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Democracy and Governance in Uganda
Uganda has made substantial progress in social and economic
development since the USAID program was revived in 1980, moving from recovery and reconstruction
toward sustainable growth and poverty reduction. Nonetheless, significant challenges remain. Free
primary education is available to all Ugandan children and enrollments have surged to nearly 90%. Only
66% of the children, however, complete primary school. As a result of economic reforms, Uganda
achieved relatively high economic growth during the 1990s, but growth slowed to 4.9% in 2003 and per
capita income is only $330. While the population living in poverty declined from 56% in 1992 to 38% in
2002, high population growth, now at 3.4%, is eroding economic growth, deepening poverty, and
countering other achievements in social sectors. The number of people living on less than a dollar a day
remains at 9.5 million in 2003, the same as in 1992. Conflict continues to affect the poverty level, which
remains at 70% in the North, and 1.4 million people are displaced due to insecurity in the North and East.
The agricultural sector is central to Uganda’s economy and food security. It provides employment to 83%
of the population, accounts for 40% of GDP, and generates 85% of export earnings. However economic
growth is largely dependent on rain-fed agriculture, making it vulnerable to adverse weather conditions
and declining international commodity prices. Consequently, Uganda must step up efforts to diversify the
economy and provide an enabling environment to attract private domestic and foreign investment to
achieve and sustain the 7% annual GDP growth needed to meet the poverty reduction goal.
Uganda’s democracy lacks viable political opposition and has an overly strong executive branch.
Uganda’s progress toward a vigorous and representative multi-party democracy requires permitting
political parties to operate freely and constructively, as well as building institutions and systems which can
check and correct abuse of authority and corruption. On another front, armed conflict in northern Uganda
and the spread of attacks on civilians in eastern Uganda by the Lord’s Resistance Army (LRA) have
displaced more than 1.4 million persons, creating Uganda’s worst humanitarian crisis in 17 years.
Continued conflict and insecurity causes more than $100 million per year in lost production.
(Excerpted from the 2005 Congressional Budget Justification for Uganda)
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