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Satellite the way forward in improving Internet Access

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By Silvia Nyambura

Uganda has seen a sweeping internet revolution over the last decade, mainly driven by mobile internet. According to a recent UCC report total estimated internet users increased by 52% to record 12,986,216 in financial year 2014/2015 compared to 8,531,081 in the previous financial year. As such, internet penetration increased from 37.3% driven by faster than average growth in mobile internet subscription.

Despite these impressive growth figures, there are still huge sections of the population and critical health and education infrastructures that either do not have access to internet at all or sufficient speeds. Gaps in internet access

Another UCC Report released in October 2015 called ‘A Study into Communication Services and Infrastructure across the Country’, reveals there a total of 3,949 base stations offering a mixture of 2G, 3G and 4G internet. All the base stations offer 2G network but even then, this covers only 49% of Uganda’s geographical area or 81% of the population.

Only 1,605 base stations, 42% are 3G enabled covering a mere 7% of the geographical area and 27% of the population. Only 114 stations (3%) are 4G enabled. The report also indicates that Uganda has 4,662kms total fibre length installed, but most of this is route duplication by other networks, reducing to just over 2,100 km. Kampala is only served by 282km of fibre.

57 districts have no fibre access whatsoever on their land (57%), while 1031 sub-counties (76%) have no fibre access. Out of the 612 sub-counties with 3G coverage, 384 of them do not have any fibre to support data back-haul, implying limited access speeds.

According to Internet Service Provider (ISP) iWayAfrica’s CEO Godfrey Serwamukoko, satellite internet (VSAT) provides the easiest way of commercially reaching these underserved populations.

“Given the commercial limitations of extending fibre and 3G/4G services to some of these remote areas, satellite technology is the only realistic solution to these areas that are underserved by terrestrial infrastructure. Although satellite connectivity has always been in the country, there has always been a cost-of-entry barrier. This has put it out of reach of many organizations and residential customers. The uniqueness of this technology is that it is completely ubiquitous regardless of location. It is complimentary to fiber and other technologies, convenient and is getting even more affordable,” he said.
Serwamukoko was speaking recently at the launch of the Yahsat Ka-Band Satellite solution -a shared broadband residential and SMEs- offering up to 7168 mpbs downloading and 1536mpbs uploading speeds. It is a product affordably priced at US$ 30 (Ushs 100,000) for unlimited internet at good speeds for a month.
“The service is suitable for any individual looking to open an office anywhere in the country and we can guarantee that 99.5% of the time the customer has the terminal, it will be up and running; worrying about internet will be something of the past. The solutions are tailored to suit the individual customer needs,” he added.

Serwamukoko said with the flexibility and easy-to-install capabilities of satellite solutions, the Yahsat Ka-Band Satellite solution can be tailored for customers with only 1 employee to over 100 employees.

“Larger organizations or special projects can choose from any of our other solutions that offer up to 100 Mbps that can be deployed anywhere across the country or countries for those with multi-country presence,” he explained.

To defray the costs of equipment, iWayAfrica will sign contracts with customers that allow them to spread the cost of the equipment across the lifetime of the contract.

“If a client is paying regularly for a year, the cost of equipment can be spread out to make it more affordable. This would cover the cost of installation, dish, indoor modem and terminating onto your network to make sure the internet is up and running for the consumer,” noted Serwamukoko.

The solution is the product of a recent partnership between Yahsat- a Middle East based satellite broadband provider and iWayAfrica. The partnership will see iWayAfrica provide on-ground satellite broadband support services for Yahsat.

Kevin Viret, the Yahsat Regional Director for Africa said, “In the face of technologies such as 4G LTE and fibre optics, there is a distinct advantage for VSAT because it’s deployable and works well regardless of location. It is completely ubiquitous regardless of location. It is complimentary to fiber and other technologies, convenient and is getting even more affordable.”

He revealed Yahsat plans to launch its 3rd satellite- Al Yah 3, planned for delivery in Q4 2016, with services to be rolled out early 2017. This will extend their commercial Ka-band coverage to an additional 19 markets reaching 60% of Africa’s population and over 95% of Brazil’s population.


Inflation up to 9.1%

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By Our Reporter

The Annual Headline Inflation for November 2015 has risen to 9.1% compared to 8.8% in October. This was largely driven by Annual Core Inflation which rose to 6.7% compared to the 6.3 per cent recorded in October 2015. In addition, Annual Food crops Inflation increased to 20.3% compared to the 20.2% previously.

The other driver was Annual Energy Fuel and Utilities (EFU) Inflation that rose to 12.1% compared to the 11.9% registered in October.

Masaka registered the highest Annual Inflation of 11.5%, Mbarara was 2nd with 11.1% while Kampala Middle and Low Income registered the 3rd highest Annual Inflation of 9.8%.

The main drivers in the three centres were high price levels of food, clothing, footwear and electricity charges. In addition, rent and medical services were among the drivers for Kampala Low and Middle income, whereas meals in restaurants contributed to inflation in Masaka.

