News analysis Health Business

Sembuya’s chocolate New cancer machine State-owned enterprises lebrating

dreams restores patients hope saddled with losses Ce

Issue No. 507 Feb 09 - 15, 2018 Ushs 5,000,Kshs 200, RwF 1,500, SDP 8
Years

'Saleh proposal on
ministries will fail'
Museveni is the
problem, insiders say

www.independent.co.ug
 Stay Informed
Our online platforms have
limitless possibilities

www.independent.co.ug
@UgIndependent
The Independent magazine

Independent Publications Limited, Plot 82/84, Kanjokya Street, P. O. Box 3304, Kampala, Uganda
Tel: +256-312-637-391/ 2/ 3/ 4 | Fax: +256-312-637-396 | E-mail: editorial@independent.co.ug,
advertising@independent.co.ug, circulation@independent.co.ug Website: www.independent.co.ug
INBOX

Issue No. 507 Feb 09 - 15, 2018

The Week The Last Word Analysis Business Arts &

Culture
4|DPC Kirumira Fashionable 14|Sembuya’s 21|State-owned
transferred to chocolate dreams: enterprises
Nalufenya nonsense: Young entrepreneur saddled with
43|Cultural
integration
How the exploits well-kept losses:
through art:
debate on secret BoU, UEDCL
East African
4|Bridge and Mandela
schools, governance National Stadium
biennale
Kampala
Ministry in in Africa 16|`Uganda’s oil listed amongst
focuses on
sector is on the right those in red
licensing is a toxic track’:
commonality
controversy
combination of Susan Eckey is 24|New
high emotion Norway’s ambassador accounting
standard to make 43|Top Peugeot
4|EU gives and little to Uganda. She spoke
loans, insurance designer dies:
knowledge to The Independent’s Gérard Welter
100,000 Euros more expensive:
aid to Congolese Ronald Musoke on Experts say modeled cars
refugees the growing bilateral financial like the Peugeot
relations between the institutions to 604, 304, and 406
two countries. prefer extending
short term loans

STRATEGY & EDITORIAL DIRECTOR: Andrew M. Mwenda
MANAGING EDITOR: Joseph Were
INVESTIGATIONS EDITOR: Haggai Matsiko
BUSINESS EDITOR: Isaac Khisa
PHOTOGRAPHER: Jimmy Siya
WRITERS:Ronald Musoke, Flavia Nassaka, Ian Katusiime,
Agnes Nantaba, Agather Atuhaire, Julius Businge.
DESIGN/LAYOUT: Sarah Ngororano, Harriet Jamwa.

PUBLISHER: Independent Publications Limited, Plot 82/84, Kanjokya Street, P. O. Box 3304, Kampala, Uganda
Tel: +256-312-637-391/ 2/ 3/ 4 | Fax: +256-312-637-396 E-mail: editor@independent.co.ug | advertising@independent.co.ug
circulation@independent.co.ug | Website: www.independent.co.ug

2 Feb 09 - 15, 2018

 Offline

Dex Agourides, (L) Head

of programs, Africa
and the Middle East
Green Growth Planning
and Implementation
with Patrick Ocailap,
deputy secretary to
the Treasury during
the official launch of
the Uganda Country “In my career, I have never withdrawn
Planning Framework
2017-2021 at the
from the battlefield for the last 39 years,
Ministry of Finance on and I like training which I am going to
Feb. 2.   INDEPENDENT/ do with the Somali National Army.” Lt.
JIMMY SIYA
Gen. Jim Owoyesigire, new AMISOM Force
commander

Hundreds arriving at
Kololo Airstrip with
the body of the fallen
artist Mowzey Radio
for public viewing on
Feb. 2.   INDEPENDENT/
JIMMY SIYA

“Museveni is the last president I am

opposing. In the next government, I will
oppose from within. I am tired of living
like this.” Aruu County MP Odonga Otto

President Yoweri Museveni,

(M) at the 83rd birthday
celebration of Constance
Kabakaali Muhangazima
Adyeri, (2R) the mother of
Burahya County Margaret
Muhanga, and Andrew
Mwenda M.D of The
Independent Publications
Limitedww at Kanyandahi
village, Ruteete subcounty in “Celebrities need to learn how to
Kabarole district on Feb. 2. manage fame. Artistes, you need
professional managers. They will guide
you and you should listen to them.”
Katikkiro Charles Mayiga at singer Mowzey
Radio’s funeral

Employees that Schools Money

100 were sacked by
National Identification 1444 government has
licensed since Shs453b government will
pay to Ugandan
Registration Authority last year traders who

Feb 09 - 15, 2018 3

week
EC, petitioners
asked to settle
LC elections case
out of court
On Feb, court cleared
the Electoral Commission
(EC) to conduct Local
Council Elections after
settling the grievances
raised by petitioners ami-
cably. The electoral com-
mission had scheduled
to conduct the elections
last year but a number of
people petitioned court
faulting the manner and
circumstances under
which the polls were to
be conducted. One peti-
tioner – James Tweheyo
said senior six candidates
most of whom are eli-
gible voters who were
still at school doing final
exams would be left out.
Speaking to journalists
last week, EC chairper-
son Justice Simon Bya-
bakama said the commis-
sion will soon set a date
for the polls although
he noted that they still
lacked funds to deploy
electoral officials on the
ground.
Earlier however, sev-
eral people had opposed
the method of voting
by lining up behind the
candidate that it would
groom conflict within the
people. Uganda has not
held LC elections for the
last 16 years.
Dial
4 Feb 09 - 15, 2018
DPC Kirumira transferred to Nalufenya
Defiant former Buyende
District Police Commander
Mohammed Kirumira was on
Feb.02 transferred from Rail-
way Police Station where he
had been held upon arrest a
day before to Nalufenya police
station in Jinja, an entity that
has been associated with grue-
somely torturing suspects.
Kirumira who last week
took to the media to announce
that he was leaving the force
because of what he referred
to as double standards and
persecution was only arrested
after police broke into his home
in Bulenga Wakiso district. He
was thereafter paraded before ende and is therefore expected Nansana when he commanded
the force’s tribunal and charged to handover office on February operations that rid the area
with misconduct. 09. which was hither to haven for
Meanwhile the Inspector Kirumira who was recently wrong doing of criminals. After
General of Police Kayihura has charged with extortion, cor- his time in Nansana, he was
replaced him with Assistant ruption, torture and excessive transferred to Old Kampala for
Superintendent of Police Edgar use of authority came to the a short time before being sent to
Akankwasa as the DPC for Buy- limelight in 2013 while still in Buyende.
Trial of pine car bond boss starts
Hearing of the murder case the charges recently after the
involving Muhammed Sse- Director of Public Prosecutions
buwufu the boss of Pine Car Mike Chibita dropped charges
Bond started at the high court in against him.
Kampala on Feb.05. Ssebuwufu The eight are accused of mur-
is accused of killing a business der, aggravated robbery and
woman Donah Katusabe who kidnap with intent of murder.
is said to have been tortured Meanwhile some critics irked
to death for failing to clear a by the DPP’s decision on drop-
Shs9million debt after buying ping charges against Baguma
a car from the bond two years saying the crime was commit-
ago. The case in which Ssebu- ted just a stone throw from
wufu is co-accused with seven the police station and that the
others had sunk in the Kampala deceased pleaded with him to
Muhammed Ssebuwufu the Central Police Station Aaron rescue her from the tormentors
boss of Pine Car Bond Baguma who was relieved of but he ignored her.
*terms and conditions apply
*134 * 7#
 Week

Ugandan named new AMISOM commander

Uganda’s Former Air force commander,
Lt Gen Jim Owoyesigire has taken over
from Burundi’s Lt. Gen Osman Noor Sou-
baglesh as the commander of the African
Union Mission in Somalia (AMISOM) forc-
es, a peace keeping mission operated by
the African Union in Somalia. Owoyesigire
was handed over power in a function held
on Jan.31 at the mission’s headquarters
in Mogadishu and presided over by the
Special representative of the Chairperson
of the African Union Commission [SRCC]
and Head of AMISOM – Francisco Caetano
Madeira.
‘’The main objective is to defeat Al-
Shabaab terrorists and stabilize Somalia
and the region at large as the effects have
always spilled over to other countries in the
region for example Uganda and Kenya”,
said Lt Gen Jim Owoyesigire in his accep-
tance remarks according to a Statement to
the media.
The statement also reads that the General
brings 39 years of military and diplomatic
experience to AMISOM and is expected
to spearhead efforts to further boost the
capacity of the Somali National Army
to facilitate the exit of AMISOM from
the country. Noor has been in office
since July 2016.

Suspected Mowzey Radio’s killer arrested

Reports just in indicate Ugan-
da Police has arrested a person
key in resolving the circum-
stance under which popular
vocalist Moses Ssekibogo aka
Mowzey Radio of the Good-
lyfe Crew was assaulted after
an altercation at Entebbe town
based spot De Bar on Jan 22.
“Katwe Police has arrested
the suspected killer of singer
Radio Mowzey. The suspect
Godfrey Wamala was found
at a friend’s home in Kyengera
where he had been hiding,”
Uganda Police confirmed on
Bridge schools, Ministry in licensing controversy
Ahead of the official opening
of second term on Feb.05, Dr.
Daniel Nkaada, the commis-
sioner Basic Education at the
Ministry of Education on behalf
of the permanent secretary
wrote a letter warning Bridge
International Academies not to
dare open without operating
licenses.
“I note that you are comfort-
ing your over 30,000 parents,
communities and invariably the
14,000 pupils you serve in your
63 schools that we are working
tirelessly around the clock to
issue you licenses ahead of the
new term. I am afraid you are
feeding your clients on false
hope”, Nkaada wrote to Bridge
academies, a network of schools
established in various countries
to deliver local cost and quality
education.
But, Morrison Rwakakamba
the schools’ Country Direc-
tor rubbishing the Ministry’s
claims said the schools would
Feb.05 saying that the suspected
would be transferred from
Katwe police Station to Entebbe
Police Station.
Ten days after being beaten
into a coma, Mowzey Radio
died on Feb.01 at the intensive
care unit at Case Hospital in
Kampala and was buried on
Feb.03.
The bar where the brawl
happened was closed by the
Entebbe Town Clerk, Lutaaya
Dan Fred immediately when
news of the singer’s demise
started circulating.
open for the new term.
Some of the concerns pointed
out by the Ministry are that the
academies have no qualified
teachers and that their curricu-
lum and structures have not
been cleared for operation.
The controversy between the
schools and the Ministry started
a year ago that led them to go
to courts of law where they
agreed to abide by the Minis-
try’s requirements in order to
operate.
EU gives 100,000
Euros aid to
Congolese refugees
Congolese refugees living in
Uganda are set to benefit from
aid to the tunes of 100,000 Euros
from the European Union.
According to a statement by the
EU, the money will be available
to the International Federation
of Red Cross and Red Crescent
Societies and that initially
assistance will go the fields
of health, sanitation, water
and hygiene where Red Cross
staff will engage in outreaches
and providing psycho social
support.
“Renewed fighting and
atrocities in DRC are driving
thousands of Congolese from
their homes. After the long
journey, many of them arrive
in the refugee settlement
weakened and destitute. EU
funding is being released to
increase the safe water supply
and improve sanitation,
hygiene and health services.
It is crucial that we provide
dignified living conditions and
prevent disease outbreaks,” said
Isabelle D’Haudt, head of office
for EU civil protection and
humanitarian aid in Kampala.
Uganda is host to about 240,000
Congolese refugees whereby
just between December and
January this year over 14,000
refugees arrived in the country
via Kisoro, Kanungu and Lake
Albert. The refugees say that
they fled the country following
the springing up of violence that
left some dead and property
looted. Most of the refugees are
from Congo’s North Kivu and
Ituri provinces.

Feb 09 - 15, 2018 5

Week
Lord Mayor cancels
council meetings
Kampala city Lord Mayor Erias
Lukwago on Feb.05 suspended
all council meetings until a work
plan for the Kampala City Coun-
cil Authority is developed.
Speaking to journalists, Luk-
wago said the technical team
had resolved to boycott council
meetings and that it didn’t make
sense for him to continue conven-
ing meetings without them. He
therefore said the meetings will
resume after management reach-
es a decision on how business of
the authority will be handled.
This move comes two weeks
after a melee ensued at city hall
when councilors tried to bar the
technical team from moving
out of the meeting following an
announcement by Minister for
Kampala Beti Kamya that the
meeting was illegal. The Minister
had earlier announced that her
office would evaluate all meet-
ings that have taken place both at
KCCA and division councils since
May 2016 when the lord mayor
took over office for a new term.
However, there has been
ongoing controversy between
the technical and political team
at the authority regarding how
decisions are made. It’s because
of disagreements, Samuel Sse-
runkuma the Acting Deputy
Executive Director said that they
resolved not to engage in any
meetings until their grievances
are ironed out. In a January 29
letter to Lukwago, Sserunkuma
complained that the conduct by
councilors when they held techni-
cal staff hostage was dishonorable
and disconcerted members of
management.
Government responds to OPM refugee corruption scandal allegation
Musa Ecweru Minister
of Relief, Disaster Prepared-
ness and Refugees on Feb.05
released a statement acknowl-
edging that government is
investigating an allegation of
corruption in the office of the
Prime Minister whereby offi-
cials are accused of mismanag-
ing and diverting funds meant
to cater for refugees who live in
Kampala. “We take these alle-
gations seriously. As such the
leadership in the Office of the
Prime Minister which oversees
refugee issues in the country in
collaboration with partners is
Makerere ordered to defend self over sexual harassment case
A student whose identity
has been withheld through
lawyers Isaac Ssemakadde and
Sheila Namahe recently sued
Makerere University for fail-
ing to protect her from sexual
harassment for the period 2012
to 2017 when she was at the
university. Hearing the appli-
cation on Feb.05, Justice Lydia
Mugambe issued a directive for
the university to file its defense
already seized of the matter and
is working with stakeholders
including the United Nations
system at different levels,” the
statement reads.
The UN and other big donors
have tasked the government
to take action on the culprits
after investigations revealed
that the number of refugees is
being inflated. In Kampala for
instance, it’s said the office has
more than 26,000 refugees regis-
tered to benefit from the various
donations but when they were
asked to turn up physically
to pick their share only 7000
in two weeks.
In response, Kibeedi and CO.
Advocates, the lawyers repre-
senting the university asked for
more time to study the applica-
tion in order for them to fail a
defense. They say they were
served late.
Meanwhile, in failing to pro-
tect her, the student contends
that the university violated
her rights to dignity, health,
appeared.
However, Uganda has been
rated highly as a one of the
most hospitable host to refugees
and asylum seekers with the
number of refugees living in
the country estimated to be up
to 1.2million. Most of the refu-
gees come from the war torn
neighboring countries of South
Sudan, Burundi, Democratic
Republic of Congo and Somalia
among others. The country
has an unusual open policy
that allows refugees to attend
school, do business and owning
land.
education, equality and non-
discrimination. In her applica-
tion, she asked court to prohibit
any person or organization
from publishing, telecasting or
broadcasting any information
connected to the subject matter
that may be used to establish
her identity.
The case is set to be heard
again on February 19

6 Feb 09 - 15, 2018

Humour Did you know?
Phone use even when
parked by road in
France is illegal

It’s illegal to hold your

phone on public roads in
France even when you’re
Singer Mowzey Radio passed away on Feb 1 after sustaining head injuries in a bar incident
pulled over to the side of
the road, whether you’re
blocking traffic or not. A
recent high court ruling
means that taking what
some consider to be a
safe step -- pulling over
to talk on the phone --
could still result in points
and a fine of 135 euros
(Approx.Shs600,000).
The High Court ruling
is not a new law, but it
clarified exactly what it
means to be “circulating
The Speaker of Parliament, Rebecca Kadaga, has protested what she called the ‘interference’ of the in traffic.” Now, it’s not
Judiciary in the workings of parliament. She asked the judiciary to stop intimidating the legislature.
enough to pull over and
cut the motor in order
to use your phone; you
have to be parked in a
designated spot. When
you’ve had an accident
or breakdown, however,
you are allowed to call or
text.
There has recently been
a rise in road deaths in
France and with noth-
ing much else to pin it
on, authorities are going
after scofflaw drivers
President Museveni and Cabinet have approved a Bill allowing 78 retiring judges to remain with their full
benefits, including salaries, as a way of appreciating their contribution to the country who text or call.

