Museveni Assures Flood-Affected Kampala Traders of Compensation

Kisozi — President Yoweri Kaguta Museveni has assured traders affected by the recent floods in Kampala that the government will compensate them for losses incurred, stressing that the matter is not open to debate.

“We are going to go through that report. We have to compensate you because you made losses. There are no arguments about that,” the President said.

The President made the remarks yesterday while meeting leaders of traders at his Kisozi Farm. The delegation was led by Mr John Kabanda, President of the Federation of Uganda Traders Association (FUTA).

The assurance follows severe flooding that hit Kampala more than a month ago, compounding challenges along the Nakivubo Channel. Barely three weeks after the October 31 downpour, another heavy rainfall between November 19 and 20 triggered fresh flash floods in low-lying areas of the city, including Container Village and the Queensway interchange.

Traders say they lost property worth billions of shillings. Together with city authorities, they attributed the flooding to ongoing construction works along the Nakivubo Channel, which narrowed critical drainage pathways.

Addressing broader concerns raised by traders, President Museveni also clarified the government’s tax policy, particularly following recent engagements with young entrepreneurs, whom he referred to as Gen Z.

“Some of the Gen Z told me they want to join the business but complain about taxes. I explained to them that our taxes are intentional, not accidental,” he said.

The President emphasised that taxation largely targets imported and luxury goods rather than local trade. “If you are selling bananas, there are no taxes—except occasional market dues. Taxes are mainly on imported products like perfumes and alcohol,” he explained.

President Museveni urged traders to embrace internal trade and production, noting that import substitution remains a key pillar of Uganda’s economic strategy. “If you don’t want to pay taxes, don’t import. We need taxes to run the economy. Go into internal distribution,” he said, adding that increased local production would naturally reduce importation over time.

The President also thanked traders for their continued support of the NRM and pledged to maintain engagement with their leaders to address outstanding issues.

Meanwhile, Ms Kellen Kiconco, the Presidential Advisor on Tax Matters, commended Kampala traders for choosing dialogue over confrontation, describing them as key partners in revenue mobilisation and national stability.

“I appreciate these traders because they are our first tax collectors. When I first met them, they were planning to demonstrate across the country, but they chose dialogue instead of violence,” Ms Kiconco said.

She thanked the traders for preserving peace, noting that they had documented their concerns and formally submitted them to the State House for consideration.

Ms Kiconco also revealed that traders had adopted a collective position to support President Museveni in the upcoming elections. “They organised their issues, presented them formally, and told me that on January 15, 2025, they will vote for you,” she said.

On his part, Mr Kabanda emphasised that peace and freedom of expression are the foundation of business operations and thanked the President for maintaining stability despite challenges faced by the trading community.

He said traders trust government structures and have already begun mobilisation efforts across the country, including Fort Portal, Mbarara, Masaka, Jinja and Mbale, with plans to intensify door-to-door engagement within Kampala.

“We are with you. Even those of us with small businesses are confident they will grow because of the peace and security you have provided,” Mr Kabanda said.

He added that traders were aware of attempts by some groups to divert their intentions but reaffirmed their resolve. “We will not allow anyone to divert us,” he said.

Traders also thanked the President for the swift government response following the floods, noting that both the Minister for Kampala and Metropolitan Affairs and the Prime Minister personally visited the affected areas.

One of the affected traders, Mr Aman Kavuma, recalled the President’s directive that traders’ concerns be addressed without lengthy court processes.

“We were affected, many shops were destroyed, and the names of flood victims were registered. We are waiting for your guidance because you brought peace,” Mr Kavuma said.

Another victim, Ms Allen Kisakye, testified that the floods destroyed all her property, underscoring the urgency of government intervention and compensation.

The meeting was attended by Hon. Minsa Kabanda, Minister for Kampala and Metropolitan Affairs, and Mr John Musinguzi Rujoki, Commissioner General of the Uganda Revenue Authority.