Stimulus package was ‘ghost’ deal for SMEs, say analysts
Monday April 26 2021
An empty street on Namirembe Road in Kampala during lockdown in March last year. Small businesses did not receive the support they needed in the last year, analysts note. PHOTO / ISMAIL KEZAALA
Summary
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Micro, small and medium enterprises (MSMEs), which were the biggest segment of the economy that deserved some relief to stay afloat in the last 13 months, were either excluded or handed a “ghost” deal, an analysis of the stimulus package has revealed .
A scrutiny by organisations SEATINI-Uganda, OXFAM, Argidius and the Federation for Small and Medium Enterprises shows that disbursement and management of the funds government allocated to the stimulus package has largely not served its intended purpose, with the biggest culprit being MSMEs.
Covid-19 shocks: Economy to grow by slower pace of 3.1%
Friday January 08 2021
A customer buys tomatoes at Nakasero Market. The slowdown in economic activity and international trade has resulted in major revenue shortfalls. Photo | Edgar R. Batte
Summary
Government has projected a slowdown in economic growth to 3.1 per cent - the second slowest in the recent past - due to the coronavirus.
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As the coronavirus pandemic takes its toll on the economy, Uganda’s economic growth has slowed down to second slowest rate in the recent past.
The Ministry of Finance, Planning and Economic Development has said Uganda’s Gross Domestic Product (GDP) is projected to grow by 3.1 per cent this financial year 2021, which is lower than the pre-pandemic projection of 6.2 per cent. This is arguably the second slowest rate since the Financial year 2019/2020, where the economy grew at 2.9 per cent.