• Latest

Unless you’re a thief, no business thrives in Uganda

November 17, 2021
Government Gives Teachers One Week to End Strike or Face Dismissal

Government Gives Teachers One Week to End Strike or Face Dismissal

October 2, 2025
Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

October 2, 2025
VINAStech Advert
Children of the Poor Outpacing Rich Kids, Kiwanda Warns

Children of the Poor Outpacing Rich Kids, Kiwanda Warns

October 2, 2025
Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

October 1, 2025
Civil Society Leaders Urge Shift to Digital Advocacy

Civil Society Leaders Urge Shift to Digital Advocacy

October 1, 2025
Man Drowns in Lake Victoria After Jumping Off Boat

Man Drowns in Lake Victoria After Jumping Off Boat

October 1, 2025
Uganda sends team to UAE after BBC sex trafficking exposé

Uganda sends team to UAE after BBC sex trafficking exposé

October 1, 2025
Computer Vision Syndrome: The Modern Professional’s Eye Problem

Computer Vision Syndrome: The Modern Professional’s Eye Problem

October 1, 2025
Nandala Mafabi Pledges Fish Factory for Buvuma

Nandala Mafabi Pledges Fish Factory for Buvuma

September 30, 2025
Dormitories Torched After Strike at Nyakishojwa SSS

Dormitories Torched After Strike at Nyakishojwa SSS

September 30, 2025
Korean Foundation Steps In to Tackle Sanitation Gaps in Eastern Uganda

KOFIH, OPM to Commission Modern Toilet Facility in Iganga

September 29, 2025
Uganda Airlines Under Fire Over Quality of Onboard Products

Uganda Airlines Under Fire Over Quality of Onboard Products

September 29, 2025
  • About Us
  • Internship
  • Contact Us
Thursday, October 2, 2025
Parrots Media
No Result
View All Result
  • Login
  • News
    Government Gives Teachers One Week to End Strike or Face Dismissal

    Government Gives Teachers One Week to End Strike or Face Dismissal

    Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

    Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

    Children of the Poor Outpacing Rich Kids, Kiwanda Warns

    Children of the Poor Outpacing Rich Kids, Kiwanda Warns

    Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

    Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

    Man Drowns in Lake Victoria After Jumping Off Boat

    Man Drowns in Lake Victoria After Jumping Off Boat

    Dormitories Torched After Strike at Nyakishojwa SSS

    Dormitories Torched After Strike at Nyakishojwa SSS

    Trending Tags

  • Climate Change
  • Business
  • Science and Technology
  • Sports and Entertainment
  • Business
  • Others
    • Education
    • Lifestyle
    • Religion
    • Opinions
  • News
    Government Gives Teachers One Week to End Strike or Face Dismissal

    Government Gives Teachers One Week to End Strike or Face Dismissal

    Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

    Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call

    Children of the Poor Outpacing Rich Kids, Kiwanda Warns

    Children of the Poor Outpacing Rich Kids, Kiwanda Warns

    Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

    Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League

    Man Drowns in Lake Victoria After Jumping Off Boat

    Man Drowns in Lake Victoria After Jumping Off Boat

    Dormitories Torched After Strike at Nyakishojwa SSS

    Dormitories Torched After Strike at Nyakishojwa SSS

    Trending Tags

  • Climate Change
  • Business
  • Science and Technology
  • Sports and Entertainment
  • Business
  • Others
    • Education
    • Lifestyle
    • Religion
    • Opinions
No Result
View All Result
Parrots Media
No Result
View All Result
Home RELIGION

Unless you’re a thief, no business thrives in Uganda

Columnist by Columnist
November 17, 2021
in RELIGION
0
0
SHARES
1
VIEWS
Share on FacebookShare on X

The Observer story,

COLUMN:

READ ALSO

Mbarara Archdiocese Announces Major Priest Transfers

5,430 Recive Medical Services at AMDA Camp Rekindling Hope and Healing in Historic Pilgrimage

I will always cite this story, not because it is anything novel, but because it was published by a renowned magazine: On May 23, 2020, The Economist magazine published a story, with a closer focus on Uganda, concluding that “Africa’s banks are the most profitable in the world while also being the least efficient.”