Food registered an annual inflation of 17.2% compared to the 16.4% recorded in October while Non- Food Inflation rose to 5.4%.

The Annual Inflation for Other Goods rose to 7.7% while that of services declined to 6.1% in the same period.

Uganda’s middle income status dependent on taxes

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By Silvia Nyambura

For Uganda to transform into a middle income economy, it must be fully financed through tax revenue. However there are very few people complying which means taxes remain high, the Uganda Revenue Authority (URA) Commissioner General Doris Akol has said. If everyone were to pay a little then no one would have to pay too much.

She explained the biggest reason why Ugandans do not warm up to taxes is because they do not factor them in when starting businesses.

“Ugandan startups need to be professional from the beginning. The problem is most people want to start businesses, make profits and leave it at that. If they factored taxes in their projections, compliance levels would go up,” she said.

Akol who was addressing journalists at the African Center for Media Excellence in Kampala yesterday noted the informal sector is URA’s key focus in driving the compliance agenda.

“The informal sector contributes 62% to Uganda’s Gross Domestic Product (GDP). Surprisingly, unlike the general perception that it is a sector made up of illiterate people, most of the players are professional high net-worth individuals running small businesses and who unfortunately have their myths about taxation. Because of the informal nature of these businesses, they cannot be easily regulated. We need to pass laws to enable them pay taxes conveniently without feeling like they are losing money,” she said.

URA targets to attain 16% tax to GDP ratio by 2018 compared to the current 12.8%. This according to Akol will be achieved through influencing mindsets, putting in place systems that collect, track and account for collections, electronic interfaces  with government departments and use of data analytics in revenue collection.

 

 

 

 

 

Businesses should insure against political risk this election period

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By Silvia Nyambura

As Uganda readies herself for national elections slated for 2016, there is need for businesses and investors to improve on their risk profile to alleviate any fears. Specialized insurance products to cover political, investment and trade credit risks can go a long way in achieving this.

According to senior representatives of the African Trade Insurance Agency (ATI), these products cover situations in which companies may experience difficulty transferring their money or exchanging it into foreign currency. They also cater for instances when government agencies unfairly seize a company’s assets, companies that may have difficulty importing required equipment or goods due to trade embargoes and companies that experience delayed payments by government agencies or private buyers.

Addressing the media at Protea Hotel this morning, ATI’s Country Manager Frederick Mutua said, “We are not your typical insurer. We insure trade and investments which are fundamentals to the economy. In times of political violence, terrorism and sabotage, businesses can mitigate the situation by providing capacity for issuance of insurance and bonds.”

The company is hosting a workshop for banks in Uganda to sensitize the lenders on its products that help to increase credit facilities to small and medium sized companies.

“One of the ways that in which we are helping Uganda maintain its economic strength throughout the election cycle and beyond is through support to banks. So far we have guaranteed bank loans that have supported an addition of 50 MW of power to the national grid, the construction of a multi-million dollar hotel in Kampala, construction of roads, a water processing plant and a power generation plant in rural areas of the country. In addition we have helped the government to import commodities such as petroleum products valued at over Ushs 99 billion,” he added.

ATI Chief Executive Officer George Otieno commented, “We have provided significant support to Ugandan banks by guaranteeing their clients’ bonds and other trade transactions. We see room to significantly extend our cover to project finance and medium-to-long term transactions. This is significant for Uganda because it will attract much needed financing to projects in capital intensive sectors such as energy and roads construction.”

Irene Kego Oloya ATI Uganda’s current Board member noted, “When we begun our operations in 2001 many investors hesitated to do business in Africa. Uganda was no exception. We have changed the game by rewriting the story of African risk as something that is more realistic and tenable than what is often misrepresented in the international media. This has helped Uganda and many other countries to continue attracting investments and supporting increased trade with countries within Africa and abroad.”

MasterCard Foundation commits US$ 74 million to youth employment

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By Our Reporter

The MasterCard Foundation is launching a US$ 74 million youth employment initiative in Uganda and Ghana dubbed the ‘Youth Forward Initiative’. The event will take place in Entebbe later this week with representatives from financial service providers, relevant government ministries, the private sector, educational institutions and youth-based organizations.

This five year initiative is expected to reach over 200,000 economically disadvantaged young people, aged between 15 and 24 years. It is focused on youth living on less than US$ 2 per day, who are out of school, unemployed or underemployed and are seeking quality employment or the opportunity to start their own businesses in the growing agricultural and construction sectors. This model uses a holistic approach that combines market-relevant skills training, mentorship, internships and access to financial services to help young people transition out of poverty and into sustainable livelihoods.

