The Uganda Business Climate Index

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 Closure of the Rwanda-Uganda Border and the delay in seasonal rainfall affects the business climate

The Business Climate Index (BCI) declined by more than eleven basis points from 107.02 in the previous quarter (October-December 2018) to 95.61 in the current quarter (January-March 2019)

Recovery in Agriculture and Service sectors improve business climate, but future business outlook is less optimistic

The Business Climate Index (BCI) improved by more than eighteen basis points from 88.72 in the July-September 2018 quarter to 107.02 in the October-December 2018 quarter. Nonetheless, perceptions about future business for January – March 2019 indicated worsening business performance.

Agriculture Sector Performance Deteriorates Drastically, but Businesses Remain Optimistic about the Future

This quarter’s performance was mainly driven by changes in Uganda’s tax policy which came into effect on 1 July 2018. The Business Climate Index (BCI) declined by 1.68 points from 90.40 in the previous quarter (April – June 2018) to 88.72 in the current quarter (July – September 2018), remaining below potential.  

Agriculture sector performs above potential but business deteriorates owing to underperformance in the manufacturing and service sectors

The Business Climate Index (BCI) declined by more than six basis points from 96.53 in the previous quarter (January - March 2018) to 90.40 in the current quarter (April - June 2018). The below potential performance was largely driven by poor performance in the manufacturing and services sectors.

Agriculture sector performance sustained, but businesses are less optimistic about the future 

This Business Climate Index covers the January to March 2018 quarter.  It is computed based on the  level of business activity, turnover, profitability, incoming new business, capacity utilisation, average costs of inputs, price of produced goods among others. 

Agriculture sector finally rallying business performance, but the business climate still below potential

This quarterly bulletin of the Uganda Business Climate Index covered 178 business establishments. It among others used the level of business activity, capacity utilisation, average costs of inputs, and  average monthly salary to assess buisness perceptions. Findings indicate that agriculture sector sustained its positive performance for the second consecutive quarter on the backdrop of onset of seasonal rainfall in most parts of the country.

Prolonged electoral process in Kenya constrains business climate potential in Uganda

This issue looks at the Business Climate Index by sector  and reveals that perception of the business climate improved, but remained below potential due to political uncertainty emanating from prolonged electoral process in Kenya. It notes that corruption persists and the regulatory framework to control the entry of substandard goods into the country remains weak.

Supermarkets struggle to stay in business in Uganda dampening the business climate

This issue of the Uganda Business Climate Index (BCI) explores the struggle by super markets to stay in business, looks into the business climate by sector, challenges in doing business as well a the future business outlook for the period between July and September 2017.

Crop destroying army worm caterpillars curtails improvement in the business environment

The Business Climate Index (BCI) improved by 5.07 percentage point to 93.05 during the January – March 2017 quarter  from 87.97 in the October – December 2016 quarter. Despite this improvement, the conditions for doing business remain below potential. This is the seventh consecutive quarter that the BCI has indicated unfavourable business performance and is largely explained by poor performance of the agriculture sector.

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