Uganda emerges the best in creating a favorable trade environment among the East African countries
Uganda emerged as the best in creating a favorable trade enabling environment among the East African nations, according to the Africa Trade Index of Standard Bank of South Africa, usually known as Stanbic in other countries.
Uganda outperformed Tanzania and Kenya in the index, moving up from sixth to fourth as a result of its government’s support for trade activities, improved prospects for import and export growth, and ease of access to credit. The index was developed between August and September 2022 to provide a comparative view of the factors that facilitate and hinder trade across 10 African markets.
Uganda’s rise to the top of the rankings for trade-enabling environments demonstrates its dedication to establishing a favourable business ecosystem. Uganda is prepared to draw more investments and accelerate its economic growth in the area with continued measures to encourage trade operations and ease cross-border transactions.
Tanzania and Kenya are ranked fifth (identical to the position they held in the prior research) and seventh, respectively.
South Africa is placed #1 in the ranking, followed by Ghana and Namibia. The study polled 2,554 businesses in South Africa, Ghana, Uganda, Namibia, Tanzania, Mozambique, Kenya, Nigeria, Zambia, and Angola. These results give valuable information for businesses and policymakers and throw light on the various trade environments in Africa.
The report notes that Uganda’s economy, which is determined by trader business confidence, remained generally stable at 54, the same score as the previous assessment, which was conducted between December 2021 and January 2022. “Significantly more businesses in Uganda [up from 45 percent to 52 percent] feel that the government is encouraging cross-border trading activities,” the report reads in part.
However, respondents emphasized that the government should cut company taxes and promote international trade. The report goes on to state that “trade will be impacted” by “greater clarity on customs duties payable, simplification of business policies, and reduction in the time required for customs clearance.”