“The Foundation recognizes that in order for youth to reach their full potential, they must have access to the right skills and opportunities. By bringing together multiple partners with varying types of expertise, we can better support young people through practical skills development, networking opportunities and access to appropriate financial services so they can successfully find a job, further their education or start their own businesses,” says Ann Miles, Director of Programs, Financial Inclusion and Youth Livelihoods at The MasterCard Foundation.
The Youth Forward Initiative will be implemented through partnerships with four consortia comprised of 28 organizations. In Uganda, GOAL and NCBA CLUSA will be lead consortia connecting young people to employment and entrepreneurship opportunities in the agricultural sector.

In addition, Overseas Development Institute (ODI) along with Development Research and Training (DRT) of Uganda have been engaged to generate critical learning about the initiative.

“The scale and scope of the Youth Forward Initiative presents an exciting opportunity to learn more about the needs of young people and how to improve economic opportunities for them across different sectors and regional contexts. The learning partnership will facilitate conversation and learning between implementing partners, the private sector and government, working to ensure that research and evidence inform their decision-making,” says Peace Nganwa, the Initiative’s Coordinator for DRT.

Young people in Sub-Sahara Africa face several challenges as they seek sustainable means of living. This include low levels of education and skills, limited access to appropriate financial services such as credit and negative perceptions and discrimination from employers. As a result, most young people on the continent find themselves employed in informal jobs with low productivity and pay.

The Youth Forward Initiative specifically targets sectors in Africa that have the highest potential for job growth. The World Bank expects that 72% of young people will be engaged in household enterprises in agriculture over the next five years. Additionally, the McKinsey Global Institute estimates that the construction sector will generate 5.1 million jobs over the next 10 years.

BrighterMonday Career Expo to address Unemployment in Uganda

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By Our Reporter

Online job portal BrighterMonday will on the 29th of January 2016 hold a career expo at Kyandondo Rugby Grounds from 8am to 6 pm. The event aims at creating a platform through which employers and job seekers can connect.

The rationale of the Expo will be in line with various reports that have been released indicating there is an unprecedented rise in unemployment in Uganda. An International Labor Organization (ILO) report released in 2013 for example indicates the population of youth (18 -30 years) in Uganda’s labor force has grown from 4.2 million 2005/06 to 5.5 million in 2009/2010. It is estimated that number will grow to 9.5 million by 2015.

This rise in the labor force is coupled by a graduate un-employability challenge affecting university graduates seeking jobs. A 2014 World Bank report for instance explains that even with the creation of job opportunities over 70% of an approximated 400,000 fresh graduates in Uganda are unemployable due to skills deficiency.

The Expo has therefore been designed as a collective effort to address the various challenges within the employment sector such as finding the right candidates and finding the right employer along with addressing graduate un-employability in Uganda.

“With unemployment, underemployment and an increasingly young population, our country requires all stakeholders to step up to the challenge of creating sustainable solutions for the youth. This Expo will become one of the many platforms through which collective effort in addressing these challenges begins,” explained Brian Ntambirweki, Marketing Manager BrighterMonday Uganda.

The event will be fully packaged with a number of activities including on-spot interviews, an entrepreneurship hub for young entrepreneurs to showcase their innovation, volunteering and internship opportunities, entertainment, food courts.

“Graduates will have the opportunity to interact with a diverse group of employers which will go a long way in exposing what is basically required of them in the employment world. In addition, there will be hourly career guidance training at the Expo that will ensure graduates gather as much information as possible on what is entailed in their career life,” he said.

BrighterMonday has partnered with different organizations for the Expo; including NTV, the Human Resource Managers Association of Uganda (HRMAU) and AIESEC; a non-profit organization that provides volunteering and internship opportunities for university students across the world.

Victoria University to hold Career Fair in South Sudan

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By Our Reporter

In line with the growing population of students from South Sudan, Victoria University has planned an education career fair from 3rd to 7th December at the Juba Regency hotel.

The aim of the fair is to offer career guidance and first-hand information on Victoria University. The university shall have presentations on different courses offered plus useful information the students require to study and live in Uganda.

Key activities will include Career Guidance, on spot admissions as well as presentations on the different faculties and what they have to offer.

In a press release distributed to media houses, the Vice Chancellor Dr. Stephen Robert Isabalija said, “It is key that we offer quality education to students from Uganda and the rest of the world. Through a lot of online engagement with our audiences on our social media platforms we have been able to identify demand in South Sudan. We are glad to be able to share experiences and answer any questions participants may have regarding higher education and ensuring they are well prepared for a successful career.”

He explained graduates will have the opportunity to interact with a diverse group of employers which will go a long way in exposing what is basically required of them in the employment world.

“In addition, there will be hourly career guidance trainings at the Expo that will ensure graduates gather as much information as possible on what is entailed in their career life,” he added.

Commuter trains to begin operating in Kampala next week

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By Barnet A. Shizzola

The Uganda Railway Corporation (URC) has today handed over an operation license to Rift Valley Railways (RVR) to begin commuter train services on Monday next week. This follows a partnership between the two organizations and the Kampala Capital City Authority (KCCA) aimed at reducing traffic in the city.

