industrialization; Land ownership and security, land use and land fragmentation; High levels of corruption in government and private sector; Limited export markets; and Quality of healthcare and education services.
The Tumusiime Mutebile Public Lecture will be an annual event which will serve as an intellectual rallying point for scholars, students and the general public by drawing eminent scholars and government representatives from across Africa and the globe in intellectual conversation and discourse that will proffer solutions to crucial issues in building a recovering and resilient economy in Uganda.
On 20th January 2025, the blazing afternoon sun was temporarily obscured by cloud cover as a convoy complete with VVIP security detail quietly made its way to the Main Building. As the convoy came to a stop at the Main Building’s Eastern staircase, all eyes were peeled to see who this VVIP was. As she emerged, there was no fanfare whatsoever as she proceeded to pleasantly greet the welcoming party. Princess Zahra Aga Khan, graceful by all standards, had arrived at Makerere University, an institution fondly talked about by her father His Late Highness Prince Karim Aga Khan IV.
It was indeed humbling that Princess Zahra Aga Khan, a Member of the Board of Directors of the Aga Khan Development Network (AKDN) and Trustee of the Aga Khan University (AKU) could include Makerere University on her itinerary. She had earlier on the same day paid a courtesy call on the President H.E. Yoweri Kaguta Museveni at State House Nakasero, and presided over the graduation of 120 students of the Aga Khan University-Kampala.
Princess Zahra who was received by the Acting Vice Chancellor, Prof. Buyinza Mukadasi and the Dean Makerere University School of Public Health (MakSPH), Prof. Rhoda Wanyenze was thankful for the warm reception and Makerere’s unwavering legacy.
“My whole life, my father always told me that Makerere was the best University in Africa,” relayed Princess Zahra, before adding “And my whole life he told me how sad it was that tertiary level degrees had been de-funded and what fragility that bred in these countries.” She went on to explain that her father’s philosophy was that if a country cannot train its upper degrees, it cannot build a free, fair and successful economy.
Princess Zahra nevertheless expressed how glad she was to see that Makerere still remains a beacon of higher education, and that the Main Building that was gutted by fire was reconstructed to perfection. “So to come here and see it looking so amazing and beautiful is really good.”
She confessed that her itinerary, though involving many hops to preside over graduations in Kenya, Tanzania and finally Pakistan, was testimony of how much Aga Khan Institutions had evolved over the past twenty years. Princess Zahra explained that partnerships with Makerere and other universities, especially in the aftermath of events such as CoVID-19, were crucial in helping Aga Khan Institutions to adjust. “An institution can become far stronger and more resilient,” she explained.
In his welcome remarks, Prof. Buyinza thanked Princess Zahra for including Makerere on her eventful itinerary. “We are more than a century old and have greatly impacted the development and economy of this country, not on our own, but with the big network of our partners in many respects. Your coming reinforces the resolve that we must work together for the good of humanity.”
The Acting Vice Chancellor equally welcomed members of Princess Zahra’s delegation who included; her daughter Sarah Boyden, Mr. Zakir Mahmood-Chairman Board of Trustees AKU, Mr. Amin Mawji, OBE-Trustee AKDN, Dr. Sulaiman Shahabuddin-President and Vice Chancellor AKU, Dr. Tania Bubela-Provost and Vice President Academic AKU, Zeenat Shahabuddin-Regional CEO for Aga Khan Health Services (AKHS) in East Africa, and Joseph Mwizerwa-Associate Vice Provost AKU-Uganda.
Contributing to the day’s discussion, Dr. Sulaiman Shahabuddin the President and Vice Chancellor AKU who has been in Kampala for the last twenty years, admitted that the new campus in Nakawa heralds a new era of growth as they commence student activities in June 2025.
“Makerere has been and is a distinguished University in Africa. We look forward to engaging and discussing how best we can come up with programmes that can benefit Uganda and Ugandans” he remarked.
