Chinese Investors To Establish Special Economic Zone

PM Mbabazi (seated) shows Wande Group CEO,Yuegong Wang (3rd L) the mineral rich areas of Uganda, (L) PS Ministry of Energy,Kabagambe Kaliisa( Photo by PMPU)
PM Mbabazi (seated) shows Wande Group CEO,Yuegong Wang (3rd L) the mineral rich areas of Uganda, (L) PS Ministry of Energy,Kabagambe Kaliisa( Photo by PMPU)

Wanda Group, a Chinese firm wants Government of Uganda to avail them land to establish a ten square Kilometer special economic zone for Chinese industrialists.

The land would be used to start a vocational institute to train Ugandans in practical skills. Their main focus is manufacture of ceramic tiles, establishment of a cement factory and processing of cotton into textiles.  They are also interested in iron ore mining in Kanungu and Kabale Districts.

The group is also seeking a partnership with National Housing and Construction Corporation to build housing estates within Kampala. They are currently developing modern cities in Ghana at a cost of US$ 7.3 billion and signed an agreement with Nairobi city council to construct 55,000 housing units.

The Chinese Company’s delegation led by the Chief Executive Officer, Yuegong Wang has been in Uganda over the last one week assessing the investment climate. They revealed their detailed programme during a meeting with the Prime Minister Amama Mbabazi early today.

Mbabazi, flanked by the Permanent Secretary of the Ministry of Energy and Mineral development, Kabagambe Kaliisa observed that Kampala alone has a deficit of about 600,000 housing units for middle and low income earners.

He said the country is now focused on industrialization and a lot of resources have been committed for infrastructure development and electricity generation. The planned standard gauge railway to be constructed by a Chinese company will connect to the iron ore deposits in south western Uganda to address the problem of transport, he adds.

Mbabazi also said the two cement factories of Hima and Tororo can’t sufficiently meet the demand of the country and the region hence the need for a new factory.

The Energy Permanent Secretary said Uganda has a deposit of 3 million tons of limestone in Karamoja for making cement and 460 billion cubic feet of gas in the Albertine region which can be exploited for use in the processing of iron ore.

4 thoughts on “Chinese Investors To Establish Special Economic Zone

  1. Why this big influx of Chinese coming to Uganda to invest? They must be having a laugh how easy to be accepted as investor in Uganda. At least the government has come up with options to create employment which is much needed. However,I question who is gonna serve the purpose without comprising their hidden agenda. Otherwise they are welcome as long as they don’t our children to manufacture substandard products. Now we know why the First Lady was the minister there!

    1. A Russian saying goes “..when a frog is put in a pot, it looks up and sees the sky…it thinks that’s the whole of the sky…”

      Dont be the frog Ruth…. There are More Chinese heading to America and Europe to invest personal money…..than those that come to Africa…
      Just to answer your question…they see great investment opportunities thats why they are flocking to Uganda….with money!

  2. The government of Uganda should take this opportunity to spread development and decongest Kampala that is so messy and only qualifies as a bad slum in developed countries. Regions, such as Karamoja, Western, and northern Uganda should not be seen as sources of raw materials but must also benefit from such development. This requires strong lobbying and debates from respective MPs. People of Uganda should also know that China needs a lot of resources to feed its ever increasing population. The revenue must remain in Uganda and benefit Ugandans not a few politicians. NRM party may use this chance to enrich itself and remain in power perpetually. The MoU must be open to the public.

    Foreign investment in most cases has led to oppression of the local people. That is why Niger is never stable and it is one of the poorest countries in the world. 70% of gas used in France is got from that country.

  3. Are we not over exposed to an external influence to one country , we bend over for Investors who will soon expel the Citizens from their Land

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