Speaking at the event, Charles Kateba the Managing Director URC said the passenger train services will begin with the Namanve Kampala route. The estimated journey time will be approximately 40 minutes and will cost Ushs 1,500 per journey. Return tickets will however go for Ushs 2,000.

“The commuter train services will help reduce the pressure on traffic particularly road rush hours. The legal and financial arrangements are in place for us to begin operations. URC will be in charge of selling tickets and customer care whereas RVR will be in charge of operating the trains and maintaining the stations at Kampala, Nakawa, Kireka, Nambole and Namanve. KCCA will provide financial support to cover the shortfall in income against operation costs. So far the Authority has already provided Ushs 1 billion as a way of showing full commitment to this service,” he said.

Charles Ouma from KCCA said, “We have 11000 registered taxis which for a city like Kampala are too many. Together with the boda bodas, they are the biggest causes of traffic in Kampala. The commuter trains will go a long way in improving efficiencies and transit times.”


Uganda among first East African Countries to join the AFC

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By Our Reporter

Uganda and Rwanda are the first East African countries to become members of the Africa Finance Corporation (AFC), a leading development finance institution for infrastructure projects in Africa.

AFC is progressively aligning its country membership with its operational footprint, consistent with a carefully designed membership expansion strategy. Uganda which signed the Corporation’s instrument of accession and acceptance of membership on 6th November 2015 brings the Corporation’s total members to 13. AFC’s other members are: Cape Verde, Chad; Côte d’Ivoire, Gabon, the Gambia, Ghana, Guinea-Bissau, Guinea, Liberia, Nigeria, Sierra-Leone.

The accession of these countries marks a significant milestone in AFC’s mission to address Africa’s pressing infrastructure needs and build the foundations for robust economic development across the continent. To date the Corporation has invested US$ 2.6 billion in projects across 24 African countries and in a wide range of sectors including power, telecommunications, transport and logistics, natural resources and heavy industries.

Commenting on the announcement Andrew Alli, CEO of AFC said, “By improving the infrastructure of these fast-emerging East African economies we hope to facilitate closer intraregional trade links, a goal that can only be achieved if the adequate transport, telecommunications networks and power supply are in place. This is where AFC steps in and we are excited by the challenges and opportunities that lie ahead.”

He explained lack of essential infrastructure remains a critical constraint across Africa.

“Over 620 million people do not have access to reliable electricity. AFC works closely with both public and private institutions to develop innovative financing solutions for large scale infrastructure projects in Africa and oversees the whole project cycle, from concept to completion,” Kasaija added.

Uganda and Rwanda are forecast to maintain positive growth rates over the coming years, with the IMF predicting 5.6% and 7% GDP growth in 2015 respectively. Rwanda’s pivotal geographical location at the intersection between East and South has made it a commercial center bridging the two regions.

Improving the quality of infrastructure is a priority for the governments of these countries. The government of Uganda, for example, plans to implement an US$ 11 billion program over the next ten years utilizing both the public and private sector, to upgrade the country’s power and transport infrastructure in particular.

Uganda’s Minister of Finance, Planning and Economic Development Hon. Matia Kasaija said,

“Uganda is pleased to be one of the first East African Countries to become Members of AFC. The corporation is bringing innovation to the development and financing of infrastructure on the continent. In line with the EAC’s strategy of ensuring that Partner States’ provide basic infrastructure as one of the Operational Principles of the Community (Article 7 (b)); we are looking forward to stronger presence of AFC in the East African region and particularly in Uganda.”

He added Uganda’s partnership with AFC will go a long way in helping the Government to attain the country’s Vision 2040 Strategy of ‘A Transformed Society from a Peasant to a Modern and Prosperous Country within 30 years’.

As one of largest financiers and developers of infrastructure in Africa, AFC is perfectly placed to help improve the quality of East Africa’s infrastructure, enabling the region to capitalize on its strategic position and strong growth prospects.

Ugandans to access air lifted medical services

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By Our Reporter

Ugandans in dire need of urgent medical attention will now be able to access services faster following the introduction of the Maisha Air Ambulance Scheme. This is a cover under the AMREF Flying Doctors organization that gives quick access and response to air evacuations in the event of a medical emergency. It has been established in partnership with the Uganda National Chamber of Commerce and Industry (UNCCI).

Speaking at the launch event held at the Imperial Royale Hotel in Kampala, Dr. Bettina Vadera the AMREF CEO said, “I believe this product will dramatically improve decision making in times of medical emergencies. In terms of accidents or any other medical emergencies, the speed of evacuation to a proper medical facility can often mean the difference between life and death.”

The Scheme has gained popularity throughout the East African region with a subscription base of over 240,000 in the last three years. In Uganda the rates begin from as low as US$ 49 per person for groups of 4-9 people per year which is non-refundable.

