By By Godfrey Olukya 26-9-2013
President Yoweri Museveni has lashed out at financial institutions which charge high interests rates even when inflation is at its lowest
saying they are out to fleece their clients and frustrate economic growth.
The President said there is not enough cheap money in the financial sector to spur growth saying the high interest rates are a hindrance.
“What we want is affordable money. Inflation is low but the banks have maintained the rates very high,” he said.
The President was last afternoon giving a key note address at this year’s African heads of State and government Investment working lunch at the New York Stock Exchange under the theme, “Intra-African investment and regional economic integration”.
The luncheon organized by the Africa Investor, the office of the Special Adviser on Africa and the Global Partnership Forum in support
of NEPADs capital flows initiatives is aimed at raising awareness and position Africa as a competitive and preferred international
investment destination. It was attended and addressed by among others the African Union Commission Chairperson Dr Nkosazana Dlamini Zuma, Armando Guebuza, President of Mozambique, South Sudanese new Vice President James Wani Igga, Amir Dossal, Chairman of the Global Partnerships Forum and High Representative of the UN Secretary General Nassir Abdulaziz al-Nasser.
Museveni highlighted what he described as stimuli for growth, investments and enhancing profitability saying Africa is a huge
continent that had a setback due to balkanization and colonialism, adding however that African countries using regional economic blocks are aiming at re integration for a common market citing blocks such as EAC, COMESA, ECOWAS and others.
“You can’t produce what you can’t sell. Our first task was to solve the problems created by the balkanization of Africa with the aim of
one common market. Once you produce in Uganda, you don’t only sell here but in the whole region,” he said, adding investing in Uganda ensures that producers have access to markets in the USA, China, India and the EU, tax and quota free.
The President said Uganda is now biasing its education system towards science with incentives and scholarships, adding however that most of their scientists migrate to developed countries for jobs.
The President faulted passed leaders in Africa for attacking the private sector which they claimed was causing the hemorrhage of
resources and also for nationalizing assets of the private sector, saying this was a policy mistake that had to be reversed.
“I want to encourage you to see the potential of money in Africa. I want to encourage you to come and make money and for us we get
industries. Don’t come to do agriculture or to look after cows, we have enough experience in that, we need value addition and agro
processing,” he said.
END