Museveni Backs Expansion of Sino-Uganda Mbale Industrial Park as Investor Confidence Grows

ssetubasaidi
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President Yoweri Kaguta Museveni has reaffirmed the government’s commitment to supporting industrialization and creating a conducive environment for investors following a meeting with a delegation from the Sino-Uganda Mbale Industrial Park over plans to expand the facility.

The delegation, led by Mr. Paul Zhang, met the President to discuss the next phase of development for the industrial park, which has reportedly reached its full capacity with 85 operational factories, underscoring Uganda’s growing appeal as an investment destination in the region.

According to the state minister for finance in charge of privatisation hajjat Amina mukalazi the discussions in the meeting centered on expanding the industrial park to accommodate increasing demand from local and foreign investors seeking to establish manufacturing and value-addition enterprises in Uganda.

The development comes at a time when the government is intensifying efforts to transform Uganda into a middle-income economy through industrialization, export promotion, and job creation.

President Museveni welcomed the proposed expansion, noting that industrial parks remain a critical pillar in the country’s economic transformation agenda. He reiterated his administration’s commitment to maintaining peace, political stability, and investor-friendly policies that have continued to attract investment into various sectors of the economy

“The success of the Sino-Uganda Mbale Industrial Park is a testament to the confidence investors have in Uganda’s economic policies and the conducive environment that government has created over the years,” a source familiar with the meeting said.

The Sino-Uganda Mbale Industrial Park has emerged as one of Uganda’s key manufacturing hubs, hosting companies involved in a wide range of activities including agro-processing, steel production, packaging, pharmaceuticals, and other value-addition ventures.

Officials said the park’s attainment of full occupancy with 85 factories reflects the increasing demand for industrial space and demonstrates the effectiveness of government initiatives aimed at promoting manufacturing and attracting foreign direct investment.

The proposed expansion is expected to create thousands of additional jobs for Ugandans while enhancing technology transfer, increasing exports, and strengthening linkages between industries and local suppliers.

Members of the delegation commended President Museveni for his unwavering support towards industrial development, noting that the government’s deliberate investments in infrastructure, electricity generation, and transport networks have significantly improved the ease of doing business in the country.

They further observed that Uganda’s strategic location in East Africa, coupled with access to regional markets under the East African Community and the African Continental Free Trade Area (AfCFTA), continues to make the country an attractive destination for investors.

Mr. Paul Zhang, who led the delegation, expressed optimism about the future of the industrial park and reaffirmed the investors’ commitment to expanding their footprint in Uganda.

“The fact that all available space within the industrial park has been occupied is a strong indicator of investor confidence. We are looking forward to working closely with the government to facilitate the expansion and support Uganda’s industrial transformation agenda,” he said.

The expansion of the Mbale-based industrial park aligns with the government’s broader strategy of promoting value addition to locally produced raw materials, reducing imports, and increasing export earnings.

Over the years, President Museveni has consistently emphasized industrialization as one of the key drivers of economic growth, arguing that Uganda’s abundant natural resources can only generate meaningful wealth when processed into finished products.

Government data indicates that industrial parks across the country have played a significant role in creating employment opportunities, boosting domestic production, and enhancing Uganda’s competitiveness in regional and international markets.

With plans now underway to expand the Sino-Uganda Mbale Industrial Park, stakeholders believe the initiative will further consolidate Uganda’s position as an emerging industrial hub in Africa and contribute to the country’s long-term objective of achieving sustainable and inclusive economic growth.

The latest development is also expected to provide a boost to the government’s ambitious economic agenda, which seeks to leverage industrialization, commercial agriculture, services, and information technology as the primary pathways to wealth creation and national development.

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