While there are some improvements in Uganda’s performance compared to 2018, further steps must be taken to build on the work done. Particular attention should be given to lowering the restrictions on FDI that are currently in effect.
The risk of unpredictable policy and regulatory change has dropped compared to 2018. It is now on the same level as the risk breach of State obligations. Discrimination between foreign and domestic investors continues to be the highest risk area for the country.
Uganda has performed moderately on three of the EIRA indicators, and it has a good score on one. It has maintained the scores from last year on the indicators management of decision-making processes (67) and rule of law (59). The score on foresight of policy and regulatory change has improved from 49 to 52 points. Its performance has also gone up from 37 to 42 on regulatory environment and investment conditions.
On a more detailed level, Uganda’s overall sub-indicator performance is moderate. Institutional governance continues to be the highest-scoring indicator with 75 points. Management and settlement of investor-State disputes (60), transparency (58), respect for property rights (58) and robustness of policy goals and commitments (54) have also received the same scores as in 2018. On communication of vision and policies, the country’s performance has moved up from 43 to 50 points. The sub-indicator regulatory effectiveness stands at 44. The performance on restrictions on FDI continues to be the lowest with 40 points.