Feb 09 - 15, 2018 7


Inbox
Letters are
welcome !
The Editor welcomes short and
concise letters from our esteemed
readers on topical issues. Please
send them to:
The Editor, The Independent
Publications Ltd,
P.O Box 3304,
Plot 82/84 Kanjokya St,
Kamwokya.
Kampala,Uganda.
Email: editor@independent.co.ug
When a country
deserves Trump’s
description
Refer to: “Is America a shit-
hole country?”(The Independent
Jan.16).
When the rule of law is
frowned upon
When the most vulnerable of
us are not protected
When corruption is abated at
the highest levels of government
When plunder of the scarce
resources goes unrestrained
When dictatorship is
enshrined in the constitutions
When state tools of enforce-
ments are used to pillage, maim
and murder of their own citizens
When the hospitals lack the
basic sanitation needs but the
elite go abroad at the expense of
the taxpayer
When the political elites live
lavish lifestyles paid for by the
taxpayer
When local media houses
are coerced to air the leader’s
address without compensation
When goons work hand in
hand with the police force to
clobber political dissent
When a country has to bor-
row to construct a public latrine
When……..
That country deserves
Trump’s descriptive phrase.
Mulumba
8 Feb 09 - 15, 2018
Follow us on Twitter @
http://twitter.com/#!/ugandatalks
Follow us on Facebook @
www.facebook.com/TheIndependentMagazineUganda
What is a shithole anyway?
Refer to: “Is America a shit-
hole country?”(The Indepen-
dent Jan.16). This article reeks
of fallacies of diversion: The
straw man and the red her-
ring. You can’t just make up
your own definition of Ameri-
can slang words and terms
and then argue according to
your own personal made up
definitions. Learn the lingua
franca before you go down a
Mowzey would have lived
Refer to: “Ugandan top
musician Mowzey Radio
is dead” (The Independent
Online Feb. 01). That injury
that involved trauma and
coma needed serious man-
agement from UK hospitals
instead of those fool clinical
Mowzey: What’s killing musicians?
Refer to: “Ugandan top
musician Mowzey Radio
is dead” (The Independent
Online Feb. 01). But how
many of these young talented
Ugandan artists are going to
be sacrificed through beatings;
unknown assailants doing
whatever they do to kill one by
one? First it was AK 47, now it
is Radio, there have been fre-
quent attempts on Bebe Cool.
These kind of killings, we the
people of Africa; the people of
East Africa; we the black peo-
ple, are tired to see these kind
of killings done in broad day
light and we end up not seeing
Lessons from Mowzey death
Refer to: “Ugandan top
musician Mowzey Radio
is dead” (The Independent
Online Feb. 01). We shall miss
his wonderful vocals, but it
has become too much; some-
certain path.
“Shithole”:/nounvulgar
slang noun: shithole; plural
noun: shitholes; noun: shit-
hole; plural noun: shit-holes
“An extremely dirty, shab-
by, or otherwise unpleasant
place.”
“This place is a shithole, I
hope you know that”
If most African countries
were not shitholes you would
officers of Case Hospital who
should have forwarded the
patient immediately. Am so so
so angry with Case Hospital
management which scientifi-
cally knows the meaning of
traumas on a patient. Our man
died out of poor decisions by
action taken whatsoever. All
we see and hear is arrests that
amount to nothing productive.
We are so scared to enjoy
the night moments in places
where these music stars have
come to because we are going
thing has to be done the way
musicians are being killed.
You can imagine AK47, Dance
kumapessa, now Mozey. Most
musicians have been beaten
and just survived by God’s
News analysis Health Business
$3.55 billion Odinga swears in as ‘Panty Condom’ hits Rough terrain for lebratin
pipeline deal ‘People’s President Ugandan market Pioneer Easy Bus Ce g
Issue No. 506 Feb 02 - 08, 2018
Ushs 5,000,Kshs 200, RwF 1,500, SDP 8
Years
The fall of Kayihura's men
How the war between Kayihura
and CMI crashed Boda Boda 2010
www.independent.co.ug
not have so many of its citizens
risking life and limb to go to
the western world. Uganda is
extremely dirty and shabby.
For many it’s unpleasant.
Please stick to the proper defi-
nition of the word “shithole”
instead of diverting us with
arguments based on your own
made up version of common
terms.
Nowa Lubega
the poor local scientists. I wish
he was not in coma, he would
have decided to go to abroad
for treatment and he would
have lived.
RIP my bro.
Binobusingye Yoas
to start thinking that anytime
a killer could come and mass
murder by shooting or using
grenades or bombs to kill these
stars and we, the ordinary peo-
ple, become victims as well.
What is the police and all other
security operatives in Uganda
doing to stop this insanity?
My sincere condolences to
the family of Radio, his crew,
his music base, his fans and
to all Africans and all people
who love this young man and
the Ugandan talent at large.
For those keeping silent, you
should all be ashamed!
Abd El Hamiid
mercy. Remember Jose Cha-
meleon, Bebe Cool and others.
It’s high time you musicians
watched your movements.
R.I.P Moses.
Isaac Kirunda

Fashionable nonsense
By Andrew M. Mwenda
How the debate on governance in Africa is a toxic
combination of high emotion and little knowledge
I
t is fashionable across our continent to
condemn governments for poor deliv-
ery of public goods and services. This,
it is argued, is caused by corruption,
incompetence, and greed by our leaders.
This is captured in the modern lexicon as
“bad governance”. Yet in spite of many
changes of government, and with the ex-
ception of post genocide Rwanda, no poor
country can avoid this accusation.
I argued in this column last week that
what we call “bad governance” is not only
the most cost effective and cost efficient
way of managing power relations in the
context of poverty, it is actually the only
affordable way of doing so. But first let
me make a caveat.
My argument that poor countries have
poor delivery of public goods and ser-
vices because they lack sufficient funds
to do better is a statement of fact, not a
call for inaction. For every poor country
(or even a rich one) there is always room
for improvement. Allegations of corrup-
tion and greed are not false. But they are
not the fundamental reason our nations
perform poorly. The way our politicians
manage our nations has very little to do
with their character and much more to do
with our context of poverty.
Imagine the profile of the median voter
in a poor country. His/her income per
year is about $700 to $1,500, lives in a
mud house with rammed earth floor,
has two poor quality meals a day, buys
clothes twice in a year, eats meat once in
a month and has limited access to poor
quality education and health services.
These circumstances give such communi-
ties a set of moral values and expectations
of what better off people are supposed to
do for them. Equally the better off in such
communities have a clear sense of obliga-
tion when people come to them seeking
personal favours.
Now imagine two politicians seeking
the attention of this voter. Politician A is
public-spirited and promises improved
health and education services, water
supply and better roads to constituents.
Politician B is self-interested. He has sold
his house or depleted his savings or even
borrowed from the bank to run his cam-
paign. He also promises improved public
goods and services – because anyone can
do that. But he goes a step further and
also buys meat, rice or alcohol, t-shirts etc.
The Last Word
which he distributes to voters.
Promises of public policy can only
be delivered at a later date. So they are
uncertain. And voters know from experi-
ence that such promises rarely materi-
alise. This is largely because – even with
the best of intentions – our nations are too
poor to deliver on such promises. Politi-
cian B has added value to his campaign
by addressing the existential needs of his
constituents. So he has already delivered
something. For many years, I have wres-
tled with the morality of such politicians.
For most people, Politician A is pref-
erable. Politician B is corrupt because
he “bribes” voters. Here is the moral
dilemma: when Politician A campaigns at
a rally of impoverished voters, many of
whom are hungry, but does not address
their immediate existential needs and
instead promises them public goods and
services, to be delivered at some later
date, is he being moral? Whose morality
are we talking about?
Contrary to fashionable attitudes,
Politician B could be more moral within
the context of a poor rural community.
By giving voters rice, salt, and soap, he
is actually addressing their immediate
existential needs, something the state has
criminalised. Why?
The morality of our political institutions
is borrowed from Western countries. It
is not rooted in the values of our people.
Do voters consider a politician who gives
them food during an election campaign,
corrupt? In any case, we know that it
took very long for Western nations to
outlaw voter bribery. They did so after
the median income had crossed a par-
ticular threshold.
Studies by sociologists and political
anthropologists across Asia, Africa, Latin
America and even preindustrial Europe
show that voters do not see politicians
who “bribe” them as acting wrongly.
Indeed, in poor communities, the rich
legitimise their wealth by exaggerated
demonstrations of generosity. A leader
who is not generous loses legitimacy. And
giving is not only done during elections.
Once elected, politicians are inundated
with requests for personal assistance
from their constituents – to meet burial
expenses, pay medical and education
bills, and transport costs, etc.
This thesis has powerful implications
Opinion
on “governance.” How do politicians
meet these demands of their voters?
Their personal income is insufficient to
pay for them, so they must have alterna-
tive sources of income; hence corruption.
Therefore, the more democratic competi-
tion a poor country has, the more corrupt
its politicians will be. Simon Denyer’s
book, `Rogue Elephant; Harnessing the
Power of India’s Unruly Democracy’ is
a classic statement of this problem. In a
poor country, because delivering public
goods and services to all citizens is not
affordable, it is cheaper to win the hearts
of voters with gifts of rice, meat, salt, and
soap.
This incentive structure works in reverse
in rich countries. Imagine Norway, where
the income of the median voter is about
$73,000. Here the voter has a decent job,
lives in a nice apartment with all modern
appliances – a refrigerator, a washing
machine, a drier, television, cooker, run-
ning water, electricity, a car, etc. If he was
to accept the indignity of selling his vote,
he may ask for half a million dollars. If
one has to bribe 20,000 voters in a con-
stituency, it would cost $10 billion. This
makes voter bribery unaffordable.
Hence politicians in rich countries do
better by campaigning on the platform
of service delivery because the state
can deliver that, given its high public
spending per person. And because their
voters are well off they don’t need per-
sonal favours from individual politicians.
These can be affordably paid through the
state.
Politicians in poor countries face
impoverished voters who demand the
aforementioned small favours. These can
be paid for from the pocket of a politi-
cian better if they have access to unof-
ficial income to pay; hence corruption.
The state is too poor to pay for universal
access to public goods and services, even
if politicians genuinely desired to. There-
fore, it does better by allowing elites to
steal public funds and bribe voters. That
is the context in which we must wonder
how Rwanda, a very poor country, has
good service delivery. My cousin, Jude
Kagoro, a professor at Bremen University,
calls Rwanda’s political leaders magi-
cians. He is right.
amwenda@independent.co.ug
Feb 09 - 15, 2018 9
cover story

Saleh proposal on
ministries will fail
Museveni is the
problem, insiders say
By Haggai Matsiko

10 Feb 09 - 15, 2018

E
cover story
fforts by an undercover team
to study areas of wastage in
government departments with
a view to make public service
delivery leaner, less costly, and
more effective fear running into
trouble from an unlikely source; President
Yoweri Museveni.
This is after several heads of govern-
ment ministries, departments, and agencies
(MDAs) named among the most wasteful
dismissed the findings and recommenda-
tions of the undercover team led by Presi-
dent Museveni’s brother and confidante,
Gen. Caleb Akandwanaho aka Salim Saleh.
According to government documents
that The Independent has seen, all govern-
ment MDAs and projects named among the
most wasteful should have their contracts
terminated by June 30, 2018 in line with a
government directive under the Govern-
ment Rationalisation Plan (GRP).
According to the documents, the Ratio-
nalisation Plan is to be implemented over
three years in three phases. Phase One, last- President Museveni listens to former Prime Minister Amama Mbabazi at a meeting before the two fell out
ing six months to June 30, 2018, is the most
critical and will involve six main activities.
Activities include cabinet approval, which natural death,” one of them said.
has been done and President Museveni It should be remembered that in 2002,
setting up a Technical Adhoc Committee President Yoweri Museveni appointed a
to oversee the implementation of the ratio-
nalization, which is pending and seen as the Museveni’s committee of experts to study the problem
of the high cost of public administration.
main stumbling block.
Other activities include abolition of agen- government The committee wrote a report on how
Public Administration budgeting could be
cies with expired mandates and implemen-
swallows a total made more effective.

tation of new salary structures.
Makerere University Kampala, Uganda
Revenue Authority, Kampala Capital City
Authority, and Uganda National Roads
Authority (UNRA) were named among the
centres of wasteful government expendi-
ture.
Other wastage, experts say, manifests in
how roles are duplicated. For instance on
promoting investment alone, Uganda has
the Uganda Investment Authority (UIA), the
Exports Promotions Board, the Uganda Free
Zones Authority and the Uganda Tourism
Board. Proponents of the Saleh proposals
say one entity can have departments that
do what all these entities do and thereby
save the taxpayer a lot of funds that goes
into cars, fuel, salaries and allowances of
hundreds of officials employed by all these
entities that duplicate each other’s work.
The same applies, they say, to registration
services. Here, Uganda has the Electoral
Commission, the Uganda Registration
Services Bureau (URSB), the National Iden-
tification and Registration Authority (NIRA)
and the Directorate of Citizenship and
Immigration under the ministry of internal
affairs.
But a head of one of the authorities who
agreed to speak to The Independent only on
condition of anonymity noted that the prob-
lem of wasteful government expenditures
was not with the existing institutions but
Shs3.36tn
in wages
with the government’s tendency to “mix
up its priorities”. The head said the govern-
ment also either lacks the capacity or is not
interested in monitoring the implementa-
tion of established plans.
“It is not because of these mushrooming
agencies that we have failed to follow our
national development plans,” the official
said.
Even officials who support Gen. Saleh’s
findings and recommendations and also
spoke on condition of anonymity expressed
fears the proposals would fail. They said
President Museveni has not showed too
much interest in reforming public service
over the years.
“The dossier’s good proposals will die a
“There has been a proliferation of expen-
ditures on activities that escape the full
rigors of discipline through the annual bud-
geting exercise,” the report noted, “Whereas
spending on the core civil service has been
restrained, there has been an undisciplined
growth in spending on commissions, semi-
autonomous agencies and political appoint-
ments.
At the time, by 2000/01, Public Admin-
istration accounted for 20.2 percent of the
total budget outturn (excluding donor aid).
Months after Museveni’s directive, on
May 21, 2002, then Finance Minister, Gerald
Sendaula, at a Public Expenditure Review
workshop in Kampala also called for stron-
ger controls over the expenditures of Public
Administration.
“The Public Administration sector is
currently the second largest sector in the
government budget,” said the late Chris
Kasami, then-Secretary to the Treasury to
an audience of donors, private sector execu-
tives and government officials on May 21
2002.
The following year, the governor of the
Central Bank, Emmanuel Tumusiime-Mute-
bile also called on government to reduce
the fiscal deficit, which was being driven
by ever increasing Public Administration
expenditure and thereby increasing infla-
tionary pressures.
Despite being raised severally, these

Feb 09 - 15, 2018 11

cover story
concerns remained largely ignored and
the public administration sector has only
continued to expand. It is on the basis of this
that many remain pessimistic about Saleh’s
proposals.
Details of Saleh Dossier
Sources have also told The Independent
that the Saleh team was aware that their
proposals would attract backlash, and had
plans in place to defeat any opposition.
They also proposed that the reform of the
public service is phased. But since it came
out, the dossier has attracted reactions the
team did not anticipate.
One of the main recommendations of the
Saleh team was that government ministries,
departments, and agencies whose functions
are undesirable, overlap, or are duplicates
should be dissolved or merged and only
those that are unique in nature are retained.
President Museveni's cabinet
It was also recommended that since
these agencies are established by law, they
should be legally dissolved through an
act of parliament called a “Unitary Public
Agency Law”. It was further proposed that
all Agencies, Authorities and Commissions
would henceforth be subject to this law.
The Saleh team made these recommenda-
tions after finding that most of the wasteful
agencies were designed to “limit political
interference” in their operations.
“Agencies took advantage of this to
detach themselves from effective supervi-
sion and control of their mother ministries,”
the Saleh report noted, “They defied coordi-
nation and caused ‘Mandate Wars’ leading
to poor service delivery.”
The Saleh memo exposed duplications
and overlaps in ministries, departments and
agencies, wasteful spending, a bloated and
12 Feb 09 - 15, 2018
highly irrationalized wage bill, and how
government has been turned into projects
and consultancies.
The dossier notes that while government
had in early 1990s decided to shift public
service delivery and regulatory oversight to
semi-autonomous agencies on the urging
of donors, Uganda’s experience with the
mushrooming agencies has not been good.
“Service delivery is poor, the cost of run-
ning government has increased, and agita-
tion for higher wages has heightened,” the
dossier notes, “More worryingly, political
leaders who account to the public have lost
control over the technocrats.”
It added that while other countries that
implemented similar reforms had expe-
rienced similar problems, they had since
reformed to improve public service deliv-
ery.
Amongst these countries, the dossier
cites, Australia, New Zealand, USA, the
United Kingdom, Jamaica, and Ethiopia
among others.
As a result of a bloated government, the
Saleh dossier shows that Museveni’s gov-
ernment swallows a total Shs3.36 trillion in
wages, of which Shs1.7 trillion (51%) is paid
to workers in central government (including
agencies) and Shs1.6 trillion (49%) to Local
Government workers.
It revealed that agencies spend 10% more
on salaries than the mainstream public ser-
vice, yet they employ fewer people.
It noted that what it termed as the ‘mon-
ey-consuming’ Agencies are spending 15
times more on their employees compared to
the money-generating Parastatals.
In absolute terms, MUK, URA, KCCA
and UNRA are the top spenders on salaries.
Universities, research institutions, com-
missions and parliament spend over 66% of
their budgets on salaries and allowances. As
debate on reforming these entities goes on,
parliament is constructing chambers that
can accommodate about 500 legislators.
“Why should small Uganda have 500
legislators,” one of the backers of Saleh’s
proposals wondered, “Our economy is
too small, we cannot afford these sorts of
things.”
Mainstream government spends a rela-
tively lower proportion of their budgets on
workers.
It showed that general staff salaries in
Ministries are dwarfed by salaries for con-
tract staff.
As an example, the dossier shows that the
Finance Ministry spends Shs4.3bn on staff
salaries and a whopping Shs.18.7bn on con-
tract staff salaries. While the Health Minis-
try’s staff salary bill was Shs 5.8bn, contract
staff swallowed a whopping Shs16.7bn.
The report also revealed that duplication
of functions was spreading limited resourc-
es so thinly.
In agriculture, for instance, the dossier
shows that resources meant for provision of
inputs to farmers, totaling UGX 482.9 bil-
lion, were scattered among 17 MDAs in FY
2016/17.
According to the dossier, government
interventions in the agricultural sector are
scattered across 8 Directorates, 20 depart-
ments and 37 projects across 5 ministries, at
a total annual cost of Shs1.2 trillion.
Duplication had also affected skills devel-
opment, the paper revealed.
Government, it noted, spent a total
of Shs461 billion on skills development
in 2016/17. This was duplicated by the
Education Ministry (Shs216.3Bn), Gender