“This is very affordable compared to the price one pays for evacuation when they are not registered which can go as high as US$ 12,000,” she explained

Also making his remarks, UNCCI acting Secretary General Ezra Rubanda said, “This is a venture we are proud to associate and partner with. The cover is very important especially for the tourism industry. Many are the times where we have tourists being injured or even lost and we have no way of evacuating them or by the time we get to them it is already too late. With Maisha Air Ambulance Service, such emergencies will be taken care of efficiently.”

The benefits of having the cover is that subscribers have direct access to the air ambulance provider without going through third party. The subscriber also gets two medical evacuation flights per year and direct access to AMREF’s 24-hour control center for medical advice.

AMREF Flying Doctors is part of Amref Health Africa which has been in operation in the continent since the mid 1980’s. The organization started a medical outreach program in Uganda in 2005. So far, it provides specialist health care services through 16 rural hospitals located in the remote areas of Northern, Eastern, Western and Southern Uganda. The project has built the capacity of medical staff through on-the-job trainings and provided essential medical supplies to the outreach hospitals.

Abenet Berhanu, the Country Manager of Amref Health Africa said, “Amref Health Africa gets direct funds from Amref Flying Doctors to support the medical and outreach program. Under the program we give specialized services including ophthalmology, fistula corrections among others.”

UNICEF and Jovago team up for Birth Registration in Uganda

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By Our Reporter

Hotel booking site Jovago has partnered with the United Nations Children’s Fund (UNICEF) to improve birth registration in Uganda. The program is in support of governments efforts toward the same.

In a press release seen by this magazine, Estelle Verdier-Watine, Jovago’s East Africa Managing Director said, “Jovago is very proud to partner with UNICEF’s efforts to support governments in Africa to register each and every child at birth. We look forward to the day when all children across Africa, including Uganda will be fully registered and have their birth certificates at birth, thereby giving them a passport to protection for the rest of their lives.”

Jovago donates US$ 5 from all bookings made on its platform worth more than US$ 50 to UNICEF’s birth registration efforts in Africa.

UNICEF’s Chief of Child Protection in Uganda Silvia Pasti said, “With new partners like Jovago, UNICEF will be able to step up its support to government, to make birth registration services more available and accessible in most parts of Uganda. Birth registration provides the protection of every child’s right to identity and existence and is essential in determining nationality, age and parentage of each child. It facilitates children to access government services like health and education, as well as help to protect children from exploitative labor, being arrested and treated as adults in the justice system, being forced into the military, and early marriage, trafficking and sexual exploitation.”

She explained birth certificates can help in tracing, promoting safe migration and reunifying children with their families in situations of armed conflict or natural disasters.

“Overall, birth registration provides children with more opportunities to realize their full potential and have a brighter future. Uganda’s national birth registration rate is currently estimated at 60% having doubled 30% in 2011 and nearly tripling from 21% in 2006. Uganda has made excellent progress in its national birth registration program over the last several years through use of technology. Our goal is to see that number continue to grow,” Pasti concluded.

Victoria University honing talent for Oil and Gas Sector

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By Silvia Nyambura

The build up to Uganda’s oil production due in 2018 warrants capacity building for the industry to avoid over-reliance on foreign skill. With this in mind, Victoria University has over the past few years trained more than 150 students under its department of petroleum and gas studies.

According to the University’s Vice Chancellor Stephen Robert Isabalija, the trained students are ready and competitive enough to work in the sector.

“The Department of Petroleum and Energy Studies at Victoria University was formed out of the need to build capacity in the extractives industry. We felt we should begin training early so that when the first barrel of oil comes out of the ground we have our people working in the fields,” he says.

Under this department students get the chance to pick from a wide range of courses including; Oil & Gas Accounting, Oil & Gas Law, Oil & Gas Project Management, Oil & Gas Health, Safety & Environmental Management, Supply Chain and Logistic Management and Oil and Gas Management.

“Through these courses, we are out to engage the public as well as partner with government to provide value. When government identified these resources, it meant Uganda had to prepare through capacity building and we are slowly achieving this. The most marketable jobs in the extractives industry are in engineering. We are looking at introducing more courses inclined to this by August next year to further equip students with skills to take up the vast opportunities in this sector,” he adds.

In addition, the University has partnered with international organizations like the Institute of Public and Private Partnerships (IP3) .This will not only ensure the graduates are taken up into the system but also allow them uphold the right industry standards. Victoria University is also trying to target other universities to support in delivering this education.

“We have a very good relationship with oil companies that is how we have been able to take our students to oil fields. We also recently signed a Memorandum of Understanding with the College of Natural Science in Makerere to be able to do more trainings. Government Ministries and the Council for Higher Education have been very supportive involving us in policy formulation. This is a new a field which is highly specialized, sometimes it is very difficult to get the trainers to do the job but through support from various stakeholders we have managed to attract the best trainers,” he concludes.

RVR heavy duty railway wagons arrive in Mombasa

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By Our Reporter

The first 120 of 480 heavy-duty railway wagons purchased by the Rift Valley Railways (RVR) have arrived in Mombasa. The wagons are expected to increase the company’s haulage capacity by 50%. Each of the wagons has the capacity to transport 60 tons per trip meaning RVR will significantly increase on its current 40 ton load capacity per wagon.

