Critical issues for American investors in Uganda

investors. Section 1 examines the performance and structure of Uganda"s economy from the 1960"s to the present, while Section 2 describes the country"s natural and human resources, and infrastructure. The political environment from 1962 to the present is recounted in Section 3, followed in Section 4 by an outline of the country"s economic policy and its regulatory framework. Section 5 reviews the attractions and constraints facing potential U.S. and other foreign investors, with emphasis on provisions of the 1991 Investment Code; regulations pertaining to the labor force are also discussed. Section 6 addresses business practices and investment procedures, while Section 7 identifies potential investment opportunities in agriculture, livestock and fishing, manufacturing, mining, and tourism. For U.S. investors, Uganda provides access both to a relatively large domestic market and, through the Lome convention, to the European market. The Investment Code requires only a single investment license and offers attractive incentives, including a 3-year income tax holiday and an import duty drawback system on imports used to produce exports. Opportunities are available across several sectors, especially in agriculture. However, prospective investors face important constraints in regard to infrastructure, local raw materials and supplies, and a confusing tariff structure and import regime.