(Shs.178.3Bn), and Local Government
(Shs.66.3Bn).
The dossier also revealed that core imple-
mentation of public sector business across
government is being undertaken through
projects. In 2016/17, the projects totaled 209
and were worth Shs4.9 trillion.
The dossier revealed that a huge portion
of this money was being spent on non-cores.
“Government spent UGX 380.7 billion
in FY 2016/17 on consultancies, the dossier
noted, “Public servants are using this chan-
nel as a coping strategy to top up incomes.
The work they are supposed to do within
the Ministries is channeled to the consultan-
cies.”
The report added that public servants
also use consultancies as a sanctuary to con-
ceal their poor requisite skills for the work
they were employed to perform.
“In the ‘old’ system, policy and imple-
Uganda's parliament has over 400 legislators
mentation were both performed by Depart-
ments and Desks within the Ministries,
under close executive supervision,” the
dossier noted, “The current system shifted
regulatory and public service delivery func-
tions to agencies. Mainstream government
was restricted to the less visible role of
policy making.”
Museveni approves
In spite of the reservations surrounding
the recommendations, The Independent has
learnt that the Saleh team and its back-
ers are clandestinely lobbying for laws to
implement it. The move has sparked panic
within government circles, especially in the
so-called “wet” ministries, departments,
and agencies that have some of the biggest
budgets and opportunities for wasteful
expenditures.
The proposals have already been tabled
before President Museveni who is said
to be in full support. They have also been
discussed by cabinet and related laws
are expected to be tabled in parliament to
enable enactment of the reforms.
Saleh assembled a team that studied gov-
ernment and proposed the reforms. Those
close to him say the study was inspired by
in-fighting amongst government bodies and
a general sense of frustration about poor
government service delivery.
This had been a subject of intense debate
within the ruling party including in cabi-
net meetings and caucus meetings at the
Kyankwanzi-based National Leadership
Institute even before the 2016 elections.
In all earnest, the president’s brother
started working on these reforms after
the 2016 elections. Saleh had helped form
the new government as several would be
appointees and then serving ministers met
and were interviewed and vetted by him in
anticipation for appointment or reappoint-
ment.
Individuals like Brig. Henry Tumuku-
nde, who became Security Minister, and
Col. Kaka Bagyenda, an old contact of
Saleh, who turned up as the new Director
General of the Internal Security Organisa-
tion (ISO) are reported to be among those
who worked with Gen. Saleh on the public
service reforms. The Gen. Saleh memo was
finalized in a November memo that became
public in December through an Internal
Security Organisation (ISO) agent assigned
specifically to publicise it.
It is said that Saleh had for long been
reviewing government performance, espe-
cially from the time Prime Minister Ruhaka-
na Rugunda was appointed to replace
cover story
Amama Mbabazi. At the time, many insid-
ers felt that Rugunda who is not known
to be a workhorse, is 70-years old, and a
known lover of calm diplomatic life, would
have difficulty getting his hands dirty with
implementing government projects or sift-
ing for corruption in the murky corridors of
government.
Some attributed this to Rugunda’s calm
demeanor. Others said that over the years,
Mbabazi had accumulated a lot of pow-
ers that his word and directives carried as
much weight as Museveni’s. For instance,
in cabinet meetings, it was not unusual for
Mbabazi to rebuke ministers who were not
doing their job.
With Mbabazi out, Saleh became a de
facto fallback counterweight for Prime
Minister Rugunda’s perceived weak points.
Smart ministers and head of government
departments know that they occasionally
have to seek Gen. Saleh’s approval. In turn,
Gen. Saleh knows that he must seek Presi-
dent Museveni’s approval to implement
certain programs since he does not have the
proper legal mandate to act on his own.
In any case, Saleh knows that Museveni
is a micromanager who does not like any
activity – good or bad – to be under taken
without his express approval and involve-
ment. For Museveni, however, implement-
ing the reform in government entities to
remove duplicates, wasteful spending, and
the bloated and highly irrationalised wage
bill, is a political hot button. Museveni will
either not touch it or decide personally
which ministries, departments, agencies,
and individuals to touch.
Feb 09 - 15, 2018 13
interview

`Uganda’s oil sector

is on the right track’
Susan Eckey is Norway’s ambassador to Uganda. She spoke to The Independent’s
Ronald Musoke on the growing bilateral relations between the two countries.

Tell us about your impressions of Uganda How else have you been promoting trade here in both 2016 and last year. But don’t

U
since you arrived in 2015? between the two countries over the time forget that many more Norwegian com-
ganda is my first posting as a you have been here? panies come in just on private initiative. In
bilateral ambassador. I am a ca- In Norway, there is what we call the Uganda, the Nordic Embassies (Norway,
reer diplomat and I started my Nordic African Business Association Sweden, Denmark and Iceland) cooperate
foreign service in 1991. I have (NABA) which gathers high level very well with the Nordic Business
brought family and friends here to see all participants from Africa every Association (NBA), composed of
the beauties of Uganda. I love it very much October. This association is Nordic business interests.
here. My biggest impression has been very active and they really
meeting and speaking with people around try to promote Africa in the It has been 25 years of
Uganda to get an idea of what life is like Nordic countries. I know Norway assisting Ugan-
for Ugandans and I have found that very that Uganda gets invited da develop its electricity
interesting. and Ambassador (Zaake sector. What have been
Wanume) Kibedi who is some of the highlights
How would you describe the current rela- based in Copenhagen is of this cooperation?
tions between Norway and Uganda? very active. In 2016, Hon. We have been in
Our bilateral relations are excellent. We Peter Lokeris, the Minister Uganda’s energy sector
opened our embassy here in 1996 but we of State for Energy repre- contributing to the
had had relations with Uganda since the sented Uganda as well as generation, transmission,
1960s when young Norwegian Peace Corp the State minister in charge of distribution as well as
volunteers came here and made life-long Kampala. This year the Minister the legal framework and
friends. Uganda is a well-known country for the Presidency was among technical cooperation. We
(in Norway) and there are many families the invited dignitaries. We have have had Norwegian
and private citizens who have friends and had trade and investment experts
relations with their counterparts in Ugan- delegations come
da. We cooperate very well at the United
Nations and in the regional organizational
frameworks. In terms of bilateral coopera-
tion, we have supported Uganda in many
sectors; especially in the energy sector, and
also have engagements in human rights,
good governance, democracy and wom-
en’s and girls’ rights. In terms of trade and
investment, that too is increasing. We see
more Norwegian companies, in particular
those in the renewable energy field, look-
ing for opportunities in Uganda. We have
had several trade and investment delega-
tions to Uganda over the past two years.
We have a Norwegian company that has
shown interest in exporting Ugandan cof-
fee to Norway in an innovative way – by
subscription. They want to have as much
as possible of the value added here. Instead
of just exporting the beans, they want to
roast the beans here, package and market
so Norwegians can pick the coffee in their
mail boxes. There is also a company with
Norwegian investors which provides
sophisticated software to the financial sec-
tor in Uganda and in Norway.I am very
much excited about all these commercial
contacts.

14 Feb 09 - 15, 2018


advising the Ugandan government
in terms of the energy and petroleum
and environmental laws. Norwegian
companies, with or without Norwegian
aid money, have assisted in the work on
the Bujagali, Karuma projects and many
other hydro power developments here
in Uganda. We have financed quite a bit
the renewable energy sector, including
transmission and distribution, such as the
Nkenda-Hoima line. Lines must not just go
from one part of the country to the other,
but also reach the people. This is of great
need for Uganda so we hope that we will
continue to cooperate with the government
on those issues. I think that the bigger
picture of this cooperation has been that the
energy sector has been and remains a key
priority for Uganda.
How satisfied are you with your govern-
ment’s goal of helping Ugandans access
cheap and clean energy as a means of
fighting poverty?
Norway like Uganda has vast natural
resources; hydro power in particular, so we
have lots of experience and Uganda wants
to tap into that expertise. That is why we
are, or have been working with UEGCL,
UETCL, REA and ERA. Moving forward,
we would like to continue to cooperate on
the technical aspects rather than the old-
fashioned hardware cooperation. Last year,
we entered into an agreement with UEGCL
on training because we could provide the
expertise needed. The Ugandan authorities
know that they need to deepen and diver-
sify the competencies of their staff and they
know that we can supply that.
Norway has been an integral part of
Uganda’s oil story. How would you de-
scribe the journey so far?
We have had the Oil for Development
Programme in Uganda since 2008. It
consists of technical cooperation, expert
training and other advisory services. We
are currently in the second phase and the
third phase will start in April this year
(2018-2021). Many countries are interested
in learning from the Norwegian petroleum
experience through our experts.You have
already established many professional
entities and seeing from outside we think
that Uganda is well prepared. The Ugan-
dan managers and experts the Norwegian
experts meet here are highly professional,
very serious and very much interested and
dedicated to hearing about the Norwegian
system in order to adapt and then imple-
ment elements of it here. As a result of
Norwegian advice, the Uganda National
Oil Company, the Petroleum Directorate
and other agencies in this field have been
inspired by Norway although I know
that your experts have also gone to other
countries like Nigeria, Equatorial Guinea,
Trinidad and Tobago, Ghana, and Angola.
Uganda’s oil sector is on the right track but
it is important that the rules and regula-
tions; including the environmental and
societal aspects, are respected as you move
forward. Transparency on issues related to
this sector is a priority in Norway, an ele-
ment that also Uganda supports.
How do you suggest Uganda manages
its carbon footprint which will definitely
shoot up with the advent of oil produc-
tion?
First and foremost there are new technol-
ogies of producing oil. But you also have
laws and regulations and standards for
producing oil in the best possible way in
terms of containing Uganda’s carbon foot-
print. There are international systems for
mitigating and addressing the challenges
of such emissions. Norway, for instance, is
part of the UN system of REDD (Reducing
Emissions from Deforestation and Degra-
dation). This is something we adopted in
order to try to be as carbon neutral as pos-
sible even with oil and gas production.
Last year, the UN joint programme on
gender-based violence in Uganda, which
Norway was a part of, ended. What were
the learning experiences out of that pro-
gramme?
What we saw from that programme is
that there is need to have multiple inter-
ventions if we are to succeed in combating
gender-based violence. You have to engage
the men; you have to engage society and
the community. You also have to engage
the different agencies of the UN. We can
see that it is not enough to tell people that
you should stop hitting or abusing some-
one; you have to provide a system for peo-
ple to change behaviour. That programme
showed that there is need to cooperate
among the different Ugandan authori-
ties; the local police, the health personnel
and protection officers. When they work
together, violence is reduced.
How do you intend to further the gains
realised out of that programme?
Norway continues to support various
programmes which are aimed at combat-
ing gender based violence. I just invited the
United Nations and some other colleagues
for a meeting on how to go forward with
this programme. We agreed to continue to
cooperate closely; continue to inform each
other about what we do; continue to look at
the many aspects of gender based violence.
One is certainly in homes but we also had
this terrible experience from the infrastruc-
ture project where the World Bank had to
suspend the project (the Fort Portal-Kam-
wenge road). So I think that was a neces-
sary and important eye opener. The World
Bank is a new and committed partner and
is coming in to support the government
from the international partners’ side.We
interview
have to look beyond what we have done
before. We need to make sure that interven-
tions the international community supports
do not have a negative impact on women
and children and even men. What we have
learnt from the joint UN based programme
is that it is possible to reduce gender based
violence if Ugandan central and local
authorities, civil society organizations and
international partners work together.
How do you think gender based violence
impacts society?
First, you will have a large section of
society—those who are victims and survi-
vors of this violence— who will have very
difficult lives. The societal impact is that
they will not be as active and creative. The
UNFPA has tried to calculate this and they
say the economic impact of gender-based
violence is significant. We read almost
weekly in the newspapers about defile-
ment and maltreatment of school children,
in particular girls. They may stop attending
school, and even if they stay on,they are
traumatized and find it hard to concentrate.
And then you will have young girls who
grow up without an education, you will
have future mothers without basic educa-
tional skills. That of course affects society
when you have a population that can
hardly read and write, mothers and fathers
who cannot guide their children. Education
is one of the priorities of the Norwegian
government and that includes assisting in
terms of keeping young girls in school.
Your last word?
The issue that has been close to my heart
throughout my career is the role of women
(in society) and gender equality. There are
many women here in Uganda in key posi-
tions in society, in politics, administration
and business. However, I think there are
still opportunities for women, at all levels,
to be heard and to be seen participating
even more. Women should be treated
as equal citizens as men, in all aspects of
life. The United Nations Convention on
women’s rights (CEDAW) sets out the
international legal obligations to protect
and promote women. It is a key priority
for my government to ensure that there are
more women around the decision mak-
ing tables, making sure that the protection
of women happens in the construction of
infrastructure projects, making sure that
women have the right and access to land,
making sure that girls go to school and are
accessing sanitary facilities, and making
sure that women get justice when they are
violated. Impunity for gender based vio-
lence must end – in all countries. Women’s
rights are about human dignity and human
rights, and it is ultimately about what kind
of society we want to have – a just and fair
society for all.
Feb 09 - 15, 2018 15
news analysis

Sembuya’s chocolate dreams

Young entrepreneur exploits well-kept secret
By Andrew S. Kaggwa

T
hat Uganda has the largest single
owned cocoa farm in Africa is per-
haps one of the best kept secrets –
and Stephen Sembuya, the co-owner
of the cocoa trading and processing firm
Pink Foods Industries, was born into it.
The cocoa farm, which is on about one
square mile – or 640 acres - is in Nkokon-
jeru sub-county in Buikwe District on the
edge of Lake Victoria in the central region
of Uganda. Sembuya’s grandfather planted
the trees 53 years ago and, over this period,
three generations of the Sembuyas have
been exporting dried cocoa seeds to Europe.
But the young Sembuya who trained
in marketing at the prestigious Makerere
University Business School (MUBS) is deter-
mined to change that - by building of a mul-
tibillion shilling factory to process the beans
into chocolate at home.
Sembuya appears to have been bitten by
the industrial entrepreneurship bug from
his father, Christopher Sembuya. He was a
partner with his deceased young brother,
Henry Buule, in what in the 1980s and
early 90s was once a household name; the
Sembule Group of Companies which dealt
in banking, steel smelting and metal fabrica-
tion, and electronics production of radios
and televisions.
Though no longer in existence Sembule’s
name still remains as the village where the
industries are located in the Nalukolongo
in Kampala City’s Lubaga Division is still
called Sembule Zone.
Pink Foods is already producing choco-
late, mainly in huge lumps for industrial
use and a few bars for sale to the public in
supermarkets. Volumes might rise dramati-
cally in March this year when installation of
machinery is completed at the US$1 million
(Approx. Shs3.6 billion) factory being built
about two kilometers from Kyanja trading
centre in Nakawa Division of Kampala City.
“When this factory is finished,” Sembuya
who is the Chief Executive Officer of Pink
Foods Industries says, “The days of people
thinking of chocolate as a luxury will be
over as it will be more affordable than even
bread.”
He was speaking from his office in a
not so big building which currently serves
as the production station. Later, he takes
me to the storerooms and shows me one
of the chocolate lumps –weighing a kilo
– and says they sell it to confectioneries at
Shs25,000. He says they cut similar blocks
into small bars and sell to supermarkets, Sembuya shows chocolate before being turned into chocolate bars.

