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UTB leverages missions abroad to boost tourism growth

Uganda Tourism Board (UTB) is aiming to utilise the country's international missions to enhance tourism growth, according to the Chief Executive Officer (CEO) Lilly Ajarova.

UTB Chief Executive Officer (CEO) Lilly Ajarova

Speaking at a four-day Joint Regional Economic and Commercial Diplomacy Retreat, Ajarova urged heads of Uganda’s missions in neighboring countries to bolster economic growth and development efforts.

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These ‘Ring States', Rwanda, Tanzania, Kenya, DR Congo, Somalia, South Sudan, and Burundi, are vital for Uganda’s tourism strategy.

She emphasised the importance of these missions in supporting Uganda's tourism efforts through branding, marketing, and attracting investors to the Explore Uganda campaign.

“We are appealing to our missions abroad to aid us in our tourism endeavors, especially in branding and marketing, and in drawing investors to our Explore Uganda campaign. Our previous collaborations have successfully brought potential investors to evaluate our country's offerings, and we hope that with their ongoing support, we will achieve even greater success,” Ajarova stated.

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Despite the challenges posed by COVID-19, Uganda has significantly advanced in tourism development, ascending from an unknown destination to the 10th best on the continent for Meetings, Incentives, Conferences, and Exhibitions (MICE) in 2018.

“The country now ranks seventh and aims to be among the top five destinations in Africa,” she added.

"The Speke Resort and Convention Center's recent addition has boosted Uganda's competitiveness, enabling it to host large conferences and attract more visitors. The UTB is targeting flexible travellers who are likely to extend their stay, spend more, and contribute significantly to Uganda’s economy and society,” Ajarova noted.

Ajarova expressed optimism that support from missions abroad would help Uganda achieve its vision of becoming a top African destination.

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"We rely on our missions abroad to help us reach this goal by identifying opportunities, lobbying for Uganda to host international meetings, and supporting our Explore Uganda destination brand," she said.

Ambassador Richard Kabonero, Head of Regional Economic Cooperation, highlighted the Ministry of Foreign Affairs' development of a new framework aimed at promoting economic growth through commercial diplomacy.

This initiative will guide Uganda's missions abroad in marketing and attracting investments to the country.

"The Ministry of Foreign Affairs has created a framework to guide our missions abroad in marketing Uganda in three main areas: increasing exports, attracting foreign direct investments, and drawing tourists," Ambassador Kabonero explained.

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The program's initial phase will involve 10 missions and two consulates in high-potential investment areas, including ATM, agriculture, tourism, mineral development, and science and technology.

"We need to measure the results and then expand to all other 37 missions Uganda has abroad," he noted.

Amb. Kabonero stressed the importance of tackling non-tariff barriers such as standards, competition, and non-compliance with regional trade protocols.

"Our missions are tasked with addressing these non-tariff barriers," he said.

The ministry is also working on addressing tariff barriers, infrastructure issues, and standards and certification challenges to boost exports.

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In terms of data and communications, Amb. Kabonero emphasized the need for a regional data framework to improve data affordability and access to the sea cable.

"We must discuss data affordability and access to the sea cable. Most of our traffic goes through Kenya, which poses a risk. We need an alternative route," he explained.

This initiative aims to bolster Uganda's economic growth and promote regional trade.

"We look forward to a summit of heads of state to harmonize data rates, cross-border payment systems, and enhance trade," he added.

Julianne Mweheire, Director of Industry Affairs and Content Development at the Uganda Communications Commission (UCC), highlighted the significant shift in data consumption trends over the past two years, with more users opting for video communication, leading to changes in data usage patterns.

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She noted that the cost of data has decreased by 51% since 2019, with mobile operators lowering data prices.

The price per gigabyte of data in Uganda is relatively low compared to other East African countries, at $0.86 per GB, compared to $0.76 in Rwanda, $0.97 in Kenya, $1.53 in Tanzania, $4.00 in South Sudan, and $0.83 in South Africa.

Despite this progress, Mweheire pointed out that digital device penetration remains low, with only 16 million smartphones in use out of 35 million active SIM cards, attributing this to high taxes on smartphones.

Vincent Bagiire, Permanent Secretary of the Ministry of Foreign Affairs, argued that the 40% tax on smartphones is counterproductive, as telecom companies generate more revenue from data usage than voice calls.

Reducing the tax would increase smartphone penetration, leading to higher tax revenues for the Uganda Revenue Authority.

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"We need to rethink the 40% tax on smartphones," Bagiire emphasised.

Other speakers on the second day of the workshop included Abel Kagumire, Commissioner for Customs; Patricia Bageine Ejalu, Deputy Director of Standards at the Uganda National Bureau of Standards; and Ben Kajuna, Director of Transport at the Ministry of Works and Transport.

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