I was first struck by the paradox of being the “most profitable” but “least efficient.” How do they manage to reconcile that? But then, I gasped at the scale: the entire world! How the heck did banks in [allegedly poor] sub-Saharan Africa become the most profitable in the whole world? Yes, in the whole world.

The answer was in front of my eyes: interest rates. Not the economies in which these banks operate, neither the investments and businesses they are involved in. With interest rates ranging between 12 per cent and 30 per cent, these banks, The Economist noted, make over 17 per cent return on equity.

What this British magazine did not say was that these inefficient but very profitable banks were actually, in many ways, a bunch of thieves who have marshalled the legalese to steal the sweat, toil and resources of Ugandans.

By implication, The Economist magazine also meant to say, no business—started from scratch—thrives in Uganda. This environment is designed to crush native invention. Unless they are not paying taxes, bills such as electricity, rent and other running costs, no business thrives. Not even farming.

Maybe Middle Eastern slave networks. You cannot do business if the bank takes back 15 per cent of the premiums. That is more than the profit margin on any premiums.

It actually means the bank takes back all the profits and, at best, the businessperson can only keep appearances – and of course survive with a small balance but not enough to turn the business into a multi-million enterprise.

[In truth, many seemingly successful businesspersons in Kampala are only keeping appearances. But these folks are broke, with businesses on life support]. In Europe, the highest interest rate would be two per cent but mostly it is down to even 0.4 per cent.

And sadly, the reason for high interest rates in Africa is simply racist and colonial. Simply put, banks “do not trust Africans.” Banks have endlessly argued that most of the hefty percentages go into “servicing” the loans, whatever that means.

These all Mzungu banks sustain this reasoning with violence and blackmail. See, in 2016, The Economist reported, Kenya tried capping commercial-loan rates at four percentage points, which was above the central bank’s policy rate. But “the move backfired. Bankers slashed credit to small businesses, reasoning that the rewards of lending no longer matched the risks.”

But the exorbitant interest rates actually keep many small businesses from even approaching these banks. To appreciate the deep-seated racism and deceptiveness of these high interest explanations, you need to know that in Uganda, for example, the present banks have worked tirelessly – of course with the support of our comprador- in-chief – to make sure that no native bank thrives in Uganda.

Centenary bank is just stubborn. That is because local banks allegedly mess up the market. Because they do not have this trust nonsense. Presently, one of the biggest pandemics in Uganda is properties being taken over by banks. You have seen those many signs all over the country, “property of bank so and so.”

At the earliest opportunity, these banks leave the borrower more impoverished than they found them. Yet, they knew ahead that you were not going to make it any far. And as lawyer Isaac Semakadde recently demonstrated with the Basajjabalaba case, these banks work, often in collusion with Bank of Uganda, which issues a “letter of comfort,” to even steal taxpayers’ money.

My point is this: if you ever tune in to listen to a business motivational speaker— not a theorist like myself, but a guy with a public profile who has allegedly come to speak from experience—please remember to ask them about their friendship with the government of President Museveni.

Also recall to ask them about the colour of their skin if they are white or coloured (if they are Chinese or Indian), and their names and ethnic affiliations if they are native. I know, you might come off a little creepy for asking these questions, but beyond this, there is nothing more.

If you are passionate enough, you really want openness and genuine learning. Ask them if the businesses are actually theirs or if they are employees of someone else. Under a Museveni presidency, these things matter. They are the business themselves.

Tasha 10 photography Mbarara

If this motivational speaking businessman (they are normally men) is unwilling to honestly reflect on these things or is simply uncomfortable even telling lies about them, please do not listen.

Because look, there is a lot of money floating around our undoubtedly rich African countries. But to access these monies, or avoid being squeezed out of a small business, one has to have their colour, ethnic, and connections game right.

For men and women “winning” government tenders on end, (the biggest monies are here); former and present employees of big government offices; politicians, or investors gifted to free land, tax exemptions, etcetera, these are not businessmen from whom one picks business lessons.

These are beneficiaries of patronage, smaller thieves, business film-stars simply luckier than their compatriots. Even if you encountered a random chap thriving on loans in Uganda, ask them the whole truth. That’s because clearly, the system is designed against them.