16 Feb 09 - 15, 2018


hotels, and restaurants.
At present Pink Foods needs 500 kgs of
cocoa beans for an eight hour shift per day
and employs 120 workers both on the farm
and the factory. They get most of this from
the farm in Nkokonjeru. But they also have
out-growers in several parts of Buikwe
District.“After the completion of the factory
we shall double or even triple our present
input but of course we shall need more cocoa
beans,” says Felix Okuye, the Executive
Director and co-founder of Pink Foods.
As part of the plan, Okoye says Pink Food
is banking on the over nine million seed-
lings which the government gave to farmers
under Operation Wealth Creation to increase
production in the cocoa growing areas.
The dream starts
Sembuya says they got the idea of adding
value to cocoa way back in 2009 but first had
to research several aspects of the business;
for instance on the market. He says, how-
ever, they were only able to go into produc-
tion in 2014.
Apart from chocolate, other products
Pink Foods Industries produces are cocoa
butter, drinking chocolate, and cocoa beans
for export.
Sembuya and Okoye say the views many
people have about chocolate are mispercep-
tions.
“Many people say they can’t afford
chocolate because they have not entered a
supermarket to buy a chocolate bar but if
one eats cakes then you know you are indi-
rectly eating chocolate because it one of the
ingredients,” he says.
They explain that chocolate does not have
to be expensive.
“People say chocolate is a luxury because
of the cost,” Okoye says. He says the reason
for the high price is because Uganda, and
most cocoa growing African countries, have
been exporting unprocessed cocoa beans to
Europe and importing chocolate from coun-
tries like Switzerland at a high cost.
“Chocolate which is produced here
should even be cheaper than bread,” Okoye
says. He explains that, apart from the pack-
aging materials, all raw materials they use
to make chocolate at Pink Foods are locally
produced unlike bread where wheat which
is the main ingredient is imported.
Another likely success for Pink Foods
chocolate is the emphasis placed on quality.
In order to maintain quality of inputs, Pink
Foods insists on buying cocoa pods fresh
from the farm of their out-growers and pro-
cessing them.
Okoye says they keep in touch with the
farmers and, on a harvest day; move out
with lorries, weighing scales, and containers,
to collect the fresh cocoa from the farms. At
the farms the cocoa pods are cut and the wet
cocoa seeds with its pulp are weighed and
the farmers paid on the spot.
Because they get fresh cocoa beans from
the farmers, they calculate the pay at the
ratio of 100 kgs of fresh cocoa to 30-40 kgs of
what they would have paid if they were dry.
The ratio depends on the season which
has an effect on the moisture content. There-
fore, if a farmer supplies them with 100 kgs
of fresh beans they pay them the equivalent
of what they could have paid for 30-40kgs of
dried beans.
Okoye says although they buy fresh cocoa
pods instead of dried beans, they ensure
that the farmers get a fair price because they
operate under the Fair Trade arrangement
where they are supposed to pay competitive
prices to farmers for their produce.
“Like for other products sold on the inter-
national market, we have to continuously
be online to monitor the stock exchange to
know what the international prices are,”
Okoye explains.
From the farms, Sembuya explains that
the cocoa beans are taken to the factory
where the pulp is removed and they are put
in wooden boxes for fermentation. This pro-
cess usually takes about seven days.
A girl eat chocolate produced by Pink Foods
After the fermentation the beans are put
out to dry or using solar driers and this
process takes between five to seven days
depending on the weather. After this, the
husks are removed from the brown beans
which are then taken to the industry for
processing depending on what product they
want.
The cocoa business
Sembuya says that at the moment they
use about 11 tonnes of dried cocoa beans per
month with four tonnes coming from their
farm and seven from the outgrowers. Apart
from their farm and outgrowers in Buikwe at
times they have to get cocoa beans from dis-
tricts as far Bundibugyo, which is the largest
cocoa growing district, Luweero, Kayunga
and Mukono.
Under their umbrella association called
Cocoa Farmers and Chocolate Processors
Association they also carry out training.
For those wishing to invest in cocoa grow-
ing Sembuya says you need about 400 cocoa
news analysis
seedlings per acre but they advise the cocoa
to be interplanted with trees preferably
‘musizi’ for shade. He explains that from
the day of planting a seedling, if well looked
after a cocoa plant takes only two years and
is ready for harvesting.
The harvesting can go on for another
80-100 years and he gives the example of the
cocoa in the West African countries of Ivory
Coast and Ghana which is now about 100
years since being planted when the colonial-
ists came to Africa but they are now just
talking of replacing the trees.
“Another good thing with cocoa is that
it has not been attacked by any serious dis-
eases like for coffee and they only deal with
the black mites; which are controlled by light
spraying,” Okoye says.
Cocoa tourism
Apart from producing the cocoa pods
from which the cocoa beans for the produc-
tion of chocolate is made, Sembuya says they
also use the farm for chocolate tourism and
chocolate classes.
“There are many people who don’t know
that chocolate is produced from cocoa on
farms so we allow them to have guided
tours on our farm and take them through
the process of how chocolate is produced
and many are surprised when they discover
the chocolate they buy from supermarkets
comes from,” Sembuya says. He explains
that most of the tours are organised by
schools.
On the way forward they say they are
doing research on how to turn the husks
from cocoa into chicken feed like it’s done
for maize barn and rice husks. They are also
looking at a possibility of turning pods into
soap and the pulp juice into wine.
“Our vision in 10 years is for Pink Foods
Industries to be the leading food business in
Africa,” Sembuya says.
Since they are in the Fair Trade arrange-
ment, where they are required to give back
to the community, Sembuya says they have
plans to build a health centre in Nkokonjeru
Town Council.
Sembuya’s business style
Sembuya says he has a good relationship
with his father who gives him advice almost
on a daily basis on how to run the business.
“One thing he warned me about is taking
on bank loans,” Sembuya says and explains
that Uganda does not have development
banks but only commercial banks which are
only after maximizing profits and its why
they charge high interest rates and end up
selling off properties of people who fail to
pay their loans.
Indeed Sembuya and Okoye say the
money they are using to construct the new
factory is not a loan from a commercial bank
as many banks did not understand their
business plan and were asking for unrealistic
security and collateral.
Feb 09 - 15, 2018 17
news analysis
Africa’s new man at IMF
Top job for South African Lesetja Kganyago
gives African countries sway
By Danny Bradlow
S
outh Africa’s Reserve Bank Gover-
nor, Lesetja Kganyago, has been se-
lected as the first sub-Saharan African
to serve as chair of the International
Monetary and Finance Committee. The
chair is appointed by consensus. The three-
year appointment is not only an impressive
personal achievement; it’s also a significant
opportunity for South Africa and the African
continent.
The finance committee plays an important
role in global economic governance. Its 24
members, who are ministers of finance and
central bank governors, represent constitu-
encies of the International Monetary Fund’s
(IMF’s) Board of Governors. It meets twice
a year to discuss an agenda prepared by
the IMF’s managing director and the com-
mittee’s chair. Its mandate is to advise the
board of governors which is the IMF’s high-
est decision making body. The committee’s
remit is to oversee the “supervision and
management of the international monetary
and financial system” and to provide strate-
gic guidance to the IMF’s management and
board.
Kganyago is becoming chair at a sensitive
time. For almost 70 years, the global econo-
my and global economic governance institu-
tions like the IMF have been dominated by
the U.S. This dominance had been slowly
eroding. Under President Donald Trump the
process is accelerating. The U.S appears to
be retreating from full engagement with the
world and is rapidly losing its authority as
the responsible leader of the global order.
This fluid situation will create both oppor-
tunities and risks over the next three years.
If well managed, the changing balance of
forces could lead to global economic gov-
ernance arrangements that are more repre-
sentative and more focused on promoting a
sustainable and inclusive global economy.
But if mismanaged, they could precipitate a
breakdown and generate a more volatile and
anarchic global economic environment.
The IMF will play an important role in
shaping the international community’s
responses to these opportunities and risks.
Its views will influence the advice it gives its
member states, the conditions it attaches to
the financial services it offers them, and its
selections of topics for its publications and
research activities. They will also affect its
willingness to adapt its governance arrange-
ments to the changing global order.
18 Feb 09 - 15, 2018
The IMF’s high profile and the role of the
finance committee in its affairs mean that
Kganyago’s appointment creates the oppor-
tunity for some African gains in international
economic diplomacy.
Opportunities
Given the realities of global power rela-
tions, African countries must measure prog-
ress in international economic diplomacy in
millimetres, not centimetres.
At its core, global economic diplomacy is
about how the global economy is structured,
how decisions about its functioning are
made and whose interests it serves. Unsur-
prisingly, the rich and powerful countries
have the strongest voices in global economic
governance. They pay careful attention to
issues that affect their interests and their con-
trol over the global economy. The realities of
power mean that they are likely to get their
way on these issues, regardless of the merits
of their views.
But developed countries also know that
there is a cost to imposing their views on
other states. As a result, they tend to be more
open to persuasion on issues that affect
them less directly. Thus, at the margins,
African countries can expect to win some
concessions. But this will only happen if
they are clear-eyed about global political and
economic realities. They will also need to
carefully pick their issues to effectively make
their case. The scope for making gains obvi-
ously expands if their representatives play a
leading role in the institutions of global eco-
nomic governance.
How can they make the most of the
opportunities created by Kganyago’s
appointment?
Gains to be made
First, although the global economy is in
better shape, it’s still subject to a great deal
of uncertainty. As major central banks raise
interest rates they could cause problems for
sovereign and corporate debtors in develop-
ing countries. There are also significant geo-
political, technological, and environmental
risks. Having an African as chair of a major
global economic governance committee
could help ensure that the concerns of Afri-
can countries receive appropriate attention.
Second, as the global order evolves, more
attention will need to be paid to adapting
the governance of the IMF and the other
institutions of global economic governance.
Inevitably, most attention will be paid to the
concerns of the major powers– old and new.
The interests of Africa, the most under-
represented region in global economic gov-
ernance, can easily be ignored in this context.
But having an eloquent and respected Afri-
can as the chair of a major committee will
mitigate this risk.
Third, Kganyago’s appointment can facili-
tate better relations between Africa and the
IMF. Historically, many African countries
have found the social cost of its assistance
extremely high. Nevertheless, there are
a number of African countries, including
South Africa, which could find themselves
being forced to seek IMF assistance over
the next three years. In this event, having a
senior government official in a high profile
international finance position could be very
helpful in facilitating dialogue with the IMF.
Kganyago can help make sure that the
IMF fully understands the governance and
institutional challenges that African coun-
tries face. This should help in the push to
create sustainable and inclusive economies
that have a realistic chance of meeting the
2030 sustainable development goals.
Kganyago’s appointment creates the pos-
sibility for African countries to move global
economic governance a few millimetres in
their direction. It’s not an insignificant devel-
opment in international economic diplo-
matic terms. Danny Bradlow, SARCHI
Professor of International Development
Law and African Economic Relations,
University of Pretoria
Source: The Conversation
 rwanda

The pride of liberators

3 Rwandan war heroes give moving
testimonies on 24th Heroes Day
By Francis Byaruhanga

J
onathan Muvunyi was 18 years
old but already fighting to
liberate his country with the
Rwandan Patriotic Front (RPF)
when he was injured in 1994. He was
hospitalised in Byumba from 1994
to 2008. The government built him a
free house. He adopted three children
and his last-born is graduating from
university this year.
“I am so happy for my country’s
development,” he says, “We got what
we fought for.”
Protogene Biraguma was also 18
years old and a fighter with RPF
when he was hit by enemy bullets
in Kibungo, now Ngoma. He was
hospitalised in Kibungo Hospital from
1994 until 2008. The government later
gave him a free house to live in and
start his own business.
John Ndekezi, President of the
Injured Soldiers of the War, Kibaya
Village, says he joined the army in
1991 and got accident while driving at
Ruhengeri. However, he says, despite
the resultant physical disability which
led him to start using a wheelchair,
he is well and looking after his two
children and three that he adopted.
“We really thank our leadership
for always remembering us,” he says,
“They didn’t let us beg for food on the
street.”
These are some of the moving
testimonies that Rwandans heard on
Feb.01 as they marked Heroes Day
with celebrations organised at village
level under the theme of “upholding
heroism to build the Rwanda we
want”.
At national level, President Paul
Kagame and other senior government
officials laid the wreath on the graves
of the Heroes at National Heroes
Mausoleum in Remera, Kigali.
The Chairperson of the Chancellery
for Heroes, National Orders and
Decorations of Honour, former Prime
Minister Dr. Pierre Habumuremyi,
said heroism with a Heroes Day lies
in the need to preserve the good
example that was set by some of the
freedom fighters and that other young
Rwandans could emulate them.
He said the country was liberated
through the miracles and added,
however, that many individuals made
sacrifices and they need to be honored.
Some speakers at the grassroots,
such as Sylvestre Nyandwi; the
Executive of Kamashahi cell in
Kanombe, Kigali, said there is a

Feb 09 - 15, 2018 19

rwanda
need to teach heroic virtues to the
youth so that it could be a legacy to
all Rwandans. He urged the youth
present at the function to shun vices
like drug abuse, prostitution, and
alcoholism that could potentially ruin
them and limit them from becoming
Rwanda’s future heroes.
“You cannot grow in the destructive
lifestyle and then expect to be a
hero,” he said and cited some of the
Rwanda’s prominent heroes including
Michel Rwagasana, King Rudahigwa
and Fred Gisa Rwigema.
Legacy of heroism for youth
Aridee Ntwari , the Executive
Director of the Foundation for the
Youth Future; an organisation that
fights drug abuse and promotes the
betterment of the youth, said heroes
day means conserving what was
achieved. He added that the present
generation must foster development
through mobilising the youth to avoid
vices that could hinder development
of the generation of tomorrow.
Felix Manzi, The program officer,
National Youth Council, advised the
youth against aping negative western
culture that erodes the rich Rwandan
culture. He named the rate at which
the youth are discarding the names
of their forefathers in favour of
western names as a form of cultural
imperialism. He said it is better to
retain the names of their forefathers
and urged the youth to embrace heroic
values and practice them through
finding solutions of their problems.
For instance, he said, the main
contemporary problems are the lack
of jobs and unemployment. He said
youth could turn these challenges into
opportunities.
The Injured freedom fighters
speak out
However, as these reports show, it
is the testimonies of the survivors that
are the most moving. The Independent
bring you some of them:
PROTOGENE BIRAGUMA
was injured in 1994 in Kibungo,
now Ngoma. He was 18 when he
was Injured by a bullet, he was
hospitalized in Kibungo hospital from
‘94 until 2008. He received a house and
started a business, the bar he owns.
He says he was inspired by other
heroes of Africa who fought and
liberated their countries like Mansa
Musa, Shaka Zulu,King Menelik II of
Ethiopia, Mwanga of Buganda, and
many more others. He says those
heroes fought colonialism and, as a
result, some of their countries – like
20 Feb 09 - 15, 2018
Protogene Biraguma
Ethiopia, were never colonized.
JONATHAN MUVUNYI was 18
when he was injured in 1994. He
was hospitalised in Byumba from
1994 to 2008, when he received a
house. He adopted three children
and his last-born is graduating
from university this year.
“I am so happy for my
country’s development,” he says,
“We got what we fought for.”
He says todays heroism should
be shown through development
and economic prowess of the
country as the war of bullets has
been put to an end.
JOHN NDEKEZI, President of
the Injured Soldiers of the War,
Kibaya Village, says he joined the
army in 1991 and got accident
while driving at Ruhengeri.
Jonathan Muvunyi However, he says, despite the
resultant physical disability
which led him to start using a
wheelchair, he is well and looking
after his two children and three
that he adopted.
“We really thank our leadership
for always remembering us,” he
says, “They didn’t let us beg for
food on the street.
“When we were fighting
during the war we had the right
cause of ending refugee hood,
seclusion, and ethnic division
among other bad governance
practices. Though, this meant that
our brothers attacked Rwanda
as a result of the need to end the
dictatorial regime, on a positive
note all that we were fighting
for was achieved. Therefore, we
have no regrets for losing the
John Ndekezi physical fitness of our bodies while
liberating the country,” he says.
State-owned enterprises
saddled with losses
U
By Julius Businge
ganda’s state-owned enter-
prises seem to be bleeding.
The latest Auditor General’s
report shows that five out of
the 29 state owned enteprises
recorded losses in the recent
two consecutive years.
They include; Bank of Uganda (BoU)
whose loss reduced from Shs 164bn in
FY2015/16 to Shs 72bn in FY2016/2017;
Uganda Electricity Distribution Company
Limited whose loss increased from Shs 9bn
in FY2015/16 to Shs 16bn in FY2016/17; Man-
dela National Stadium whose loss almost
doubled from Shs 323 million in FY2015/16
to Shs 669 million in FY2016/2017; Uganda
Seeds Limited’s loss reduced from Shs 67
million in FY2015/16 to Shs 48 million in
FY2016/17 and NEC Tractor Project recorded
a loss of Shs 126 million in FY 2015/16 com-
pared to Shs 31million in FY2016/2017.
The Auditor General, John Muwanga,
cited poor corporate governance, wasteful
expenditure, and inadequate staff in some
of the enterprises as some of the reasons
behind the entities poor performance. He
also cites government’s laxity in monitoring
these enterprises.“Government is advised
to review the operations of these enterprises
with a view of turning them into profit mak-
ing organisations,” the AG’s report reads
in part. He also said management of the
affected entities needs to ensure adequate
financial planning and adherence to regula-
tory requirements in order to avoid wasteful
expenditure. Beyond the five enterprises that
recorded losses for two consecutive years,
the report notes that 10 companies witnessed
a decrease in profitability while 16 recorded
improvement in profitability during the
same period under review. For instance,
Kilembe Mines Limited saw its profits tum-
ble from Shs 35bn to Shs 440 million, Nile
Hotel International Limited from Shs 12bn
to Shs 1bn and Uganda Post Limited from
Shs 1bn to Shs 4.4bn loss. Uganda Electricity
Generation Company Limited saw its profits
plunge from Shs 13.5bn profit to a loss of Shs
13.9bn during the same period under review.
Only one state-owned enterprise, Uganda
Property Holdings Limited, declared a
dividend for the year under review amidst
recording Shs 2.9bn loss in FY2016/2017 com-
pared to a profit of Shs 1.4 billion recorded in
the previous financial year.
John Muwanga
Cash, debt and asset use
The AG, however, said their analysis
shows that the state enterprises liquidity
ratio is still within the threshold and are
therefore still able to meet their current or
debt obligations and still be able to fund their
operations.
He said the higher the ratio, the better,
adding that the ideal liquidity ratio threshold
is one (1). “I noted that the liquidity ratio of
24 entities were above the threshold while
five entities were below the threshold. I fur-
ther observed that 12 out of 29 entities had
improved their rations from the previous
year,” Muwanga said, advising the govern-
ment to ensure that liquidities are improved.
He explained that although the risk levels
vary from industry to industry, a debt ratio
of more than 50% is not considered ideal.
He noted that eight enterprises had debt
ratios of more than 50% implying that their
total assets were not sufficient to cover their
total debt.
He identified those enterprises in red in
terms of debt ratios as NHCCL, UEGCL,
UETCL, UEDCL and NWSC indicating that
more of these enterprises’ assets are being
financed by debt.
On a positive note, some entities have
reduced their debt-to-asset ratio in the year
under review compared to 2015/16.
For state entities with more than 50% debt
ratio, the AG says, there is need to strengthen
their internal operations and ensure proper
balance of use of debt.
The other indicator that the AG con-
sidered was; Return on Assets (ROA) – a
measure for the profitability of an enterprise
relative to its total assets and how efficient
management is using the enterprise’s assets
to generate earnings.
The AG report indicates that some enter-
prises performed worse in FY2016/17 than
the previous year on ROA. These includes;
Kilembe Mines Limited, Nile Hotel Interna-
tional Limited, NEC construction Works and
Engineering. Overall, compared to the previ-
ous year (2015/16), 11 entities had improved
their ROA, the AG report reads in part.
“Government should review the poor
performing entities with a view of coming
up with a strategy to revamp performance or
else recommend divesture,” he said.
One of the components in the revamp-
ing strategy, the AG says, would be for
government to capitalize and revamp the
operations of some of these enterprises since
its policy to invest in critical sectors of the
economy makes a lot of sense.
Responding to the issues raised by the AG,
Finance Minister in charge of investments,
Evelyn Anite, told The Independent that the
government respects the AG report find-
ings and would study enterprises and make
necessary adjustments regarding their opera-
tions. She said that the Ministry of Finance,
the Office of the Prime Minister and that of
Public Service are working on proposals for
possible merging of some of the state enter-
prises and agencies as directed by President
Yoweri Museveni towards the end of last
year. “The Auditor General’s report is com-
ing as a reinforcing measure or tool in line
with the President’s directive,” Anite said.
Independent experts hold similar views
but differ in some ways. William Nyakatura,
the corporate advisor at the African Alliance
Uganda Limited and Lawrence Bategeka, the
Member of Parliament for Hoima Municipal-
ity and vice chairperson for the committee
on national economy in Parliament told The
Independent that closing non-performing
enterprises would not be a viable option as it
would not only increase unemployment but
also create a monopoly market for private
players.
“State enterprises have to be there to check
prices in the market,” Nyakatura said.
Bategeka said: “Divesture was advanced
for clear reasons and that has never gone
away; instead of us having these loss making
enterprises, we would rather have alternative
ways of delivery of those services through
private sector partnerships.”
Feb 09 - 15, 2018 21
business
New accounting standard to make
loans, insurance more expensive
Experts say financial institutions to
prefer extending short term loans
By Isaac Khisa
U
ganda’s banking and insurance
industries are envisaging good
times ahead as they embrace the
new global accounting standards
effective this year.
The bad news is that borrowers and
insurance buyers are going to find it more
stressful to acquire long terms loans or
debt facilities as the two industries increase
scrutiny of their activities and requirements
for worthy collateral.
The new accounting standard known
as International Financial Reporting
Standard 9 or IFRS 9, which came into
effect last month, requires banks and
insurance companies to make appropriate
provisions in anticipation of future potential
losses, rather than the former practice,
International Accounting Standard 39 (IAS
39) , of providing provisions only when
losses are incurred.
This signals that banks as well as
insurance companies that offer their policy
covers on credit will have to recognise
provisions from the day they extend any
loan or service or credit to minimise losses
that could lead to their collapse.
For that, financial experts say the cost of
accessing loans and other financial services
on credit are expected to go up as banks
and insurance companies make potentially
higher provisions, especially for clients
with high credit risk profiles to cover up
potential credit losses.
Financial institutions will also restructure
their credits, emphasising short term
loans compared with long terms loans to
minimise chances of default, says Paddy
Mugambe, a consultant on Financial
Management at the Uganda Management
Institute.
“Additionally, financial institutions
will reduce unsecured loan facilities to
customers within the transition stage
of IFRS 9 replacing IAS 39,” he told The
Independent in an interview.
Mugambe said financial institutions will
also see reduced profits being reported
due to higher credit provisions being
recognized, a situation that could lead to
capital depletion in the short run.
22 Feb 09 - 15, 2018
He said the new reporting standard
will drive credit facilities towards sectors
or industries that are doing well and less
to those sectors or industries suffering, a
scenario that would see various sectors that
are deemed riskier experience stagnation in
growth.
In the long run, however, Mugambe says
the new reporting standard will enhance
and improve on their client screening
processes before the extension of especially
long term loans and this will most likely
reduce on the default rates on such loans.
“The new standard will also lead to
increased efficiency owed to the need to
review the expected credit loss annually
Emmanuel Tumusiime Mutebile with a view of avoiding use of life expected
credit loss,” he said, adding that the new
financial standard will ensure that banks
and insurance companies are adequately
capitalised.
The development of the IFRS 9 in 2014 by
the London-based International Accounting
Standard Board (IASB), was in response to
the 2008/9 global financial crisis in which
financial institutions were unable to book
accounting losses until they were incurred
even when they could see them coming.
The new standard deals with accounting
for financial instruments such as loans and
advances, customer deposits, government
securities, cash, borrowings, other debtors
and creditors as well provides guidance
in classification and measurement,
Paddy Mugambe impairment and hedging of these financial
instruments. This is to ensure that financial
institutions recognise and account for risk
more prudently.
The IFRS 9 also introduces a new
requirement of calculating credit risk
associated with credit and overdraft limits,
letters of credit, performance and financial
guarantees and requires that institutions
recognise risk of default at the beginning
and during the entire credit life cycle.
“Financial sectors especially banking
has been vibrant with extending loans that
do not need collateral security,” Frederick
Kibbedi, the vice president of the Institute
of Certified Public Accountants of Uganda
(ICPAU) told The Independent.
“Financial institutions will now need to
Fabian Kasi factor in securities held as collateral on loans
 IFRS  9  is  not  a  converged  standard.  