Announcing the development at the commissioning ceremony in Mombasa, Carlos de Andrade the RVR Group CEO said, “In the past we have been limited as regards the volume of freight we are able to move because of the size and quality of the wagons we inherited, many of which were built more than 30 years ago. For the first time since we took over the concession, RVR will be deploying wagons that are purpose built for modern rail transport operations, both in terms of capacity and their condition.”

He continued explained the new wagons are a lot more cost effective per trip. This means the company will be able to reduce freight charges considerably and become a lot more competitive than the roads which are already overburdened with traffic.

“We are confident once the new wagons are put into service along with the 20 GE locomotives that recently arrived, we will able to increase the volume of business we are handling. Eventually this will allow us to fully utilize the newly opened inland container port in Mukono which has the capacity to handle 1,644 units at any time and 36,500 containers a year and is expected to play a major role in our business growth,” he added.

Speaking about the impact the new wagons are expected to have on transport and infrastructure on the northern corridor, RVR General Manager, Concession & External Communications, Sammy Gachuhi said, “The additional capacity means the railway is now positioned to even surpass the impressive freight volumes numbers achieved last year. As at 31st January this year, we had moved over 1.8 million Net Ton Kilometers (NTK) of freight against a target of 1.7 million by 31st March in Kenya. The corresponding figures for Uganda were 250 million NTK of freight moved as at 25th February against a target of 250 million by March.”

RVR is currently at the midpoint of a US$ 287 million capital expenditure program that began in January 2012 to revitalize the railway. Since the start of the renewal program, RVR has invested US$ 126 million in modern rail operating technology, rebuilding infrastructure, expanding haulage capacity and developing modern rail operating skills in its 2,400 strong workforce.

The company has also completed the rehabilitation of the most damaged sections of the railway track between Mombasa and Nairobi and rehabilitated and reopened the 500 kilometer railway from Tororo to Gulu in northern Uganda after a 20-year hiatus. Installation of satellite tracking and GPS-based technology on all trains helped cut cargo transit times between Mombasa and Nairobi by six hours.

Small businesses to benefit from EFC’s US$ 3 million loan

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By Our Reporter

The Entrepreneurs Financial Centre (EFC), a micro finance institution based in Kampala has received US$ 3 million from its Dutch Partners FMO (The Entrepreneurial Bank of the Netherlands). The loan will run for a tenure of 3 years and has been granted under a fund that FMO manages on behalf of the Government of the Netherlands. The specific purpose of the fund is to support the financing of micro and small enterprises in emerging markets like Uganda.

In addition to the loan, EFC will receive a grant of EUR 100,000. This grant will enable the company to strengthen its operations and to build the capacity of its staff in order to better serve Uganda’s Micro and Small Enterpreneurs (MSEs).

Nanno Kleiterp, the CEO of FMO said, “This financing will enable EFC to support job creation in Uganda. It will provide access to finance for MSEs which will stimulate economic development and innovation. EFC is a valuable addition to our presence in Tanzania and Zambia and it further cements our relationship with Développement International Desjardins (DID). We look forward to expand our cooperation and continue to develop much needed financing solutions together.”

FMO is one of EFC’s oldest partners since the institution’s inception in Uganda in 2012.

“We have had a long standing relationship with FMO as it has supported our operations in the past. We believe that this continued partnership will push us a step further to becoming the preferred financial services partner for MSEs in Uganda. The business is growing rapidly and this loan will enable us grow our team and our customers’ businesses in the long term,” said Claude Lafond, Managing Director of EFC Uganda.

The company was established in Uganda in 2012 by Development international Desjardins (DID). The company recently attained Microfinance Deposit-Taking Institution (MDI) status from the Central Bank making it a deposit –taking institution.

UTL subscribers to access customer care services via Whatsapp

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By Our Reporter

Uganda Telecom has today introduced a platform where subscribers can access customer care services via Whatsapp. This is in a bid to utilize what is arguably the world’s most popular texting app today. The Whatsapp customer care number is 0717 700 700 and it is available for all inquiries.

In a Press Release seen by The CEO Magazine, UTL’s Brand and Communications manager Regina Corry said, “We are a telecom company that strives to satisfy and bring the customer closer to us. We always put the customer first and will keep on making it easier for our customers to interact with us. Since we launched Customer Care via Whatsapp, the number of people who have added us is tremendous and the responses to inquiries are prompt and immediate.”

UTL spokesperson Tonny Achidria further explained that Sim Card registration is also on going via the same platform.

“A customer can register their sim card, by sending a filled in registration form downloaded from the UTL website together with a passport size photo and a valid identity card to the UTL Whatsapp customer care number,” he said.

Recent surveys have shown that customers want immediate responses and solutions to their issues and this innovation aims at resolving this.


