Finance PS, Ramatha Ggoobi
Uganda’s GDP growth rate is expected to be at between 9 and 10% in five years.
This was revealed by Ramathan Ggoobi, the Permanent Secretary – Ministry of Finance, Planning and Economic Development at the 3rd Annual National Content Conference happening at Serena Hotel in Kampala.
Ggoobi attributes the expected growth to the activities in the oil and gas sector as the country moves towards the first oil expected by June 2025.
Without the oil and gas activities, Ggoobi said the rate would be at 7%.
According to Ggoobi, these activities are expected to create 161, 000 jobs. 14, 000 of these are direct jobs, 42, 700 indirect jobs and others as induced jobs. Ggoobi says that 15% of these jobs will be professional, 60% technicians and others as unskilled jobs.
Already, Ggoobi says there has been enormous benefits as a result of the ongoing oil activities. For instance, between 2017 and 2019, Ggoobi says Uganda generated Shs 212 billion in revenue with Shs 22 billion as non-tax revenue and Shs 161 billion as indirect benefits.
Ggoobi, however, tasked Petroleum Authority of Uganda (PAU) Executive Director Ernest Rubondo to fast-track the figures on an annual basis to ensure that all other stakeholders are informed. He said government is supporting these endeavors.
Ggoobi notes that the oil and gas sector is one of the World’s critical resources, thus it is important that the opportunities exploited meet future energy demands.
“Get into join ventures locally (even better with International companies). Build networks in order to enhance these benefits. These benefits are enormous,” Ggoobi said, emphasizing the need to involve local participation to trigger the trickle down effects.
He says that the oil and gas sector is being looked at as a key driver of the socio-economic development “beyond just growth” from subsistence economy to a developed economy.