Overview  of  the  model  

business











-­






  for  
bearing in mind on how they
will be sold in case the client
IFRS 9 model
impairment  based  on  changes  in  credit  quality  since  initial  recognition:  
fail to pay back the loan.”
Kibbedi said there’s going Change  in  credit  quality  since  initial  recognition
to be ‘too much’ pressure
on customers to repay their
loans or credit as financial
institutions strive to minimise Recognition   of  expected  credit  losses
any chances of default.
This new development 12-­month  expected  credit   Lifetime  expected  credit   Lifetime  expected  credit  
comes at the time the country’s losses losses losses
banking industry anticipates a
slow growth in their profits for Interest  revenue
2017 as a result of slow private
sector credit uptake amidst Effective  interest  on  amortised  
Effective  interest  on  gross   Effective  interest  on  gross  
a reduction in interest rates cost  carrying  amount
carrying  amount carrying  amount
from an average of 24% last (that  is,  net  of  credit  allowance)
February to around 18.9% at
the moment. Stage  1 Stage  2 Stage  3
Latest data from Bank Performing Underperforming Non-­performing
of Uganda shows that the (Initial  recognition*) (Assets  with  significant   (Credit-­impaired  assets)
banking industry’s net profit increase  in  credit  risk  since  
dropped from Shs541 billion initial  recognition*  )
How loans  
in December 2015 to Shs302
billion in December 2016 citing will be will
(*)  There  is  specific  guidance  on  purchased  or  originated  credit-­

 


 
 

reduction in private sector
credit.
The industry’s Non-
performing loans (NPLs) to
total gross loans rose from
5.3% to 10.5% in the period




ECL  are  recognised  and  interest  revenue  is   IFRS 9, loans and
between December 2015 and
December 2016; this led to a
slowdown in private sector
credit growth and a drop in
bank profitability.
However, return on assets
for the industry declined
from 2.6% in 2015 to 1.3% in
2016;
IFRSreturn
9: Expected credit losses said Wilson Kaindi, Senior Manager
on equity almost
declined by 100% from 16% in
December 2015 to 8.3% in the
same time in 2016.
However, on the positive
note, the cost to income ratio
reduced by 2.2% to 67.2% in
December 2016.
This development also
coincides with slow growth in
Uganda’s insurance industry,
whose penetration has
remained below 1%, behind
Rwanda, Tanzania and Kenya,
whose insurance penetration
stands at 1%, 2.3% and 3.4%,
respectively.
Banks to be cautious with
issuing loans
Fabian Kasi, the managing
director at Centenary Bank,
who also doubles as chairman
of Uganda Bankers Association
(UBA), said with the new
financial standard, banks
will be more cautious as they
extend loans and other lines of
credit, and that they must always be institutions had finalised on the
from  the  general  model:  purchased  or  originated  credit-­impaired  assets  below).  
adequately capitalized. compliance requirements but were
be classified
“There may also be a tendency to facing challenges in obtaining under the
Stage  1  includes  financial  instruments  that  have  not  had  a  significant  increase  in  credit  
give more short term loans so as to roll reliable data on credit transactions.
risk  since  initial  recognition  or  that  have  low  credit  risk  at  the  reporting  date.  For  these  
back the provisions sooner than later Sekabira said data on small and
IFRS 9
Under the
to minimize effect on capitalization medium-size enterprises (SMEs)
assets,  12-­month   
of banks,” he told The Independent, — the largest pool of borrowers —
calculated  on  the  gross  carrying  amount  of  the  asset  (that  is,  without  deduction  for  credit   credit will be
adding that the prices of letters of credit was only available for two years
allowance).  12-­month  ECL  are  the  expected  credit  losses  that  result  from  default  events   classified in three
guarantees performance bonds, and whereas data covering 20 years of
that  are  possible  within  12  months  after  the  reporting  date.  It  is  not  the  expected  cash   ‘stages’ – per-
unutilised overdraft limits are likely to inflation, economic growth rates, forming, under-
go up. exchange rates and clients’ credit performing and
Insurance firms will also tighten history was required. impaired. When
their scrutiny prior to issuing policies However in Kenya, guidelines a loan is made,
to individuals or companies on credit, issued by the Central Bank (CBK) which is stage
last December allowed banks a one, the lenderPwC
2
Audit at KPMG during the insurance five year transition period during must make provi-
industry’s CEO meeting held in which expected losses charged sion equivalent
Kampala on Jan 25. on income should be recouped to the expected
At the moment, Bank of Uganda is to avoid eroding the banks’ loss on it over 12
preparing commercial banks on how core capital. It also proposed months.
to absorb and conform to the new CBK provisions above the IFRS If the credit risk
IFRS 9, said BoU Governor, Emmanuel 9 requirements be charged on increases but the
Tumusiime Mutebile, during the reserves instead of on income. loan is still good,
Uganda Bankers Association dinner in “During the transition period, it moves to stage
Kampala on Jan 31, 2018. institutions should disclose in their two, and it is
“The BoU issued a Circular to all published results their core and where the lender
supervised financial institutions (SFIs) total capital ratios both before and has to increase
on July 12, 2017 requiring them to after the additional expected credit the provision to
submit reports on their preparedness to loss provisions have been added the expected loss
implement IFRS 9 as well as the impact back,” the bank said. over the life of the
of the standard on Capital Adequacy,” loan.
he said. What next? If the loan goes
The reports submitted indicated Going forward, Kibbedi said bad, it passes to
that SFIs were at varying stages of financial institutions will be stage three, with
preparedness with regard to putting in required to train their staff to the provision
place the requisite IFRS 9 Governance ensure that they do not simply similar to those
Frameworks, Policies, Procedures and lend out cash but also follow of stage two, but
Information System capabilities. The up their clients as well as their from then on the
BoU will continue to assess the banks’ activities for purposes of loan bank books less
IFRS 9 implementation programs.” recovery. interest revenue
Earlier, the director for commercial in proportion to
banking at the BoU Benedict Sekabira the expected loss
told The EastAfrican that financial on the loan.
Feb 09 - 15, 2018 23
 Executive
business Style
Synergy Partners offer opportunities
for affordable housing
As Team Leader at
Synergy Partners, what’s
your leadership style
M
like?
ine is more
macro based,
where I have
a certain
set of mangers that are
empowered to make
decisions. However,
there are times when
we are all stretched
and have to work on
projects together or
interchange roles with
the top management. We
also have time when we
brainstorm on certain
issues.
You manage six estates.
What exactly does this
entail?
We have the
Commercial Forestry and
the Residential. What
we did differently for
Residential is to organise
communities that have a
certain set of order. When
anyone buys land from
us, they become part of
our housing association.
Our management
entails managing
associations of the
different housing estates.
Each single land owner
pays a certain amount of
money ranging from Shs6,
000- Shs7, 000 a month,
which is collected into a
pool and we manage the
grounds.
This is to ensure that
when somebody finishes a
house before the rest, they
don’t find themselves in a
bush. That money is used
to manage the community
parks, chemical spray
the roads, among others.
If you go to any of our
estates, you will notice that
there’s distinction between
us and the typical land
developer.
24 Feb 09 - 15, 2018
Jaffar Tonda is the Team Leader
at Synergy Partners, a real estate
developer. He spoke to Ian
Katusiime about the real estate
sector in Uganda and its prospects.
There is a tree component
in your housing estates.
What explains this?
Our primary thing is
Residential. Our going into
trees was us delving into
social entrepreneurship.
What we do is, we sell
people land and there
is still an aspect of land
development. But we asked
ourselves; how can we
contribute to a sustainable
environment? We thought
about tree planting as
a way of mitigating the
risk the world is facing –
climate change.
And since we were good
at opening up land, we
created an investment
by people’s ability to pay.
It helps create products
that people can afford.
Our model is
incremental housing
project where people buy
land first in our gated
housing estates and then
build incrementally with
our support.
We therefore do things
that give our customers
a payment plan on land.
Even if a piece of land
is worth Shs10million,
the typical customer will
deposit Shs2million and
we give them a payment
period of 6 months to 1
year and that matches
well with people’s
income. As a result we
have been able to survive
this slowdown.
Yes, there has been a bit
of decline in sales but our
product is more matched
with the affordability of
the people. We are not
like those developers
who build homes of
Shs300-400 million yet
there’s high mortgage and
interest rates. We target
people who earn between
Shs2million a month all
the way up. Right from
product where people the start of this company,
could buy land and we my dream was to build a
help them plant and housing estate where even
maintain trees. This my maid can own a house.
product has worked well
because we have so far What is your outlook of
opened up about 1,000 the real estate market this
acres. We have onboard year?
different individuals I don’t see anything in
playing their part to terms of our economic
mitigate climate change growth. I don’t see any
even those living abroad driver; agriculture which
that we have never met. is the backbone has
been hit hard by climate
The economy has been change. When you look
sluggish for the last few at the economy, you
years. How do you keep don’t see much changing.
going? That is how I see it but
In economics, there is unfortunately, I am not
something called effective very optimistic.
demand – a desire backed
 business
TRADE INFLATION

Uganda, South Africa in new trade tries deal Uganda’s inflation drops to 3%

Amelia Kyambadde and her South African
counterpart, Gratitude Bulelani Magwanishe
countries.
The ministers met during the 2nd South
Africa – Uganda Joint Trade Committee
(JTC) Meeting in Pretoria that took place
from Jan 20-30.
The meeting followed the 1st JTC held in
Nov 2015 in Kampala to strengthen trade
relations between Uganda and South
Africa.
Kyambadde underscored the need to
reduce the widening and imbalanced
trade and investment flows between the
two countries.
She said there has been an increase
in South African Companies operating
U
ganda’s Annual Headline Inflation
for January 2018 dropped to 3%
from the 3.3% registered in Decem-
ber last year while Core Inflation
fell to 2.6% from 3% , according to the latest
figures provided by the Uganda Bureau of
Statistics (UBOS).
This is lower than the 5.9% and 5.2%
respectively, recorded in January 2017.
The decline in inflation raises hope that the
industry regulator, Bank of Uganda, might
further lower the Central Bank Rate in the
next Monetary Policy slated at the end of
this month. CBR currently stands at 9.5%.
This comes at the time a number of com-

U
ganda’s trade minister, Amelia
Kyambadde and her South
African counterpart, Gratitude
Bulelani Magwanishe, signed
a declaration on Jan 30, 2018, in Pretoria,
South Africa recognising the imperative
to build a mutually beneficial trade and
investment relationship that supports the
industrialisation imperatives of the two
in Uganda yet the number of Ugandan
Companies operating in the South Africa
remain minimal.
Currently, there are over 60 South
African companies in Uganda including
Stanbic, MTN Uganda, Shoprite, Game,
Eskom and Woolworth. Magwanishe said
Uganda need to work harder towards
improving her exports to South Africa.
mercial banks have lately announced a
reduction in their interest rates in response
to the declining CBR, with Stanbic Bank now
offering the lowest rate at 17.5%.
Earlier, Louis Kasekende, the Deputy
Governor, BoU, had indicated that the near
term inflation outlook would remain sub-
dued but core inflation projected to pick up
in the Financial Year 2018/19

AVIATION TRAVEL

Tanzania unveils e-passport

O
African carriers’ post n Jan 31. Tanza-
15.6% growth in nian government
unveiled an elec-
freight volumes-IATA tronic passport to
enhance national security,
productivity and simplify cers who fail in their duties.
service delivery.
He also directed the
The e-passport will
be available at a cost of
immigration officers to
come up with strategies
TSh150, 000 valid for 10
years. The project was

A
frican carriers’ posted the
fastest growth in year-on-
year freight volumes, up
15.6% in December 2017 and
a capacity increase of 7.9% boosted by
strong growth in Africa-Asia trade,
latest data from the International Air
Transport Association (IATA) shows.
This contributed to an annual
growth in freight demand of 24.8%
in 2017 – the fastest growth rate of
control illegal immigrants that deliver results in the implemented in collabora-
and play a key role in rev- control against illegal tion of the government
enue collection. immigrants, and that hence of Ireland and the service
President John Magufuli forth disciplinary measures provider the US based,
said the new development would be taken against HID Company at a cost
is part of efforts to improve regional immigration offi- of $57.82 million.
AVIATION
Kenya Airways’ Non-Stop flight to Cape Town

all regions. This is the second time
African airlines have topped the
global demand growth chart since
1990. Capacity in 2017 increased 9.9%.
Globally, the demand for air
freight grew twice the pace of the
expansion in world trade (4.3%) owed
to demand for manufacturing exports
as companies moved to restock
inventories quickly.
“Air cargo had its strongest
performance since the rebound from
the global financial crisis in 2010.
Demand grew by 9.0%,” said IATA’s
Director General, Alexandre de
Juniac. “We also saw improvements in
load factors, yields and revenues.”
K
enya’s national car-
rier, Kenya Airways,
will unveil non-stop
Nairobi-Cape Town
flights starting June this year
in what appears to be a new
wave of expansion.
The airline will operate
three times a week, every
Wednesday, Friday and Sun-
day, using a Boeing B737-
800NG aircraft. It will also Zimbabwe’s Victoria Falls national carrier started
continue to operate its four with traffic rights on all sec- selling tickets ahead of their
flights a week route via the tors. inaugural flights to New
Zambian city of Livingstone This comes barely three York, USA, in October.
and three flights routing via weeks since the country’s

Feb 09 - 15, 2018 25

business

Stanbic joins URA’s

e-payment platform
By Julius Businge at a time government agen-

T
imes of visiting banking
halls and Uganda Rev-
enue Authority (URA)
offices to file tax returns
could be over as the tax body
continues to partner with finan-
cial institutions and telecom
companies to offer online pay-
ment solutions.
Stanbic bank, which collects
a third of URA’s annual rev-
enue target, is the latest bank to
State Minister of Finance for Investment and Privatization Evelyn join URA’s online platform to
Anite (R) with Chinese Ambassador to Uganda Zheng Zhuqiang (2nd R)
enable tax payers use its VISA
Uganda’s Prime Minister Ruhakana Rugunda and Minister for Science card, MasterCard or MTN
Technology and Innovation Elioda Mwesigye during the unveiling of
mobile money to pay taxes
the foundation stone of the launched China - Aided industrial skills in the comfort of their offices,
Training and Production Centre project in Uganda on Jan 25, in Namanve
homes and other convenient
industrial park Wakiso district.  INDEPENDENT/JIMMY SIYA places using internet enabled
devices.
Speaking at the launch of
the platform on Feb.05 at URA
headquarters in Kampala,
officials said in order to use
the new payment solution, one
would have to log onto the
URA website (https://ura.go.ug)
and request for a payment
registration number (PRN),
then use the Stanbic payment
tab by simply entering the rel-
evant Visa/MasterCard or MTN
mobile money account details
and following the prompts.
The new partnership comes
cies are inventing measures to
support private sector growth
through easing the cost of doing
business across sectors.
URA’s platform with Stan-
bic has been operational since
December last year as a pilot
and has facilitated payment and
collection of Shs 74 million as
at Jan.31. Meanwhile, similar
partnerships with other banks –
United Bank of Africa, Barclays
and Orient – since March last
year the platform has overall
facilitated collection of Shs4.5bn.
Stanbic Bank CEO, Patrick
Mweheire and Patrick Mukiibi,
the acting commissioner gen-
eral for URA said they trust the
online solution.
“Through this platform we
are providing a gateway into
URA’s payment systems; we
are moving away from physical
branches to using digital plat-
forms to pay tax,” Mweheire
said.
URA’s Mukiibi said over 60%
of the revenue collected via the
platform relates to Kampala
Capital City Authority licenses,
National Identification and
Registration Authority (NIRA)
and passport fees while the rest
covers direct taxes.