Powerful strategies for retaining your top-performing talent

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By Anton van Heerden

Retaining employees has emerged as a key business challenge in a market where many important commercial, technical and management skills are in such short supply. This issue is not just high on the agenda for the human resources (HR) departments; it is also becoming a point of discussion among senior managers and in the boardroom.

Every time you lose a good employee, it costs you money because you will need to recruit and train someone to replace him or her. It disrupts continuity in your business, can hurt customer relationships, slow you down and results in you losing a small piece of your corporate memory.

Yet only 7% of respondents to Deloitte’s Global Human Capital Trends 2015 consider themselves excellent at measuring, driving and improving engagement and retention. Here are some powerful strategies for retaining your top-performing team members.

Keep investing in training, development and mentoring

Employees place a high value on opportunities to develop their skills and learn new things and that’s doubly true of the most ambitious, high-performers that could become your business’s future leaders. For that reason, it is important to have a formal learning and training strategy and to keep budget available for training and development. Even when times are tough, training should be one of the last places you look when you are trying to reduce costs. Losing good people or having an unskilled workforce will cost your business more money in the longer term.

Invest in employee engagement

Employee engagement can be defined as the techniques, tools and strategies you can use to get employees motivated about their work and engaged in the business’s strategy, values and culture. Some examples of these include employee satisfaction surveys, employee self-service tools, team-building exercises and mentoring processes. Without this investment, the business and its employees will be in poor alignment. The result will be poor staff retention.

Hire and promote the right people for the job

One of the biggest reasons people do not last in a job is that they were not a right fit for the role or the company in the first place. Evaluate every candidate for his or her cultural fit with your organization. Don’t just look at the skills, qualifications and experience, but also assess his or her attitude, values and outlook. A person might be a great hire for another business, but not for yours, simply because of cultural fit. Also, be sure to check that you are hiring (or promoting) the person for the right job. A candidate could be a spectacular salesperson and a terrible manager.

Listen to employees and ask for feedback

It is important to gather employee feedback through formal and informal channels alike. Conduct regular surveys to assess workplace happiness and find out what you can realistically do to improve employee satisfaction. Also, make time to listen to employees’ suggestions in more informal settings.

Even though not every suggestion will be viable to implement and some complaints might not be valid, people like to feel that their opinions are heard and their issues are understood. Employees might have great suggestions that can help you improve your business, their perspectives can be invaluable.

Empower mobile and remote workers

Mobile technologies allow people to be productive wherever they are. However, working practices at many organizations have yet to catch up. These days, the best people gravitate towards organizations that offer them the work-life balance they desire.
Rather than enforcing rigid office hours, why not allow knowledge workers who can do their jobs anywhere to work remotely or keep more flexible hours? Long commutes in traffic are the source of much misery for the workforce, so it seems sensible to adopt working practices that help people spend their time as productively as possible.

Transparent performance management

A formal performance management process brings fairness and transparency into your relationship with employees. It helps them understand what is expected of them and helps you to understand what their goals are. Employees who know what they are working towards will be happier and less likely to leave than those who feel uncertain about what their goals and those of the company are.

Communicate clearly

It is important to keep employees as well informed about activities within the business as you can. Too much secrecy can eat away at employees’ happiness, trust, and confidence, leading to staff turnover. Rather be as transparent about the business’s plans, opportunities, and challenges as you can within the constraints of stock market regulations, customer confidentiality agreements, and so forth. Even when there’s bad news, it’s better to be upfront about it and give employees certainty.

The writer is Executive Vice-President and Managing Director for Sage South & Southern Africa

DHL Express and Total announce retail partnership

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By Silvia Nyambura

Courier services giant DHL Express has today signed a retail partnership with Total Uganda in a bid to provide better access to global express services. This agreement will allow customers looking to send parcels or documents to walk into a Total station and access this service. According to DHL Country Manager Fatma Abubakar, this will ensure greater convenience and accessibility for the company’s customers across the country.

She was speaking at the signing event held at the Kibuli Total station where she said, “The express logistics industry and specifically retail services for consumers and small and medium enterprises are becoming hugely important in Uganda. For us to better service this market and open up global opportunities for students, small business owners and general consumers, we need to increase access to our products.  We also need to simultaneously make it easier and more affordable to use these products. Total is therefore a good strategic fit for us as they have an extensive retail footprint across the country.”

The project will pilot at 15 Total Stations  across Uganda and then roll out in phases later. 15 more service stations are earmarked for phase 2.

Total Uganda Managing Director Florentin de Loppinot said, “Total delivers high quality fuels safely, swiftly and reliably to our customers. Partnering with DHL means that we extend our service offering and also provide our valued customers the access and affordability around express services they need.”

Facebook brings Innovation Challenge to Africa

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By Our Reporter

Facebook is launching the Internet.org Innovation Challenge in Africa aimed at recognizing developers and entrepreneurs who are using the internet to improve the standard of education and economic health in their communities.

