Uganda recently discovered oil in the western Uganda Abertaine region worth billions of barrels. Commercial exploitation is expected to start in early 2011.

Thomas Richardson

However, analysts are still skeptical on whether Uganda oil wealth will contribute to the growth and development of the country because of rampant corruption by the Uganda government circles.

While addressing Uganda Members of Parliament who sit on the parliamentary committee on National Economy on Wednesday (30^th June 2010), the International Monetary Fund’s (IMF) Senior Resident Representative, Thomas Richardson expressed worry over the growing trend by oil rich countries to neglect other sectors of the economy like agriculture, yet they contribute significantly to a country’s Gross Domestic Product.

Richardson says that if the oil revenues are to help the country develop, they should be used to fund other sectors of the economy like agriculture.

Agriculture remains Uganda’s biggest sector of the economy employing over 80 percent of the population. Oil is likely to overtake agriculture when commercial production starts.

Also see stories related to oil exploration in Uganda

Walakira Nyanzi, Ultimate Media

The post Experts’ advice Uganda not to ignore other sectors of the economy in favour of oil first appeared on Uganda Multimedia News & Information.

The International Monetary fund (IMF) has hailed Uganda government for its good macro economic policy which has led to robust economic growth.

The Macro economic policies include the fiscal and monetary policies which aim at setting better conditions for the growth and development of the national economy like stable national currency, attraction of investments and provision of markets for goods and services.

Antoinette Monsio Sayeh and Thomas Richardson

While meeting the Uganda Parliamentary Committee on National Economy, the Director of IMF activities in Africa, Antoinette Monsio Sayeh says that good Uganda macro-economic policies have attracted increased funding from IMF.

In 2009, IMF increased its funding to Uganda from 1 billion shillings to 5 billion shillings.

Similarly, the Senior Resident Representative of IMF in Africa, Thomas Richardson says that IMF has started providing Uganda with interest free loans because of its good economic policies.

The Chairman of the Uganda Parliamentary committee on National economy Stephen Birahwa says the benefits of good Uganda economic policies have trickled down to the grass root people hence uplifting their living standards.

Economic growth and development in Uganda however remains hampered by corruption in government institutions, lack of markets for Uganda agricultural produce, insecurity in some parts of the country, unemployment and poor transport infrastructure among others.

Zacharia Tiberindwa, Ultimate Media

The post IMF hails Uganda's macro economic stability first appeared on Uganda Multimedia News & Information.