Julius Mukunda, (L) CSBAG National Coordinator and Wouter Dijstra, director and
founder Trac. Fm, brief the media during the release of a survey on citizens budget
priorities on Fab.1. Civil Society urged government to re-assess its expenditures
priorities and ensure that they directly serve the interests of the citizens to
improve their quality of life.   INDEPENDENT/JIMMY SIYA Weekly share price movement (Feb 02)
Security Feb 02 Jan 24 Movement
BATU 30000 30000 00
BOBU 115 115 00
CENT 1,627 1,631 0.2
DFCU 681 680 1.0
EABL 8,928 8,758 1.9
EBL 1,538 1,524 0.9
JHL 17,962 17,730 1.3
KA 558 592 5.7
KCB 1,618 1,577 2.6
NIC 13 12 8.3
NMG 3,663. 3,758 2.5
NVL 510 515 1.0
SBU 29 29 00
Minister of State for Trade, Industry and Cooperative Micheal Kafabusa Werikhe UCHM 122 134 8.9
(3rd R) during the official launch of the ship by Mango Tree Group on Jan 24
UCL 29 29 00
at Entebbe. The Minister said the ship was launched to ease water transport
on Lake Victoria by connecting Uganda to other countries through water UMEME 400 400 00
transport.   INDEPENDENT/JIMMY SIYA ALSI -- -- --

26 Feb 09 - 15, 2018


By Gerald Mbanda
African Renaissance at last
Reports of African economies among fastest
growing show long dream turning into reality
T
he concept of African Renaissance
has been on the lips of progressive
Africans for decades as a renewal of
the way of doing things to overcome
Africa’s challenges and advance the well-
being of the African people.
In 1946, Senegalese scholar Cheikh Anta
Diop wrote extensively on African renais-
sance in his books; `Towards the African
Renaissance’ and `The Cultural Unity of
Black Africa’. Diop rightly believed that
cultural unity of the African people was a
strong weapon to defeat colonialism.
On the other hand, colonialism succeeded
by breaking the cultural identity and Unity
of the colonised. Though colonialism was
eventually defeated, the African continent
remained divided; making it difficult to
achieve a common agenda to collectively
tackle challenges and build consensus on
developmental strategies.
The 30th Ordinary session of the African
Union assembly held between Jan.22 and 28
in Addis Ababa was historical in many ways
as a second liberation and the beginning of
the long awaited African Renaissance. First,
it was the first time in 54 years’ history of the
continental body, that the African leaders
made anti-corruption the subject of discus-
sion and the theme of the summit.
Corruption is one of the chronic cancers
that affects Africa and has dangerously
retarded its growth. During the summit, the
Nigerian President Muhammadu Buhari
presented a report to the AU on corruption
in Africa, showing that the continent loses
$148 billion annually in corruption which
accounts for 25 percent of Africa’s average
GDP! If Africa stopped corruption, this
amount of money can build modern roads
and railway networks which are lacking to
facilitate intra trade and movement of peo-
ple, and poverty levels would be reduced
tremendously.
Secondly, a Single African Air Transport
Market (SAATM) was finally launched with
23 members states pledging their commit-
ment to immediate implementation after
almost three decades after it was proposed.
Once implemented it is expected to bring
down the cost of air tickets by 25 percent,
boosting intra- African trade and tourism. A
study by International Air Transport Asso-
ciation (IATA) carried in 2014, shows that by
liberalising routes for only 12 key African
countries, about $1.3billion will be added to
the continent’s GDP, while creating more
than 150,000 jobs.
The ease of visa rules embraced by Afri-
can countries in recent years has also had
an impact on promoting trade and tourism.
The 2014, African Development Bank report
on ease of visa rules mentions that when
Rwanda adopted the visa-on-arrival policy,
and cut the fee by half to $30, African visitors
increased by 22 percent annually, while tour-
ism income increased by 4 percent.
Rwanda has further relaxed her visa
regime by allowing travelers to receive visas
upon arrival. Other African countries have
to open up and maximise opportunities
for regional integration and attract foreign
investment and tourism.
Rwandan President Paul Kagame has
been entrusted by his peers with a double
role; to lead the African Union as the chair-
man and also spearhead the continental
body reforms. These tasks assigned to the
Rwandan leader are a manifestation of the
confidence and trust that he has the ability to
make a difference in bringing together Africa
towards realising an integrated, prosperous,
and peaceful Africa and ultimately the reali-
sation of Agenda 2063.
Kagame is admired by many as a prag-
matic and transformational leader who finds
solution from within through homegrown
initiatives and a strong advocate of a self-
reliance rather than aid- dependent Africa.
The current neo- colonial economic model
for Africa’s dependency on export of raw
Corruption
is one of the
chronic cancers
that affects
Africa and has
dangerously
retarded its
growth
COMMENT
materials continues to make the continent a
source of raw materials for developed coun-
tries, a trend that has to be reversed.
Tom Burgis, the author of an interesting
book: ‘The looting Machines: Warlords, Oli-
garchs, corporates, smugglers, and the theft
of Africa’s resources’, says that, “ Outsiders
think of Africa as a great drain of philanthro-
py, a continent that guzzles aid to no avail
and contributes little to the global economy
in return”.
Burgis, however, goes on to say that this is
a big misconception because when you look
closely at the resource industry and the rela-
tionship between Africa and the rest of the
world; the picture is different.
He further notes that, “In 2010, fuel and
mineral exports from Africa were worth $333
billion; more than seven times the value of
the aid that came to Africa”.
Additionally, multinational corporations
operating in Africa are reported to be syph-
oning about $203bilion annually in tax eva-
sions and other illicit financial flows. Africa
is therefore not poor, but her resources are
stolen both domestically and internationally.
In 2017, the African Development Bank
reported Africa to be the world’s second-
fastest growing economy and a number of
international business observers have also
named Africa as the future economic growth
engine of the world. This counteracts the
second scramble for Africa.
But this time the AU must also be well
organised to be in-charge; unlike the first
colonial scramble that stole Africa’s resourc-
es with impunity and turned around to
lecture African people about how poor they
are!
As the first liberation to attain indepen-
dence required sacrifice, the second libera-
tion too needs much more sacrifice and bold
decisions to disrupt the sophisticated exploi-
tation of Africa’s resources.
The African youth must have hope in their
continent as the next source of wealth and
jobs. With the new resolve by African lead-
ers to stay united than ever before, having a
common developmental agenda, there is no
doubt that the long awaited African renais-
sance is beginning to take shape.
Gerald Mbanda is a Political commentator and a
Pan-Africanist
Twitter: @GeraldMbanda
Feb 09 - 15, 2018 27
COMMENT
By Morris Komakech
Uganda’s state of violence
The killing of Mowzey Radio shows how excessive state
violence has alienated Ugandans from good governance
T
he extreme violence where Presi-
dent Yoweri Museveni and his NRM
enthusiasts have taken Uganda’s
politics will alienate many people
from meaningful participation in society’s
affairs. Already, Ugandans feel helpless
– that their votes mean nothing, and their
voices, at every level of decision-making, is
muzzled by violent repression.
Uganda is no longer for Ugandans and
it is high time the mockery constituted in
Article 1 of the overly adulterated 1995
Constitution, that power belongs to the
people, got amended to state unequivo-
cally that “power belongs to the State
managers who own the guns”.
Excessive state violence is alienating
citizens from governance. The NRM
mindset of violence is constituted hori-
zontally and vertically. This serves to
diminish legitimate interests in collective
ownership of the State, and dehumanises
agents outside the shades of the repres-
sive state.
The taming of the Police, militarising,
and criminalising it, serves the symbolic
purpose of also militarising the socio-
political dimensions of society. This
is how power is primarily courted in
NRMO and applied to deform society.
Ugandan society is now inverted -
deformed, instead of being transformed.
Uganda is deformed from a peaceful,
hopeful, and a united nation, into a
criminal, immoral, unconscionable, and
violent society.
Public consensus is now by violence;
from ridiculous marriage requirements
to bar brawls, decisions are coercive and
fatal at any slight resistance. People now
contend with marrying worthless part-
ners for a fortune under family duress.
Everything is overpriced, inflated and
that is, on its own, a form of violence on
our conscience!
We just lost a young talent, Mowzey
Radio – a musician, whose death inciden-
tally bound the nation together in awe of
the degree of cruelty, violence, and the
propensity to which all of us are culpable
to this violence.
When Mathew Kanyumunyu report-
edly gunned down that youthful social
worker, Keneth Akena, the nation was
28 Feb 09 - 15, 2018
engulfed in a ball-fire of grief and rage. It
seems violence at every level is inescap-
able in this society.
Today, many violent attackers lurk on
the street, waiting to strike again on the
next victim. But, the attackers are pro-
tected by the state and persons who asso-
ciate with the violent state. They are at
liberty to defend the morally indefensible
acts of blatant murder. The big question
that remains unanswered to this date is
how weapons have permeated civilian
realms in an era of terrorism.
Violence in Uganda cannot be divorced
from the genesis and corpus of this
regime - its formation, survival, and
molding of society through decades and
counting. Violence as an enterprise defi-
nitely is the modus operandi through
which NRM has survived for decades.
Every Ugandan
today is
familiar with,
or has been
violated by
sectarianism,
whether in
the private or
public sector
The Foucaultian governmentality has
come to full bearing – policies, constitu-
tionalism, and delivery of social services
are all designed on the basis of aggres-
sion - repression.
State agency is associated with aggres-
sive and violent acts. Many Ugandans
subsisting outside the shade of the
state are increasingly being physically
deformed as a result of state abuse of
power. They are dehydrated, malnour-
ished, sicker, fearful, shorter, and smaller
than those protected under the violence
of the state. In comparison, those within
the nexus of the violent state realms are
bulkier, greedy, fierce, armed, egoistical,
and crooked.
For the most, social status is borne out
of the violence of sectarianism. Ugan-
dans now weigh their life circumstances
with each other based on their tribes, not
education or enterprises. There are those
who work so hard but remain poor, and
those that hardly labour but accumu-
late wealth quickly, or gain promotions
faster than they deserve, just on accounts
of their tribe. I think the incarcerated
former DPC Muhammad Kirumira
alluded to this unfortunate reality. How-
ever, the UPDF and government minis-
tries offer the best case study of sectari-
anism under this Museveni regime.
Every Ugandan today is familiar with,
or has been violated by sectarianism,
whether in the private or public sector.
Sectarianism is a form of tribal violence
wreaked on others by the groups that
hold power. It is the reason some groups
might hate others more than has ever
been witnessed in this country when this
regime falls.
Morris Komakech is a Ugandan Social Critic
and Political Analyst based in Toronto,
Canada. Contact via mordust_26@yahoo.ca

By Dani Rodrik
On economic populism
and political populism
Why one is almost always harmful,
but the other can sometimes be
justified in exceptional times
P
opulists in power have one
thing in common: they regard
limits on their power as
undermining the will of the
people. For many, this aversion to
institutional constraints extends to
the economy, which explains why
populists are so often at odds with
regulatory agencies, central banks, and
global trade rules.
But while populism in the political
domain is almost always harmful,
economic populism can sometimes be
justified.
Economists tend to have a soft spot
for limiting politicians’ discretion,
because policymaking that is too
responsive to short-term domestic
politics can hurt long-term outcomes.
Politicians with the power to print
money, for example, may generate
“surprise inflation” to boost output
and employment in the short
run – say, before an election. The
solution is an independent central
bank, operating free from politics to
maintain price stability.
But controls on economic policy
are not always beneficial. Restraints
may be instituted by special interests
or elites themselves. In such cases,
delegation to autonomous agencies
or signing on to global rules does not
serve society, but only a narrow caste
of insiders.
Today’s populist backlash is rooted
partly in the belief that economic
policymaking has been hijacked
by such interests. Multinational
corporations and investors have
shaped the international trade agenda,
resulting in global regimes that benefit
capital at the expense of labour.
Banks and other financial institutions
have been especially successful at
instituting rules that give them free
rein.
And what benefited society in one
era may not benefit it in another.
Independent central banks played
a critical role in bringing inflation
down in the 1980s and 1990s. But in
the current low-inflation environment,
their focus on price stability imparts a
deflationary bias to economic policy,
and is in tension with employment
generation and growth.
Such “liberal technocracy” may be
at its apogee in the European Union,
where economic rules and regulations
are enacted without deliberation at
the national level. This gap has given
rise to populist, Euroskeptical political
parties. In such instances, returning
economic autonomy to elected
governments may be the right move.
Exceptional times require the freedom
to experiment in economic policy.
Political populism that stifles
pluralism and undermines liberal
democratic norms is a menace to be
avoided. But economic populism is
occasionally necessary. In some cases,
it may even help forestall the arrival of
its more dangerous cousin.
Dani Rodrik, Professor of International
Political Economy at Harvard
University’s John F. Kennedy School of
Government, is the author of `Straight
Talk on Trade: Ideas for a Sane World
Economy’.
Copyright: Project Syndicate, 2018.
COMMENT
Overheard
Ramaphosa,
Malema on
Zuma’s exit
In what appeared to be the first
strongest indication on Jan.06
that President Jacob Zuma could
soon to exit office, African National
Congress (ANC) president Cyril
Ramaphosa said the matter must
be addressed but that Zuma must
not be embarrassed.
Ramaphosa made the remarks
during an interview with eNCA on
Sunday night.
“We need to deal with this matter
with the level of maturity it requires,
with the proper decorum and I’ll
say we should never do it in a way
that’s going to humiliate President
Zuma. We should never do it in a
manner that’s going to also divide
the nation.”
I didn’t do
anything
wrong to the
country
Ramaphosa conceded that people
were eager to know if Zuma would
stay on until the end of his term in
2019, or be asked to leave early.
But Zuma was thinking different.
“He refused to resign and he
told them to take a decision to
remove him if they so wish to do
so because he didn’t do anything
wrong to the country. He’s arguing
that he complied with all legal
instructions including paying back
the money‚ what more do they want
from him‚“ the EFF’s opposition
leaders Julius Malema tweeted on
Jan.05 before things heated up.
Feb 09 - 15, 2018 29
The New Cobalt 60 Radiotherapy machine.   Independent Jimmy Siya
New cancer machine
restores patients' hope
A
By Flavia Nassaka
gnes Atiang was in line for a
breast operation at the Ugan-
da Cancer Institute in Kam-
pala when we spoke. Her
story should have been one
of double tragedy. Instead, it
was one of hope.
An X-ray at Mbale Regional Referral Hos-
pital had revealed that the 31-year old had
tumors in her right breast. Medically, her
cancer is stage 2; meaning it is growing but
is still contained in the breast or growth has
only extended to the nearby lymph nodes.
But that was half the story.
The other was that this was the second
time fate was bringing Atiang to the Uganda
Cancer Institute – in two years. In 2015, she
was at the institute; nursing an uncle who
was battling cancer of the rectum.
She recalls that instead of her uncle being
treated, she was many times advised to take
30 Feb 09 - 15, 2018
him back home to die because the treatment
he required at the time was unavailable.
“He needed radiotherapy. There was
nothing,” she said in a brittle voice, “We
chose to stay but they were telling us to go
back home and die.”
That December, her uncle collapsed in
pain and died while she was away search-
ing for painkillers from nearby private
pharmacies.
Then just three months after her uncle’s
death, the Cancer Institute was plunged
into a major public relations crisis as news
spread that its only cobalt 60 radiotherapy
machine – the only radiotherapy machine
in the country – had broken down beyond
repair. The country was in panic mode.
Many other patients died. Some were
referred abroad. The institute was seen by
many as a death trap.
But today, instead of dwelling on that
grim past, Atiang is optimistic.
“Our hope is down there,” she said,
pointing at an aging house fenced off with
a wire mesh with a banner that reads,
’Restricted Area’ at the entrance.
Hope arrives
The old house is where a new radiothera-
py machine acquired by the government for
about 630,000 euros is housed. Though only
physicians and patients are allowed beyond
the entrance because exposure to radiation
can be dangerous to humans, we gained
special access.
We were first ushered into the IT room
where several computer screens and wires
are fixed to operate and monitor whatever
happens in the next room where the new
cobalt machine is fixed. It is a huge blue and
white colored machine in two parts. The
main visible part is a huge wall--hang neck
on whose head is a huge lighting assembly
that beams down a tiny bed on a pneumatic
base, the second part, on which a patient
lies. The third part is hidden behind the

