By Leonard Kamugisha Akida,
KAMPALA
The Uganda People’s Congress (UPC) has reiterated its call for the revival of defunct agencies such as the Cooperative Bank to support economic recovery.
Addressing the media at the party headquarters, Uganda House in Kampala, on Wednesday, UPC spokesperson Sharon Oyat Arach stated that the country’s economy has suffered due to the privatization of many essential agencies.
Highlighting the agricultural sector, Arach urged the government to establish an agricultural bank in Uganda to protect farmers from exploitation by commercial banks and middlemen. She noted that in the past, farmers were among the wealthiest individuals, but due to high interest rates and market manipulation by intermediaries, many have been driven into poverty.
“Previously, being a farmer meant you were among the richest people in the country. However, today, farmers are among the poorest because the cost of farming has skyrocketed. Without middlemen, farmers struggle to sell their produce and generate income,” Arach said.
She further argued that the agricultural sector has suffered under the current government, which has privatized key agencies such as Uganda Commercial Bank, Cooperative Bank, Uganda Cooperative Movement, and Uganda Development Corporation. These institutions were initially set up to provide access to markets, affordable financial services, and economic participation, as well as to mobilize domestic savings and attract foreign investments.
According to UPC, the sale of these institutions has significantly weakened the country’s economy, particularly affecting farmers. “Everything is now dictated by foreign markets,” Arach said.
She accused the National Resistance Movement (NRM) government of worsening the economic situation by allowing middlemen to exploit ordinary citizens.
“The NRM government dismantled structures that protected farmers, leaving the sales of goods and services in the hands of middlemen. As a result, the benefits no longer reach the farmers but instead enrich intermediaries,” she stated.
Arach also alleged that foreign traders, particularly from Kenya, are taking advantage of Ugandan farmers due to the lack of proper storage facilities and market structures. “Without the necessary infrastructure, farmers are forced to sell their produce directly from their gardens at very low prices, making minimal profits,” she added.
UPC called on the government to reinstate other critical agencies, just as it has done with Uganda Railways Corporation, Uganda Airlines, and, more recently, UMEME.
