President Yoweri Museveni has assured Ugandan investors that the Government of South Africa will solve the issue of entry visas to that country since it is one of the crucial requirements in doing business.
“On the issue of the visas I am sure the government of South Africa is going to solve this because there is no way you can do business without multiple entry visas. If I am doing business, I should go any time I want to travel, I should not come to look for a new visa every time,” Museveni said.
Museveni made the remarks on Wednesday at the Business Breakfast meeting with investors from Uganda and South Africa in Pretoria, South Africa after the two day Business Forum at Gallagher Convention Centre, Midland, South Africa.
The meeting was organized by the Chairman of the Presidential Advisory Committee on Export and Industrial Development (PACEID) Mr. Odrek Rwabwogo, to appraise the President on the outcome of the two-day business engagements between Uganda and South African business people.
President Museveni also commended Mr. Rwabwogo for a holistic view on identifying bottlenecks that impede bilateral trade between the two countries.
An investor in the telecommunication sector, Mr. Charles Mbire who also attracted MTN Telecommunications Company to Uganda assured the investors of the good business climate in Uganda because there is stability, security and excellent leadership.
“I appeal to investors from South Africa to come to Uganda. I assure you we are the Pearl of Africa, we are landlocked, but we are very land linked. Let’s work together to develop our countries,” Mr. Mbire said.
Equally, the President assured South African investors that his Government is not interested in levying direct tax saying that is the reason why his government has continued to offer a holiday tax of at least 10 years.
He said: “Our doctrine is that we are not interested in direct tax. If you come and start a factory even if you don’t pay corporate tax for 10 years, the people you have employed are earning income and they are now paying income tax.”
“You know Ugandans like enjoying life once you pay them their salary, they will spend some of that money in bars and so pay tax indirectly,” he added.
Gen Museveni used the same opportunity to commit the government’s total support to Ugandan business people to enable them to grow their value-addition businesses.
The Minister of Energy and Mineral Development, Hon. Ruth Nankabirwa reiterated that the Ugandan government has already reduced the cost of doing business when it comes to energy tariffs.
“I can assure you that the low tariff rates have already been approved and we have removed the monopoly of the single buyer model,” she said adding that: “Every company will now be free to invest in generation, transmission and distribution and we shall reach you at an affordable tariff of 5 US cents.”
To improve the business environment in both countries Mr. Rwabwogo revealed that they are going to appoint trade representatives who will work hand in hand to push their business agenda.