The company will present an Innovation Challenge Award of US$ 150,000 to the app, website or service judged to be the best in the two categories. Each Innovation Challenge Award winner will also receive a package of tools and services worth up to US$ 60,000 from Facebook’s FbStart program. Two apps, websites or services in each category will receive an Impact Award prize in the amount of US$ 50,000.

This follows the success of Facebook’s Internet.org Innovation Challenge in India an award designed to recognize people making the internet more relevant for women, students, farmers and migrant workers in India. The company awarded prizes to services working on these challenges in India, where it was inspiring to see the range of entrepreneurship devoted to improving people’s lives.

“The Internet.org Innovation Challenge in Africa supports our vision of a connected world by recognizing those who are working on solutions that aim to improve education and economic health of communities in Africa. We are looking forward to seeing how African developers are providing real value for their communities. By connecting people and empowering them with access to services and information, we can help them achieve extraordinary things and help them to enhance their lives,” says Ime Archibong, Director of strategic partnerships at Facebook.

The awards are open to developers of apps, websites and online services that provide real value to African communities under the following pillars: Learning/education (apps, websites or online services that make use of technology to inspire and deliver learning) and Economic empowerment (apps, websites or online services that help to advance the economic strength and ability of communities)

All entries must be received by 1st May, 2016. Winners will be announced in August/September 2016.

Climate Smart Agriculture key to Africa’s Development

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By Our Reporter

Collaboration by various stakeholders including governments, Non-Governmental Organizations (NGO’s) and research bodies is needed now to rapidly scale-up the African agricultural sector to improve food security and resilience to climate change.

Research by the African Union’s New Partnership for Africa’s Development (NEPAD) through the Comprehensive Africa Agriculture Development Program shows that climate change effects are becoming more frequent and more severe. They are threatening the reliability and productivity of agriculture, exacerbating the already extreme levels of poverty and reinforcing persistent inequity and chronic under-nutrition.

“The African Union is supporting the implementation of Climate Smart Agriculture (CSA) in Africa through the Agriculture Climate Change Program and other related initiatives. These efforts will sustainably increase productivity, resilience and adaptation, as well as build capacity at all levels, especially for smallholder farmers and institutions in order to attain the goal of 25 million African farmers practicing Climate-Smart Agriculture by 2025,” said NEPAD Programs Director Estherine Fotabong, at the sidelines of Conference of the Parties (COP21) meeting in Paris recently.

Common Market for Eastern and Southern Africa (COMESA) Agriculture Officer Miti Chikakula said, “The African agricultural sector employs 65% of the continent’s population, 50% of them are women. Climate change is predicted to have significant impact on agriculture, therefore, constituting a major hurdle for the continent. By adopting CSA practices, smallholder farmers can reduce the risks they face while enhancing food security and livelihoods.”
Martin Bwalya, the NEPAD Coordinator of Program Implementation reaffirmed the partnership’s commitment to fighting climate change in Africa and enhance resilience and livelihoods.

“We will do this through smart collaboration across all disciplines and sectors, evidence based processes; expanding the cadre of negotiators in terms of numbers and fields; strengthening capacities of smallholder farmers and institutions; embracing local knowledge and involving women who are active participants and players in agriculture,” he said.

ICT industry hiring on the rise: everjobs Career Report

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By Our Reporter

The latest everjobs Uganda Career Report details many booming industries and career opportunities that will help foster the country’s growth in the future. Data from November 2015 shows Marketing jobs are growing at a fast pace. These were followed by Accounting and Finance that dropped to second place compared to the September career report. In third place was management and administration departments. Most of these jobs are within the ICT industries.

Everjobs growth manager Patrick Kaboyo says, “The growth in ICT is not just a snapshot. Online companies and applications are increasingly facilitating life in Uganda and therefore they have a high demand for staff. The growth is not restricted to Uganda only but has an impact on the entire continent. The well-known international management-consulting firm Mckinsey & Company estimates that by the year 2025, the annual e-commerce sales will be around US$75 billion in Africa. In addition, the Internet’s contribution to the African GDP is estimated to be around US$300 billion.”

The report also shows Accounting and finance positions receive 60% more applications than marketing positions receive despite falling to 2nd position of on-demand jobs.
Further, despite the fact that NGO jobs have also dropped, they are still hiring a lot in the Energy/Utilities area. This trend will continue, fueled by economic growth forecast by the World Bank to be above 5% in Uganda in the upcoming year.

“However, due to elections the number of new hires seems to be on hold at the moment. This matches observations by the International Monetary Fund (IMF) that stated the depreciation of the Uganda Shilling and the 2016 elections will contribute to slow down in Uganda’s economic growth. The everjobs team is very optimistic about the coming year and looking for even better and more challenging opportunities to deliver to the Ugandan community,” Kaboyo adds.

Hellen Nakyeyune, Business Growth Manager of everjobs Uganda says, “I am highly optimistic about the coming year in the job market. We expect to see a rise in the number of open positions especially in Accounting and Finance and Sales positions.”

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