As a rejoinder, Prof. Rhoda Wanyenze admitted that AKU’s and Makerere’s academic programmes present a number of potential synergies both in training and research. “Cancer clinical care and research is a big issue for us here; the burden is growing and we need to do more work to be able to characterize exposures and what it is that’s driving it.”
Other areas singled out in the discussion as potential for collaboration included; the environment, climate change and its linkage with health and other issues, and harnessing of the potential Electronic Medical Records (EMR). Makerere University currently partners with the Ministry of Health to roll out EMR systems nationwide, so as to optimize health service delivery in line with the Uganda Vision 2040.
“We have already done quite a number of facilities across the country for HIV, probably more than 1,000, but right now we are moving towards having an integrated electronic system for all care, the interoperability of multiple systems that exist, and being able to scale that up” complemented Prof. Wanyenze.
Prof. Buyinza who brought the lively discussion to a close concurred that a lot of potential areas for collaboration exist between the two partners and reassured Princess Zahra Aga Khan and her delegation of the Makerere’s readiness to undertake joint activities for the good of humanity. He also used the occasion to observe a moment of silence in honour of His Late Highness Prince Karim Aga Khan IV, who passed away on 4th February 2025.
Following the signing of the Vice Chancellor’s Visitors Book, Princess Zahra Aga Khan and her delegation proceeded to the Makerere University Innovation Pod (Mak UniPod), where they received a guided tour from Dr. Cathy Ikiror Mbidde, the Director.
Prof. Henry Alinaitwe on 20th February 2025 officially handed over the Office of Deputy Vice Chancellor (Finance and Administration)-DVCFA to Prof. Winston Tumps Ireeta at a ceremony presided over by the Acting (Ag.) Vice Chancellor, Prof. Buyinza Mukadasi. The handover was witnessed by the University Secretary-Mr. Yusuf Kiranda, Chief Human Resources-Mr. Deus Tayari Mujuni, Chief Internal Audit-Mr. Patrick Akonyet, University Bursar-Mr. Evarist Bainomugisha and Chief Legal Affairs-Ms. Nanyondo Sumaiyah Sebuta.
Equally present to witness the ceremony were the Chief Estates and Works- Eng. Okuk Geoffrey, Dean of Students-Dr. Winifred Kabumbuli, Deputy University Secretary-Mr. Simon Kizito, Mr. Juma Katongole-Representing Director ICT Support, Ms. Susan Mbabazi-Representing Director Gender Mainstreaming, Ag. Manager of Planning and Development-Mr. Emmanuel Kitamirike as well as staff from the Vice Chancellor’s and Deputy Vice Chancellors’ Offices.
Prof. Buyinza Mukadasi in his remarks thanked Prof. Alinaitwe for the effort and support rendered to the University through the DVCFA’s Office and prayed that Makerere could continue tapping into his knowledge.
“As colleagues we have a shared agenda and a common destination as we do the best for Makerere. I thank Prof. Henry Alinaitwe for being a hardworking colleague of great humility, collegiality, and being open-heartedly committed to the principle of trust” remarked Prof. Buyinza, who also expressed belief that God has bigger plans for him as he exits office.
In the same breath, Prof. Buyinza congratulated Prof. Ireeta on his new role, admitting that he has what it takes to carry on from where his predecessor left off. “Thank you for accepting to take on this appointment; it takes a person of great responsibility to accept the huge mandate of this office.”
The Chief Human Resources Officer, Mr. Mujuni thanked Prof. Alinaitwe for steering the Office of the DVCFA and pledged to correspondingly support his new supervisor, Prof. Ireeta. The University Secretary, Mr. Kiranda equally thanked Prof. Alinaitwe for the guidance, support, and flexibility accorded to his office to fulfil its mandate.
“Although it is difficult for us to sit here and witness this handover, we are comforted to have previously worked with Prof. Ireeta and look forward to the continuity in service that his experience presents” added Mr. Kiranda.
The Chief Internal Audit Officer, Mr. Akonyet in his tribute thanked Prof. Henry Alinaitwe for his guidance as immediate supervisor, which helped shape the internal audit function. Like Mr. Kiranda, Mr. Akonyet thanked Prof. Ireeta for his support as a member of the University Council’s Audit Committee and expressed confidence that his passion for service would greatly benefit the University in his new role.
