Traders Willing to Start Industries if Investment Environment is Favourable – KACITA

The Minister for Kampala Capital City and Metropolitan Affairs, Hajjat Minsa Kabanda, has thanked President Museveni for giving a listening ear to the aggrieved traders.

“Your Excellency, these traders have not refused to pay taxes, they just want to agree with you and the Uganda Revenue Authority so that their issues are handled amicably. They want to be sensitised, after that, they will be able to do anything as requested,” she said.

She was speaking on Tuesday 7th May, 2024 during the President’s meeting with traders from Kampala and upcountry districts at Kololo Ceremonial Grounds.

The Chairperson of Kampala City Traders Association (KACITA), Dr. Thadeus Musoke Nagenda thanked President Museveni for giving them time to discuss the challenges affecting them.

“As KACITA, we have a slot on the Presidential CEO Forum, but we are not allowed to contribute in any way on that forum, that is why you see that many businesses have closed,” Dr.  Musoke said.

Dr. Musoke also informed the President that as local traders they have the capability and are willing to start industries as long as the investment environment is favourable.

“We support the foreign investors here, but they are competing with us. They manufacture their goods here, we buy them but they also come to the market and set up shops to compete with us.”

He also raised concern over the challenge of foreign banks who give them loans at high interest rates.

“The foreign banks are also frustrating us. They give us loans on high interest and by the end of the day they take over our property after failing to pay back.”

President Museveni reiterated that the government always supports local investors.

He further tasked them to be patriotic and welcome foreign investors to develop Uganda.

The Chairperson of the Federation of Uganda’s Traders Associations (FUTA), Mr. John Kabanda decried the high and unfavourable taxes imposed on them by the Uganda Revenue Authority (URA).

“Your Excellency, we are on loans because of high taxes. Even the EFRIS system is not fair. It is not meant for us traders, it’s supposed to be for manufacturers,” Mr. Kabanda said.

He also requested the President to meet them annually for constructive interactions as far as their businesses are concerned.

The chairperson of the United Arcade Traders Entrepreneurs Association (UATEA), Mr. Edward Ntale said they are willing to set up local industries to support value addition, but the requirements are unfavourable.

“Your Excellency, we want to take part in such initiatives but to be sincere, we have not been given a chance due to some challenges. We have all the evidence to support these claims,” he said.

The Spokesperson of KACITA, Mr.  Issa Ssekito explained why EFRIS is not good for business. He said the mechanism has no appeal (on the URA portal) whereby if you have a mistake you want to rectify, there’s no provision to help you do so.

“There’s no good law in the whole world without an appeal mechanism,” he said.

The meeting was also attended by the Prime Minister, Rt. Hon. Robinah Nabbanja, the Commissioner General of URA, Mr. John Musinguzi, among other government officials.