Govt tells local companies to seal partnerships with Chinese firms

The Ugandan government has advised its local companies to make more partnerships with their Chinese counterparts for promotion of technology and bilateral cooperation.  

Through such partnerships, government believes that thousands of “unemployed youths will benefit from technological skills that will in turn aid job creation.”

"Uganda is privileged to have China as a creditable development and business partner. We commit to continue promoting and supporting the mutual collaboration between Ugandan and Chinese companies," Uganda's Energy state minister Opolot Okaasai remarked during the China-Uganda Investment Economic and Trade Promotion in Kampala on April 25.

Okaasai also said Uganda currently admires the development trajectory that has turned the Asian nation into a global economic powerhouse. 

The minister said that numerous partnerships can be realised as Chinese investors take advantage and invest in Uganda's mineral rich sector.

"The country presents great opportunities in the oil and gas sector in several projects including the East African Crude Oil Pipeline (EACOP) Project, Kingfisher Development Project, Tilenga Project which ongoing and oil and gas exploration through the upcoming third licensing round together with investment in the downstream segment of the oil and gas sector," he said.

The East African country is also working to expand and modernize its energy sector which presents various opportunities for investment and partnership between Chinese and Ugandan companies, the minister observed.

Apparently, China’s direct investment in Uganda reached $131m in 2022, ranking the 10th among all African countries. 

In his speech, Chinese Ambassador to Uganda Zhang Lizhong acknowledged that Uganda and China have made positive progress in investment projects in the fields of transportation, electricity generation and transmission, oil development and industrial parks.

"In 2022, the economic cooperation between China and Uganda withstood the test of uncertain factors in the post-pandemic era and showed a good momentum of steady progress. The bilateral trade volume rose by 6.6% against the trend, reaching $1.14 billion. China granted zero-tariff treatment for 98% taxable items to Uganda and will support Uganda in exporting more value-added products into the Chinese market," he explained.

The envoy revealed that a new direct flight between Entebbe and China’s Guangzhou is expected to be opened soon to boost trade and people-to-people exchange.