Uganda is the contiguous pioneer country in the construction equipment industry.
The upcoming development of roads and infrastructure in Uganda is the next hotspot for local and global businesses.
Uganda is a landlocked country in East Africa, made up of around 45 million people. The southern part of Uganda involves a substantial portion of Lake Victoria, shared with Tanzania and Kenya. The official languages of Uganda are Swahili and English, although the constitution has also stated that other languages can be used as a medium of instruction in schools or universities. Luganda is the language which is widely used across the south and eastern regions of the country, including Lango, Acholi, Runyoro, Rutoroo, and so on. The economic status of Uganda has boomed as domestic conditions have improved following the easing of mobility restrictions during the years 2021 and 2022. Also, Uganda's economy has grown at a very slow pace, which is reducing its impact on poverty. If we talk about 2016, the average annual growth was about 4.5 percent, which is now 7 percent compared to years before. In 2020, the GDP of Uganda amounted to around 37.44 billion US dollars, which is huge. Most importantly, the service sector of Uganda is the most important sector of the country's economy as it helps in boosting overall GDP and economic growth.
There are three major transport systems that are available in Uganda, i.e., airways, roadways, and railways. Most roads are in dangerous condition in Uganda, whereas some areas and cities in this country have made good progress on their infrastructure. That is also true that Uganda is doing well on the water and sanitation MDGs, hence improving the overall utility performance. As of 2018, Uganda has about 130,000 kilometres of road with an estimated 5,300 kilometres paved. However, a number of issues and challenges remained the same. Despite the reforms, the power sector continues to haemorrhage because of the high distribution losses and under-pricing. That is why providing an adequate number of resources for road maintenance still remains a challenge. This requires funds and further technological ideas to increase rural connectivity and improve road safety. Uganda typically invests more than $1 billion per year in road infrastructure, which equates to 11% of total GDP. There are various demerits of poor road infrastructure, such as that it leads to more deaths and reduces tourism rates. Due to poor road infrastructure, farmers may rely on roads to transport agricultural products. The agriculture sector is one of the most essential industries in Uganda that enhances employment rates in the country. Women are the main part of this growth as this field is largely filled by women workers that are managing and marketing products.
The road infrastructure of Uganda still needs some improvements. To improve this, they must create contracts with private countries and enforce road safety laws and regulations. The economic growth of Uganda has the potential to grow due to its significant natural resources, including regular rainfall, mineral deposits, and ample fertile land. This can increase tourism because good road infrastructure and service sectors attract a large pool of tourists.
In May, we participated in the 11th Edition of the International Construction Expo, EXCON 2022. The response to the expo was so fantastic for us and our clients, it helps us to build new connections and contracts in this industry which directly and indirectly motivate us to do such amazing work for the industry. After EXCON 2022, we have recently participated in the Uganda Buildcon International Expo and have achieved a great response.
Our Founder and Director of CT Today, Mr. Pritam Punjabi shares his experience with CT Today magazine. He said Uganda is a developing country and generates so many opportunities for construction equipment and machinery companies. In Uganda, there are so many ongoing and upcoming projects related to road and other infrastructure development which are helping to in creating new businesses, contracts, and other opportunities for Indian businesses and the Indian economic growth. Also, he added Uganda Expo was overwhelmed personally and professionally. Our Founder has also interacted with the leaders of some construction equipment companies.
He has gathered reviews and feedback from clients concerning their experience at Expo 2022. Some of our clients share their experiences with us and we are also, happy to share them with you.
This was our first time attending the expo, and it gave us a wonderful chance to network with visitors who will be our future customers in Uganda as well as in East Africa.