wall.
“We put a false wall not to scare
patients,” says Dr. Daniel Kanyike, the
Head of Radiotherapy.
He explains that the machine has two
cameras; one for monitoring the patient
and the other the environment around the
patient during treatment.
There was no patient being treated, but
Kanyike said the 7000kg machine that
works 24/7 from Monday to Friday can
handle 80 patients per day. Just like Atiang,
Kanyike also sounded excited about the
new machine, describing it fondly as “a
machine that has everything modern and
almost comparable to the linear accelerator,
the most advanced radiotherapy machine in
terms of treatment time”.
“There are special laser beams to treat
the patient precisely,” he said as he tilted it
to various corners making the red lines of
radiation markers to beam neatly on vari-
ous parts of the neat white walls. “It can
rotate everywhere. It will tell you when you
enter something wrong or inconsistent with
the patients details entered initially. It’s elec-
tronically controlled.”
Dr. Ausi Kavuma, a senior physicist who
has worked at the department for the last 23
years and has used the new machine says it
quickens work.
“With the old one we used 260 seconds
to treat one grade but with this we use 46
seconds to treat the same.”
Despite being ordered in 2013, the
machine only arrived in the country in
December and was commissioned on Jan.19
at an event attended by Prime Minister
Ruhakana Rugunda and the Director Gen-
eral of International Atomic Energy Agency,
Yukiya Amano.
Dr. Jackson Orem, the Institute’s Execu-
tive Director tells The Independent that
it could have arrived earlier considering
the need but they had to go through a lot
of certifications and checks for safety and
effectiveness before the machine that cost
the country about 630,000 euros could be
ferried in.
He said they also needed a lot of technical
support from the agency even though they
got a warranty from the manufacturer to
train and build capacity of staff.
“It’s new. It’s not like people have been
saying it’s an old thing. It’s not about just
the machine it’s about a system; including
staff, facility and the safety features we have
for utilisation”.
For instance, he says, they had to build
the walls to about 1.3meter thickness
to ensure that the radiation emitted is
absorbed within the walls. But initial efforts
at finding a competent company in the
country to design it were unsuccessful and
the process of designing alone took them
close to two years.
They also had to do several tests to
ensure that likely radiation leakages are at
almost zero and after that they would peri-
odically send samples to the Vienna based
Atomic Agency headquarters for inter-
comparison.
“Now Ugandans don’t need to worry,”
says Orem, referring to the March 2016 sce-
nario when the only machine got in 1995 as
a donation from the Atomic Agency broke
down. He says once a new bunker cur-
rently under construction is complete, more
similar machines will be procured so that
the up to 75% of the over 200,000 patients
who report to UCI requiring radiotherapy
will have options and will no longer need to
stay weeks or months waiting for a chance
of treatment.
When she spoke to journalists ahead of
World Cancer Day celebrations on Feb.04,
Health Minister Jane Ruth Aceng said con-
struction of the modern bunkers with six
chambers which will house a radiotherapy
machine each was 90% complete.
Challenges and hope
However experts like Dr. Ian Clarke, the
proprietor of the Private International Hos-
pital Kampala, hold reservations about the
said radiotherapy machines. In an earlier
interview with the Independent, Clarke, for
Dr. Daniel Kanyike, the head of radiotherapy department showsoff the IT room.  independentJimmy Siya
instance, said the new one is just a newer
version of the old machine they had. He
explains that the challenge with that type of
machine is that it’s not as specific as the Lin-
ear Accelerator would be in terms of where
the radiation goes. He advises that the
government should consider procuring a
Linear Accelerator estimated to cost at least
$5million, approximately the price of six of
the new machine.
Clarke, a cancer survivor who is an
advocate of health insurance says, to afford
top-notch cancer care, public and private
health providers need to cooperate. He
says this has failed to happen because the
public facilities such as the Uganda Can-
cer Institute feel that they have the major
health
prerogative in treating cancer, yet there are
hospitals coming up which can also offer
such treatment.
He says the private facilities cannot easily
invest in a Linear Accelerator, especially if
one knows that patients will not be able to
afford the treatment, while the rich people
will still go out of the country. He says it
would be best if the government allocates
a subsidy, either to the setting up of the
equipment or by subsidising the bills for the
patients.
Clarke says with advancements in tech-
nology, however, treatment has become
more complex and very soon Uganda
will require more than just a radiotherapy
machine. Already elsewhere, techniques
such as positron emission tomography and
computed tomography (PET/CT) in one
machine and Positron emission tomogra-
phy–magnetic resonance imaging (PET-
MRI) scans are being used in treatment. He
says these machines require a radioactive
material with a short half-life which must be
manufactured in the country or at the very
least in the region, since the short half-life
means that it will break down and be use-
less within six hours. The manufacture of
this radioactive material requires a machine
called a Cyclotron which has not yet been
installed in Uganda and the East African
region.
For now, however, patients at the Ugan-
da Cancer Institute are happy that they
can at least get treatment. When we spoke,
Atiang had been undergoing chemothera-
py, another form of treatment involving use
of drugs to shrink the cancer tumor. But her
doctor had already briefed her about what
to expect after the surgery, including radio-
therapy; a form of cancer treatment that
involves hitting cancer cells with a beam of
radiation to kill off cancerous cells.
“After surgery the doctor said I might be
here for more three to four weeks,” she said,
“You know these days they put you on the
list for the machine quickly.”
Feb 09 - 15, 2018 31
health
C
By Niels Ebdrup
ircumcised men have more
difficulties reaching orgasm,
and their female partners
experience more vaginal pains
and an inferior sex life, a new
study shows.
If a man is circumcised, he faces an
increased risk of experiencing delayed
orgasm, and his female partner has an
increased risk of not feeling sexually
fulfilled.
This is the clear-cut conclusion of a new
Danish research article, which has received
international attention.
Some 5,000 sexually active men and
women were surveyed about their
experiences and possible problems with
their sex lives. With a specific focus on
circumcised men and their women, the
results are startling.
“Circumcised men are three times as
likely to experience a frequent inability
to reach an orgasm,” says one of the
researchers, Associate Professor Morten
Frisch from Danish research enterprise SSI.
Research into the effects on women is
unique
This is one of only a few studies of the
sexual consequences of male circumcision,
and in one area in particular it is
groundbreaking:
“Previous studies into male circumcision
have looked at the effects it has on the men.
But scientists have never really studied the
effects this has on the women’s sex lives,”
says Frisch. “It appears that women with
circumcised men are twice as likely to be
sexually frustrated. They experience a three-
fold risk of frequent difficulties in achieving
orgasm, and an eight-fold risk of feeling
pain during intercourse – also known as
dyspareunia.”
Circumcised men prefer it rough
There appears to be a very simple reason
why circumcised men and their partners are
having problems with their sex lives.
The circumcised man develops a thin
layer of hard skin on his penis head, which
decreases the sensitivity. This means that in
order to reach an orgasm, he needs to work
harder at it, and that can lead to a painful
experience for the woman.
“We conducted a survey, but the data
does not explain why these problems occur.
There are, however, some good suggestions
in the scientific literature,” he explains.
When the penis enters the vagina, the
foreskin is pulled back. And on its way out
again, the foreskin goes back to cover the
penis head. This way the foreskin stimulates
both the man and the woman.
The gliding in-and-out movement of the
foreskin, combined with the in-and-out
movement inside the vagina, constitutes
32 Feb 09 - 15, 2018
Male circumcision
Could it lead to a bad sex life?
what is known as ‘the gliding movement’.
“When a circumcised man moves in
and out of a woman without ‘the gliding
movement’ caused by the foreskin, it
can have a painful effect on the woman’s
mucous membrane. This could explain the
pain and the tendency towards dryness
that some women with circumcised men
experience.”
Sources of error were filtered out
A vast majority of the circumcised men
in the study were circumcised based on a
doctor’s estimate.
“Only five percent of all Danish men are
circumcised, yet we have statistically valid
evidence that male circumcision can be
associated with sexual problems.
The study did not involve many
religiously circumcised men – Jews and
Muslims, for example. But even with these
factors taken into account, the data pointed
in the same direction. The statistical analyses
also took a long list of additional relevant
factors into account, including:
 Age
 Cultural background
 Religious background
 Marital status
 Levels of education
 Household income
 Age at first intercourse
 Number of sex partners
 Frequency of sexual activity with one
partner in the past year
“We adjusted for all these factors in
an attempt to ensure that circumcision
is the actual cause, and that the link isn’t
attributable to other factors.”
Bottom-line results were clear
Frisch mentions an example of how
things get muddled up if researchers do not
adjust for possible sources of error when
they work with statistics:
“If, for instance, you look at people
who drink lots of beer, you’ll see that they
face an increased risk of developing lung
cancer, compared to those who don’t drink
much,” he says. “But it’s not the drinking
itself that causes the lung cancer. There
just happens to be a correlation between
drinking and smoking, and it is actually
the smoking that causes the lung cancer.”
These kinds of error sources were taken into
account, and the bottom-line results were
clear: “We’re seeing a consistent picture.
Even though most circumcised men – and
their women – do not have problems with
their sex lives, there is a significantly larger
group of circumcised men and their female
partners who experience frequent problems
in achieving orgasm, compared to couples
where the man is not circumcised.”
In addition, there are significantly
more women with circumcised men, who
experience vaginal pains during intercourse
or feel that their sexual needs are not met.
Further studies needed
Frisch hopes this new study will be
replicated by researchers in other countries
and cultures.
“That way we can ascertain whether
this phenomenon applies to Danes only
or whether it extends into other cultures
too,” he says. “All in all, I have a humble
approach to our findings, so I would also
like to see whether other Danish studies
would reach the same conclusions.”
Study resonates internationally
According to Frisch, the study has
received a great deal of international
attention. For example, he has been
contacted by politicians in California,
who are very pleased with the results
of the study because they want to ban
circumcision in their federal state.
Others are less excited, saying the
research is controversial. “This is a highly
sensitive issue, and some people oppose
the publication of this kind of research.
Some people have actually tried to stop the
publication of our article,” he explains.
A question of ethics
Certain groups and individuals are
lobbying in favour circumcising all men,
explains Frisch. Not necessarily out of
religious concern, but because they believe
that circumcision has a health-promotional
effect. In Africa, for instance, there are
indications that circumcision could reduce
the risk of HIV infection.
Source: NordicScience
 ART | BOOKS | SOCIETY | TRAVEL | CULTURE
Cultural integration through art
East African biennale Kampala focuses on commonality
A
By Dominic Muwanguzi
rt has a universal language.
That is why five East African
countries can showcase as
part of the East Africa Art
Biennale currently running at
AKA Gallery in Kamwokya,
Kampala.
The artworks, by different artists, from
different countries and in different media
and technique, communicate a common
language of cultural integration.
Incidentally, cultural integration is the
inspiration of this itinerary exhibit that start-
ed moving from Dar-es-Salaam, Arusha,
Nairobi and is now in Kampala. Regardless
of the touring schedule, artists have pro-
duced art that symbolises that East Africans
share a common culture and aspirations.
As such, the drawings of Ugandan art-
ists participating in the festival like Ibra
Muwanga, explore the same themes like
their counterparts from Rwanda, Kenya and
Tanzania.
Muwanga’s artistic narrative concen-
trates majorly on the subject of children
in deprived communities that are loosely
known as slums. The drawings of children
going about their routine activities more
often with smiles lighting their faces; figu-
ratively connotes their innocence and the
artist’s advocacy for their rights.
Similarly, Tanzania artist, Stephen
Mchomvu drawings of children in squalid
situations is a metaphor to the struggles of
the rural poor. Notwithstanding, the heart-
rending drawings of children with a com-
mon trait of bright-wide stare, the images
provide optimism for both the subject in the
painting and the audience.
Technically, Ronex Ahimbisimbwe’s tech-
nical innovation with adoption of different
styles and techniques in his paintings that
include collage, printmaking and sculptural
elements like form and depth, resonate with
Victor Binge, a Kenyan artist, who is eager to
experiment with diverse media.
Ronex’s intent to query the status quo
with art, but with more emphasis on the
power of the subconscious, captivates the
attention of his audience. On the other hand,
Binge’s exploration between the known and
unknown culminate into his making art that
is both intuitive and sublime. His colours on
canvas are dazzling; invoking an analogy of
art that is crawling with life.
However, such similarities should not be
taken for granted. The artists’ assertiveness
and urgency to communicate a particular
message is central here. In this regard, the
audience keenly observes the adventurous
characteristic of artists in the exhibit; show-
casing art on diverse themes like wildlife,
waterscapes, personal- identity (LGBTQ)
and rural lifestyle. These topics are crucial
to the cultural practices of the African in
the region. It is through such drawings that
these topics can be honestly and objectively
be addressed.
The EASTAFAB is an important podium
to promote cultural integration because it
focuses on the ordinary citizenry who is not
necessarily interested in politics or academ-
ics.
In light of such approach, it is easy to
bring communities of the East African
region together. Nonetheless, to some critics
who many counter that such a project may
be futile, it is important to acknowledge the
genesis of art as rock art that has been traced
in African ancestry over forty thousand
years ago. This fact is enough to legitimise
such initiative of cultural appreciation and
integration through art.
AKA gallery is located on Bukoto Street
next to the Alliance Francaise Kampala and
Goethe Zentrum Kampala offices. The East
Africa Art Biennale exhibition moves to
Rwanda and Bujumbura after Kampala.
Feb 09 - 15, 2018 33
obituary
Remembering Hugh Masekela
The horn player with a shrewd ear for music of the day
T
rumpeter, flugelhorn-player,
singer, composer and activist
Hugh Ramapolo Masekela has
passed away after a long battle
with prostate cancer.
When he cancelled his appearance
last year at the Johannesburg Joy of
Jazz Festival, taking time out to deal
with his serious health issues, fans were
forced to return to his recorded opus for
reminders of his unique work. Listening
through that half-century of disks, the
nature and scope of the trumpeter’s
achievement becomes clear.
Masekela had two early horn heroes.
The first was part-mythical: the life
of jazz great Bix Biederbecke filtered
through Kirk Douglas’s acting and
Harry James’s trumpet, in the 1950
34 Feb 09 - 15, 2018
By Gwen Ansel
movie “Young Man With A Horn”.
Masekela saw the film as a schoolboy at
the Harlem Bioscope in Johannesburg’s
Sophiatown. The erstwhile chorister
resolved “then and there to become a
trumpet player”.
The second horn hero, unsurprisingly,
was Miles Davis. And while Masekela’s
accessible, storytelling style and lyrical
instrumental tone are very different, he
shared one important characteristic with
the American: his life and music were
marked by constant reinvention. As
Davis reportedly said: “I don’t want to
be yesterday’s guy”.
Much has already been written about
Masekela’s life and its landmarks:
playing in the Huddleston Jazz Band in
the 1950s on a horn donated by Louis
Armstrong; performing in the musical
“King Kong” in the 1960s and at the
Guildhall and then Manhattan schools
of music with singer Miriam Makeba;
U.S. pop successes in the 1970s and then
touring Paul Simon’s “Graceland” in the
80s and 90s.
What is less discussed is the music,
and the innovative imagination he has
periodically applied to draw it fresh
from the flames.
Breaking new ground
The Huddleston band, plus time
as sideman and in stage shows, were
the traditional career path for a young
musician. But then Masekela broke his
first new ground. With fellow originals,
including saxophonist Kippie Moeketsi,
pianist Abdullah Ibrahim and trombonist
Jonas Gwangwa, as The Jazz Epistles

they cut the first LP of modern African
jazz in South Africa.
“Jazz Epistle: Verse One” (1960)
featured band compositions marked
by challenging improvisation – “a
cross between mbaqanga and bebop”.
Mbaqanga is form of South African
township jive and bebop an American
jazz style developed in the 1940s.
Masekela had also joined the pit
band and worked as a copyist for South
Africa’s first black musical, “King Kong”.
This exposure attracted attention
to his talent from potential patrons at
home and abroad. Pushed by the horrors
of the Sharpeville massacre when the
South African police shot and killed 69
people on 21 March 1960, and pulled
by donated air-tickets and scholarships,
Masekela left for London, and then New
York.
In the next two decades, Masekela’s
re-visioning of his music took many
forms. He found America hard, but
with wife Miriam Makeba (the marriage
lasted from 1964 - 1966), the production
skills of Gwangwa, and the support of
American singer Harry Belafonte he
proactively introduced audiences to
South African music and the destruction
of apartheid.
On the ironically titled 1966 live
“Americanisation of Ooga Booga”, he
demonstrated the creative possibilities
of “township bop”. Masekela did this by
mashing up repertoire and playing styles
from the South Africa he had left and the
America he had landed in.
But he was also looking in other
directions: in collaborations with other
African musicians; towards fusion (with
The Crusaders), rock (with The Byrds)
and even pop at the Monterey Pop,
festival.
That list captures only a fraction of
his projects in the 1960s. Some bore
instant fruit: his 1968 single, “Grazin’
In the Grass”, topped the Billboard Hot
100 list and sold four million copies;
the previous year’s “Up Up and Away”
became an instant standard.
In 1971, he teamed up with Gwangwa
and Caiphus Semenya for another pan-
African vision: The Union of South
Africa. In 1972 he explored a stronger
jazz orientation on “Home is Where The
Music Is” with, among others, sax player
Dudu Pukwana, bassist Eddie Gomez,
keyboardist Larry Willis and Semenya.
Sixties counterculture
But as the title of “Grazin’ In the
Grass” suggests, Masekela was also
bewitched by other aspects of Sixties
counterculture. He dated his addiction
back to the alcohol-focused social climate
of his early playing years in South Africa,
but by the early Seventies he admitted:
“I had destroyed my life with drugs and
alcohol and could not get a gig or a band
together. No recording company was
interested in me…”
That depression inspired the song that
achieved genuinely iconic status back
home in South Africa: the 1974 reflection
on migrant labour, “Stimela/Coal Train”.
Foreign critics have handed that
status to other Masekela songs, such as
“Soweto Blues”, “Gold” or the much
later “Bring Him Back Home”. Yet
powerful though those are, it is Stimela,
with its slow-burning steam-piston
rhythm that captured the hearts of
South Africans in struggle back home,
and still does today. And of course the
That
depression
inspired the
song that
achieved
genuinely
iconic status
back home in
South Africa:
the 1974
reflection
on migrant
labour,
“Stimela/Coal
Train”
lyrics: ”There’s a train that comes from
Namibia and Malawi /there’s a train that
comes from Zambia and Zimbabwe/
from Angola and Mozambique…
Masekela said: ”For me songs come
like a tidal wave … At this low point,
for some reason, the tidal wave that
whooshed in on me came all the way
from the other side of the Atlantic: from
Africa; from home”.
Shortly afterwards, Masekela headed
obituary
off to Ghana, hooked up with Hedzoleh
Soundz, and was soon back in the charts.
“Stimela” received its first outing on
the album “I Am Not Afraid”, with
West African and American co-players
including pianist Joe Sample.
By the mid ‘80s, the hornman was
back in southern Africa, recording
“Technobush” at the mobile Shifty
Studio in Botswana, and performing
for the Medu Arts Ensemble with
a Botswanan/South African band,
Kalahari. His music shifted again: roots
mbaqanga came strongly to the fore to
speak simply and directly to people now
openly battling the apartheid regime just
across the border.
Returning home
After liberation and his return
home, Masekela once more chose fresh
directions. In 1997 he banished his
addictions and began to showcase the
virtuoso player he could have been 30
years earlier without the distractions of
the West Coast. He fronted big European
jazz bands, and benchmarked a long
musical friendship with Larry Willis
with the magisterial Friends.
But his shrewd ear for the music
of today, rather than yesterday, also
took him into younger company.
He collaborated with current stars –
including singer Thandiswa Mazwai
– often encouraging them to take centre
stage. Just before the recurrence of
his cancer, he was planning a festival
collaboration with rapper Riky Rick.
To cap the transformation, the
individualistic rebel of the 60s and 70s
became an elder statesman of social
activism. In 2001, he established a
foundation to help other musicians
escape addiction. Once more he
foregrounded the music of continental
Africa, to campaign against xenophobia.
And the return of his own illness became
the cue to exhort other men to get
checked for prostate cancer.
Other South African musicians have
succeeded overseas; many have made
one mid-career image switch – but few
have shown us, in only one person but
more than 30 albums, so many of the
faces and possibilities of South African
jazz.
Hugh Masekela, musician, activist. Born:
4 April 1939; Died: 23 January 2018
Gwen Ansell, Associate of the Gordon
Institute for Business Science, University of
Pretoria
Source: The conversation
Feb 09 - 15, 2018 35
obituary

Mowzey Radio off air (January 25,

1985 – February 1, 2018)
By Ian Katusiime secondary school. He attended Lake

W
View Wanyange and Kiira College
hat happens when an artiste Butiiki for his O and A-level studies
dies is a question often and opted to study psychology
asked when a creative dies. at Makerere University after an
Unlike many people, artistes inspirational talk in his last year
are expected to have obvious legacies at secondary school.
because works of art never die. This can Like many musicians, Radio
be said of Radio, singer and songwriter started singing at a tender age.
who passed on at 33. “My mother used to ask me to
He was hailed for his unique learn Luganda songs and she
vocal abilities and lyrical finesse that would also ask me to sing for
produced some of the most popular visitors at home,” he said in an
ballads in Uganda. But Radio’s talent interview with Sanyu FM radio.
was not just felt in Uganda, music As a child, he sang Fred Sebatta’s
lovers across the continent and beyond songs and his love for singing just
mourned a star whom they described as blossomed further.
an icon.
Born Moses Nakintije Ssekibogo but
known to a legion of fans as Mowzey
Radio, the voice of the tall, thin and
jolly musician blasted radio airwaves
and rocked hangout spots for a decade
as one half of the Goodlyfe Crew with
his partner Weasel, real names Douglas
Mayanja.
Through songs like Nakudata,
Bread and Butter, Magnetic, Ability,
Nyambura, Talk and Talk, Radio broke
the orthodoxy of the Top Three artistes
in Ugandan music; Jose Chameleone,
Bebe Cool and Bobi Wine and clearly
established himself as a force to be
reckoned with. His lyrics usually
revolved around themes of beauty, an
unreciprocated love or a love that he
never gives up chasing.
And the latter part is something
that defined Radio’s career. There
are times when the Goodlyfe
Crew would release hit after hit,
nearly every month and people
wondered whether they
would not suffer quick burn
out musically. But they did
not. Instead they wowed
their fans with more hits.