Presenting his handover report, Prof. Henry Alinaitwe reflected on a number of achievements such as: Mobilising resources for the Makerere@100 Celebrations and other activities; establishing the Grants Administration and Management Support Unit (GAMSU); realigning Makerere’s Ten-Year Strategic Plan to the Five-Year NDP-recommended interval; Payment of outstanding In-house Benefits; Harmonization of staff salaries; as well as Recruitment, Promotion and Training of staff.
Prof. Alinaitwe equally highlighted achievements such as: Formulation of the ICT Policy and purchase of related equipment; Developing a Security Masterplan and enhancing surveillance, personnel numbers and equipment; Support to Student Affairs Management and Governance including overseeing the Emerging Leaders Program; Renovation of Student Halls of Residence; Establishment of the Disability Support Centre; Leading the Design Team for the Reconstruction of the Main Building; Improving Competitiveness of the Staff Housing Policy; Improving the University Fleet and Vehicle Access Control; Improving the Budgeting Process through Unit Ledgers and Accounts; among others.
He concluded by thanking the University Council and the Vice Chancellor for entrusting him with the role of DVCFA as well as all the support rendered to his office in the execution of his duties. “Whereas I have read out all these various achievements, they have largely been due to all your respective contributions and I thank you for that.”
In his acceptance remarks, Prof. Winston Tumps Ireeta similarly thanked the University Council and Vice Chancellor for entrusting him with the responsibility of overseeing the Office of the DVCFA. He acknowledged that despite the fact that he was taking over from Prof. Alinaitwe on whose behalf he had acted a number of times, he still has big shoes to fill. “However, with my God, all things will work out” he prayed.
The incoming DVCFA requested Prof. Alinaitwe to always accept consultation on matters relating to the office and pledged to be as results-oriented as his predecessors. “Let’s all work together for the good of our University” he concluded.
Following the Handover Ceremony, Prof. Buyinza Mukadasi on behalf of Members of Management presented a plaque to Prof. Henry Alinaitwe in appreciation of his dedicated service as Ag. DVCFA from 16th November 2021 to 19th February 2025.
In a pivotal meeting held earlier this morning, the Acting Deputy Vice Chancellor, Prof. Henry Alinaitwe, met with project implementation partners from the Korea Institute for Development Strategy (KDS) and the Korea National Open University (KNOU) to discuss the upcoming Project for Enhancing the Distance Education Environment at Makerere University in Uganda (2024-2028). This collaboration, set to launch on February 27, 2025, is poised to revolutionize the university’s distance learning initiatives.
The project, which is generously funded by the Korean Government through KOICA (Korea International Cooperation Agency), will receive a substantial investment of USD 12.2 million. It aims to address critical areas in e-learning at Makerere University, with key components focusing on the development of a comprehensive e-learning master plan, capacity building for staff in Open and Distance eLearning (ODeL), equipping two state-of-the-art content development studios, and the development of necessary infrastructure.
Prof. Henry Alinaitwe expressed his enthusiasm for the partnership, stating, “This project marks a significant milestone for Makerere University as we strive to enhance our distance learning capabilities. The integration of advanced technology and capacity building will not only improve the quality of education but also ensure greater accessibility for learners across the region. We are grateful for the generous support from the Korean Government and look forward to the successful implementation of the project.”
The delegation from Korea, led by Prof. Chun Se yeoung, also expressed their commitment to the success of the project. Prof. Chun Se yeoung remarked, “We are excited to partner with Makerere University on this transformative project. We believe that by enhancing the distance education environment at Makerere, we will not only benefit the university but contribute to the development of higher education in Uganda and the broader East African region. Our goal is to build a sustainable and scalable model that empowers educators and students alike.”
The project is expected to have a lasting impact, significantly strengthening Makerere University’s capacity to offer high-quality education remotely, thereby increasing access to learning opportunities for students across Uganda and beyond.
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