If prospective local bankers cannot start banks and thrive, why the delusion that collapsing businesses collapse because of laziness or some non-smart business behaviour? Which businessperson would be more careful, more funded, experienced and better prepared than a prospective banker?

yusufkajura@gmail.com

The author is a political theorist based at Makerere University.

Tags: BasajjabalabaIsaac SsemakadeThe Economic MagazineYusuf Kajura

Related Posts

Mbarara Archdiocese Announces Major Priest Transfers
Religion

Mbarara Archdiocese Announces Major Priest Transfers

September 25, 2025
5,430 Recive Medical Services at AMDA Camp Rekindling Hope and Healing in Historic Pilgrimage
RELIGION

5,430 Recive Medical Services at AMDA Camp Rekindling Hope and Healing in Historic Pilgrimage

August 31, 2025
Hoima Diocese Bishop Mourns Victims of Kigorobya Road Tragedy
RELIGION

Hoima Diocese Bishop Mourns Victims of Kigorobya Road Tragedy

August 6, 2025
Victoria University Backs Pastor Bugembe’s 20-Year Gospel Music Milestone
News

Victoria University Backs Pastor Bugembe’s 20-Year Gospel Music Milestone

July 16, 2025
Police Urge Vigilance Amid Ongoing Terror Threats
Religion

Police Urge Vigilance Amid Ongoing Terror Threats

June 6, 2025
Journalists blocked from Martyrs Day Venue
RELIGION

Journalists blocked from Martyrs Day Venue

June 3, 2025
Next Post

Former FDC Chairperson Endorsed As NUP Candidate In Kayunga

POPULAR NEWS

Minister Amongi, Akena Scrapped from EC Voters’ Register Oops

Minister Amongi, Akena Scrapped from EC Voters’ Register Oops

September 3, 2025
Catholic Priest Speaks Out Against Museveni and Son’s Leadership

Catholic Priest Speaks Out Against Museveni and Son’s Leadership

February 16, 2025

“Life Is Scum”: Kabale University Student Leaves Suicide Note, Takes Own Life

July 25, 2025

Former IGP Okoth Ogola Dies

February 14, 2025

CAF Warns Fans Against Obscene and Politically Charged Jerseys at Namboole

August 20, 2025

EDITOR'S PICK

Makerere student succumbs to diabetes one week to graduation

May 18, 2022
Parliament approves reappointment of CGP Byabashaija,

Parliament approves reappointment of CGP Byabashaija,

January 28, 2022

New Details Emerge On Hoima District Chairman Death

March 18, 2023
Mbarara hospital record over 500 mental illness cases per month

Mbarara hospital record over 500 mental illness cases per month

October 12, 2023
VINAStech advert VINAStech advert VINAStech advert
ADVERTISEMENT

About

Parrots Media

A Public Relations and Media Services Company registered and licensed to operate in Uganda and the Great Lakes Region.

Follow us

Categories

  • Business
  • BUSINESS REPORTS
  • CLIMATE ACTION REPORTS
  • Climate Change
  • COMMUNITY REPORTS
  • Education
  • Entertainment
  • FEATURES
  • Health
  • Lifestyle
  • News
  • News
  • OBITUARY
  • Obituary
  • Opinions
  • Religion
  • RELIGION
  • Science and Technology
  • Sports
  • Sports and Entertainment
  • TOURISM

Recent Updates

  • Government Gives Teachers One Week to End Strike or Face Dismissal
  • Young Voices Lead Agroecology Campaign as Schools Poetry Contest Ends with Policy Call
  • Children of the Poor Outpacing Rich Kids, Kiwanda Warns
  • Galactical Mabira FC Announces 25-Player Squad for 2025/26 Kitara Regional League
October 2025
M T W T F S S
 12345
6789101112
13141516171819
20212223242526
2728293031  
« Sep    
  • About Us
  • Internship
  • Contact Us

© 2025 Parrots Media | Website Designed and Maintained by VINAStech

No Result
View All Result
  • Parrots Media
  • News
  • Business
  • Science and Technology
  • Sports and Entertainment
  • Lifestyle
  • Others
    • Climate Change
    • Education
    • Religion
    • Opinions

© 2025 Parrots Media | Website Designed and Maintained by VINAStech

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

You cannot copy content of this page