Early life
Radio was born on
January 25, 1985 and
went to Kibuye Primary
School among many
others before he joined

36 Feb 09 - 15, 2018


Growing up, Radio’s journey
followed a familiar pattern for most
artistes- he was active in the school
choir and wrote songs for it as well.
It helped him hone his talent at song
writing.
Radio first garnered attention as an
artiste after he released Sweet Lady in
2006; a ballad about pursuing a love
interest. It is on this single that his
unique voice got a chance to be heard at
some events around the country.
However his first song was Jennifer,
released in 2005. Jose Chameleone,
already an established artiste then,
recorded the song at his Leone Island
studios and Radio’s meeting with
Chameleone opened many doors
for the aspiring musician. Radio met
Chameleone through another artiste,
Chagga. At the time, Radio was juggling
his young music career with his
university studies while also working as
a barber in Ndeeba, in the outskirts of
Kampala.
Goodlyfe Crew
During his time at Leone Island crew,
Radio worked as a back-up singer
for Chameleone as well as a driver.
It is here that he met Weasel and the
famous duo ‘Radio and Weasel’ was
born. Weasel, a younger brother to
Chameleone, worked as a backup singer
too.
One day as the two milled around
bored, they hit the studio and recorded
Nakudata their first song as a duo. The
song was an instant hit, bringing them
overnight stardom. Shortly after, fans
were singing along to Zuena, Ability,
Potential and many more and the two
started trading as the Goodlyfe Crew.
Their musical success pitted them
against their mentor Chameleone, and
they renounced their membership with
Leone Island. Fights both musical and
physical became a staple of the two
singers’ lifestyles and also fuelled their
creativity.
In their break out year in 2008,
Nakudata won them Song of the Year
at the defunct Pearl of Africa Music
Awards. They also collected Best New
artiste/group and Best Afrobeat single
for ‘Zuena’ at the event.
The dynamic duo, as they referred to
themselves, did not survive the folly of
fame. Fans would be astounded by their
rivalry with Chameleone since the latter
was Weasel’s brother. The group’s fights
with Bebe Cool were more acrimonious;
they traded insults, fought in bars, and
often sucked in relatives.
In December 2013, the duo faced off
with Bebe Cool in a concert dubbed
Battle of the Champions at Kyadondo
Rugby Grounds. Their quest for
domination seemed to cement their
position further as Uganda’s finest
music duo.
Although they had long made up
with Chameleone and Bebe Cool, the
group was at loggerheads with their
former manager Jeff Kiwanuka.
Radio and Weasel were plagued
by unending rumours of a split. No
sooner would a rumour be doing the
rounds than another chart topping hit
was churned from their Makindye-
based studios. As is wont with musical
crews, there would be fights over song
releases, performance fees, booking
negotiations but the duo’s creativity
invariably put the rumours to rest.
In 2013, the duo registered a
milestone when they earned a
During his
time at Leone
Island, Radio
worked as
a back-up
singer for
Chameleone
as well as a
driver. It is
here that he
met Weasel
and the famous
duo ‘Radio and
Weasel’ was
born
obituary
nomination in the Black Entertainment
Television (BET) Awards for Best
International Act Africa.
Last year in November, Goodlyfe
crew staged a concert marking their ten
years in the music industry where they
took their fans on a memory lane of
their unforgettable hits.
However Radio seemed to shine
more than his counterpart. Fans were
often awed by his sharp silky voice
that always belted out the chorus on
Goodlyfe hits. He also distinguished
himself as a song writer, penning
hits for many of his colleagues. Many
saw him as the lifeblood of Goodlyfe
but Radio was always at hand to
acknowledge Weasel as a vital partner.
Benon Mugumya, the founder of
Swangz Avenue, a music production
house, says Radio was peerless. “We
have not just lost Radio but music.
There is no one like him. There is no one
who crafted lyrics like him; the passion
and feeling he had, it is such a loss.”
Mugumya says he worked with
Radio on Dagala, one of Radio’s very
first songs. “He played a big role in the
establishment of Swangz Avenue,” he
told The Independent.
Singer after singer eulogized Radio
for his artistry. Bobi Wine wrote:
“Radio was an icon. He was a bright
shining star. He held Uganda’s flag
high on the national and global scene.
He defied the odds and proved that one
can rise from the ghetto and become an
international celebrity.”
Jose Chameleone said he was Radio’s
number one fan because of his obvious
talent. “He came to me and sung
to me first. We fell out, fought and
reconciled.”
Radio died on February 1 from
severe head injuries. He had spent
more than a week at Case Hospital
after a pub brawl in Entebbe. The
musician turned 33 on his deathbed
and is survived by three children; two
from fellow artiste Lillian Mbabazi.
His last song, Tambule Nange
released a few weeks before he was
hit, sounded like a valedictory to his
multitude of fans. In the song, Radio
was asking God to take charge of his
life and as fate would have it, Mowzey
Radio was gone.
Feb 09 - 15, 2018 37
Woman 38, pays billions to marry young man
A newly married Chinese
couple has been making
waves on the internet for
their unorthodox match-
she is a wealthy 38-year-old
mother of one, and he is a
23-year-old whose mother
is only a year older than his
Trump apology to Africans?
bride.
The woman apparently
fell pregnant after a
romance with the younger
man, after which he
proposed marriage. Initially,
the groom’s parents
opposed the wedding,
citing the 15 year age
difference between them, as
well as the bride’s 14-year-
old child from a previous
marriage. However, the
bride – a wealthy real estate
businesswoman – offered
them a dowry of 660,000
yuan (Approx.Shs380
million) in cash, a real estate
plot, and a Ferrari sports
car, altogether worth an
estimated a 5,000,000
yuan (Approx. Shs2.9
billion). The parents
gave their blessing
immediately following
the generous offer.
Nissan creates self-driving
bathroom slippers
Japan has long been known for
both its strong traditions and being
on the cutting edge of technology.
So it is not surprising that Nissan
Motor Co. has partnered with a
traditional inn, called ‘ProPilot
Park Ryokan to create high-tech,
self-driving slippers.
The slippers park themselves
at the entrance of the traditional
inn waiting for guests to use them
upon arrival. When guests have
finished using them, the slippers
will drive themselves back to their
original position. Each slipper
features two tiny wheels, a motor,
and sensors to drive it across
the lobby’s wooden floor using
a simplified form of Nissan’s
ProPilot Park technology.

African leaders who
met recently at the African
Union summit in the Ethio-
pian capital, Addis Ababa
were initially set to demand
an apology from U.S.
President Donald Trump
over his alleged reference
to their nations as “shithole
countries”. Trump denies
making the comment.
At the summit, ministers
even drafted a resolu-
tion calling on Trump to
“publicly apologise to all
Africans”.
But a Jan. 25 letter sent by
Trump prompted a change
of tack at presidential level.
“I want to underscore
that the United States deep-
ly respects the people of
Africa and my commitment
to strong and respectful
relationships with African
states as sovereign states is
firm,” Trump said. Secre-
tary of State Rex Tillerson
would “travel to Africa for
an extended visit,” he said.

Smart toilet cancels embarrassing noises

Don’t wear expensive stuff in Rotterdam –
unless you can prove you bought it!
`Fashion Police’ in the Dutch
city of Rotterdam is rolling out
a new and highly controversial
pilot program aimed at reducing
crime. The program will target
young men wearing designer
clothing or expensive jewelry
who supposedly look like
they’re too poor to afford the
Japan is known called the “Sound ble altogether. There
as the most polite Decorator”, which, is no word yet on
nation on Earth, unlike current solu- whether the technol-
and that extreme tions that only try to ogy will expand to
politeness extends mask noises by emit- include the infinitely
to all aspects of life, ting another sound, more embarrassing
including bathroom generates a pattern noises produced by
etiquette. Many that makes the origi- gas and defecation.
public toilets feature nal sound less audi-
a wall-mounted
device that, when
pressed, creates a
sound that masks
that of urination.
However, Japanese
items in question. If they’re homeware brand
unable to adequately prove to Lixil has partnered
the police how they were able with instrument
to purchase their clothes and/ maker Roland to
or accessories, the items will address the sensitive
potentially be confiscated on the issue of bathroom
spot, with suspects expected to noises. They’ve cre-
strip down in the street. ated a new device

38 Feb 09 - 15, 2018

 Top Peugeot designer dies
Gérard Welter modeled cars like the Peugeot 604, 304, and 406
By Motoring Guru
I
f you are a Ugandan of a certain age,
your heart certainly misses a beat
whenever you encounter a Peugeot. The
Peugeot was the hottest car on Ugandan
roads from the 1960s, 1970, to the 1980s.
And the sight of the Peugeot badge – the
silver lion on a blue background, makes the
heart race even on current models like Peu-
geot 3008 or even the Peugeot 207.
It is a pity the Peugeot global sales
website does not even cover Uganda. At
least the Kenya National Police uses some
Peugeots -4008 models. So, when one
of Peugeot’s most renowned designers,
Gérard Welter, died this Jan.31 of natural
causes at the age of 75, it is probable nobody
thought of informing Ugandans. But now
you know.
Welter designed one of the most posh
limousines on Ugandan roads in the late
1970s; the Peugeot 604. At the time, there
was the ubiquitous Peugeot 404 estate (sta-
tion wagon) for taxi and saloon for family.
Then there was the Peugeot 504 (also estate
and saloon) for the official use (Idi Amin’s
security agents loved to put their victims
in its boot). Finally, after 1975, the posh 604
arrived. It was really a longer version of the
504 saloon and fooled no one in spite of new
turbo-diesel 2.3 litre engine which promised
a faster pace but rarely delivered.
Peugeot were hot cars – winning the East
African Safari rally many times, including
404 (1961, 63, and 65 to 68). They competed
against top brands of the period including,
Volkswagen Beetle, Ford Zephyr, and Mer-
cedes Bezi 219 and 220.
Anyway, Welter – over 47 years, designed
cars like the 304, 305, the 405 and the 406.
He passed away after penning some of the
most legendary Peugeots of the last half a
century.
His last production Peugeot design was
the RCZ coupe, with its complex double-
bubble glass roof.
He is most famous, though, as the
designer of the iconic 205 hatchback. The
205 exploded onto the motoring scene in
1983 and Peugeot built 5.3 million of them
in seven countries over a 14-year production
run.
It gave birth to the 205 GTi, which was
the first hot hatch to best the Volkswagen
Golf GTi in performance, if not sales.
He didn’t isolate himself with conven-
tional projects, though, and he teamed
up with fellow Peugeot designer Michel
Meunier to create the WM-Peugeot sports
racing car.
Its top speed of 405km/h on the Les Hun-
audières section of the Le Sarthe circuit in
1988 remains the speed record ever record-
ed at Le Mans.
While Roger Dorchy’s lap in the WM P88
is widely remembered (the car was parked
almost immediately after recording the
record speed), Welter’s racers competed at
Le Mans every year from 1976 until 1989,
with part support from his employers.
He also designed the most successful
rally car of the Group B era, the Peugeot 205
T16, the Paris Dakar-winning 205 and 405
Coupe and the 405 Coupe that rose to fame
in the Climb Dance short film that covered
Ari Vatanen’s Pikes Peak victory in 1988.
Source: Additional reporting from the
internet.
Feb 09 - 15, 2018 39
Global comment
By Larry Hatheway
What I learned at Davos
It’s no surprise that as the Davos consensus has
ebbed, a wave of populist nativism has rushed in
T
he World Economic Forum’s
annual flagship meeting in Davos
has always been an easy target for
caricature, even ridicule. Over the
years, it has gained a somewhat deserved
reputation for gathering a bunch of global
elites in a posh Swiss resort for a week’s
worth of self-congratulatory speeches – a
sort of affirmation that the elite’s values
and successes epitomise the triumph of
democracy and capitalism.
That is not to say that dissent has not
been tolerated; but, more often than not,
it was mere quibbling at the margins,
never a genuine reflection on what might
be flawed or missing. Until the financial
crisis of 2008, Davos never wavered in its
cheerleading for democracy, markets, and
globalisation.
Today, Davos man (and it remains
mostly men) isn’t so supremely confident.
The challenges he faces are on many fronts,
and they aren’t all called Trump.
For years, Davos was a reflection of the
world that Francis Fukuyama proclaimed
had reached the “end of history,” a
community of nation-states drawn ever
closer by trade and liberal-democratic
values. That might have been true about
the history that was made in 1989 and
immediately afterwards. Communism lost.
But capitalism’s (or democracy’s) victory
began to look less complete against the
backdrop of ethnic and religious strife –
and soon sectarian terrorism – that filled
some of the vacuum left by the demise of
the Soviet Union.
Davos was also about faith in rational
economic behavior. That belief, too, seems
quaint in the aftermath of the credit bubble
that fueled the global financial crisis,
which exposed economic models based
on rational decision-making to stinging
intellectual attack from the behavioral
economists.
Finally, Davos was about a belief that
globalisation, abetted by information
technology, would not be just an engine of
growth, but also a leveler of cultural and
historic divisions. Clearly, that, too, has
not worked out the way Davos man had
thought.
It should come as no surprise that as the
Davos consensus has ebbed, a wave of
populist nativism – often suffused with
40 Feb 09 - 15, 2018
racism, religious or ethnic intolerance,
misogyny, and gender bias – has rushed in.
Davos man is not ready to succumb. Too
much is at stake for surrender.
But one thing I didn’t hear at Davos
this year was an ability to articulate the
globalist answer to nativism. It isn’t
enough to disparage the other’s values.
Negativity may win the battle, but it’s
unlikely to win the war, much less secure
long-term peace and prosperity.
Davos man is beginning to learn a much-
needed lesson in humility, requiring him
to ask which of his beliefs are foundational,
and which need revision. My sense is that
the answer will reaffirm that democracy,
a market economy, and globalisation are
the foundations of human progress. So,
too, are acceptance of diversity, logic, and
science.
Those always were Davos man’s core
tenets. But his successor – perhaps we
should say Davos woman – understands
that they are both necessary and
insufficient.
Equality of opportunity – who knows,
perhaps even a fairer distribution of
income – is what the formerly smug,
self-assured Davos man left out of the
Davos was
also about
faith in
rational
economic
behavior
equation. If the nativists today stand for
anything, it is that Davos 1.0 didn’t work
for them.
But it is important not to lose sight of
what Davos should reaffirm. I heard the
passion and determination of a young
man, barely out of his teens, who spoke
about his efforts to devise a simple
technology that in several decades may
rid the oceans of 90% of the plastic waste
that now floats in masses half the size of
continents.
I listened to a professor of materials
science describe how teams of researchers
are using nanotechnology to address
myriad challenges. One team has
developed degradable packaging to
replace plastics. Another is advancing
drug therapies tailored to the needs of
individual patients. And yet another team
is collaborating with biotechnology experts
to find ways to regenerate human tissue,
giving hope to those paralyzed by spinal
cord injuries that they may one day walk
again.
Those stories of creativity and the power
of science belong to the best of Davos.
The young man working to clean the
world’s oceans is the son of immigrants.
The materials scientist is a woman. Both
work freely across borders and disciplines.
Their ingenuity is supported by the
public and private sectors, and though
their accomplishments may one day be
handsomely rewarded, their motivations
are more a mix of intellectual curiosity and
altruism.
Davos man must change. But that cannot
mean rejecting the core commitment to the
view that human ingenuity, fostered by
open societies and rewarded by markets,
remains the sturdiest foundation for the
advancement of humankind. Rather, it
means ensuring inclusion, so that no one
is denied the opportunity to participate
in the betterment of their lives and their
communities.
Larry Hatheway is Head of Investment
Solutions and Group Chief Economist at GAM.
Copyright: Project Syndicate, 2018.
www.project-syndicate.org
We are live everywhere, Always