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MILLY BABALANDA: Ugandans in the Diaspora are Strategic Partners for National Development

Insight Post Uganda by Insight Post Uganda
October 20, 2026
in Opinion
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MILLY BABALANDA: Ugandans in the Diaspora are Strategic Partners for National Development

Hon. Milly Babalanda

Uganda’s socio-economic transformation requires the collective effort of all citizens, wherever they live. Our diaspora community is one of the country’s most valuable assets, contributing much-needed financial remittances, professional expertise, entrepreneurial experience, international networks and innovative ideas that can accelerate national development.
Over the past few months, I have interacted with Ugandans living abroad and members of forced migrant communities residing in Uganda. In mid-September, I participated in a high-level conference for diaspora and forced migrant communities at the Ministry of the Presidency Conference Hall.
I subsequently engaged Ugandans in Dubai and, more recently, members of our diaspora community in Australia during the UG@64 Australasian Independence celebrations held in Melbourne last week.
These engagements have strengthened my appreciation of their patriotism, achievements and willingness to contribute to Uganda’s progress. As a government, we must therefore deliberately support the President’s efforts to harness this goodwill and translate it into meaningful development outcomes.
THE ECONOMIC POWER OF OUR DIASPORA
In the 12 months leading up to March 2026, diaspora remittances reportedly reached approximately US$2.8 billion, equivalent to more than UGX 10 trillion, up from about US$1.9 billion, or over UGX 7 trillion, in the preceding year.
These inflows represented approximately 4 per cent of Uganda’s gross domestic product (GDP), demonstrating the diaspora’s importance to household welfare and the national economy. Remittances enable families to educate their children, access healthcare, build homes, acquire productive assets and establish small businesses. They also provide financial support during emergencies and periods of economic hardship.
However, my interactions have reinforced the need to move beyond relying primarily on remittances for household consumption. We must encourage more diaspora savings and resources to be channelled into productive investments in commercial agriculture, agro-processing, manufacturing, tourism, renewable energy, information technology and other strategic sectors.
Such investments can generate employment, particularly for young people, strengthen domestic value chains and expand Uganda’s productive capacity. Diaspora members can also connect Ugandan businesses to international markets by helping entrepreneurs understand foreign consumer preferences, quality standards and regulatory requirements.
STRENGTHENING GOVERNMENT ENGAGEMENT
I commend the government for strengthening engagement with Ugandans abroad through the Office of the President’s Diaspora Affairs Unit, headed by Ambassador Abbey Walusimbi, the Senior Presidential Advisor on Diaspora Affairs.
Meaningful diaspora participation requires sustained communication, reliable information and practical institutional support. I am encouraged by the government’s continued efforts to provide accessible guidance on investment opportunities, business registration, land transactions, taxation and the legal requirements for establishing enterprises in Uganda.
Equally important is the need to protect investors against fraud, corruption, bureaucratic delays and other practices that undermine confidence. A transparent, efficient and predictable investment environment is essential to encouraging Ugandans abroad to invest their resources and expertise back home.
TAX COMPLIANCE AND KNOWLEDGE TRANSFER
National development also depends on responsible citizenship and compliance with tax laws. Under Section 17(2)(a) of Uganda’s Income Tax Act, tax residence is an important consideration in determining an individual’s tax obligations. However, the specific treatment of income earned locally and abroad depends on the applicable statutory provisions, the individual’s circumstances and any relevant exemptions or reliefs.
The Uganda Revenue Authority should continue providing Ugandans in the diaspora with clear guidance, promoting voluntary compliance and ensuring fairness and transparency. Appropriate mechanisms, including foreign tax credits where legally available, can help address the risk of double taxation.
Beyond financial contributions, diaspora professionals in medicine, engineering, agriculture, accounting, information technology, education, research and business management possess valuable expertise that can strengthen local institutions and enterprises.
Government should facilitate professional exchanges, mentorship programmes, research partnerships and virtual knowledge-sharing initiatives to enable Ugandans abroad to transfer skills, experience and technology to their counterparts at home.
INVESTMENT AND NATIONAL TRANSFORMATION
Uganda’s Fourth National Development Plan (NDP IV), covering the financial years 2025/26 to 2029/30, prioritises wealth creation, employment, industrialisation and higher household incomes as part of the country’s ambition to achieve tenfold economic growth by 2040.
Ugandans abroad should be encouraged to invest in agriculture, tourism, manufacturing, healthcare, technology, construction and other productive sectors. Those unable to return permanently can participate through joint ventures, business partnerships, investment funds and professional exchanges.
By familiarising themselves with Government programmes and investment facilitation services, diaspora members can identify opportunities that align with their expertise, interests and financial capacity.
Our objective should be to create mutually beneficial partnerships in which diaspora investors earn sustainable returns while contributing to job creation, technology transfer, industrial development and improved household incomes.
DIASPORA MEMBERS AS NATIONAL AMBASSADORS
Ugandans abroad also have an important role to play in promoting tourism, attracting investors, supporting exporters and showcasing Uganda’s cultural heritage.
Through cultural festivals, professional associations and business forums, they can strengthen international relationships and promote Uganda as an attractive destination for business, tourism and investment.
Every Ugandan living abroad can contribute to improving the country’s international image by sharing accurate information about our development opportunities, cultural diversity, natural attractions and investment potential.
Our diaspora community should therefore be viewed not merely as a source of remittances but also as a strategic partner in advancing Uganda’s economic interests and strengthening its global standing.
PROTECTING INVESTORS AND STRENGTHENING PARTNERSHIPS
I sincerely thank H.E. the President, Gen. (Rtd) Yoweri Kaguta Museveni, for his continued efforts to create a conducive investment environment in Uganda.
Initiatives such as the State House Investors Protection Unit and the Electronic Investors Protection Portal demonstrate the government’s commitment to addressing corruption, unnecessary bureaucracy and administrative delays that affect investors.
The President’s continued engagement with Ugandans in the diaspora and encouragement for them to invest their resources, expertise and networks in their motherland present significant opportunities to establish businesses, create employment, transfer skills and technology, and strengthen the national economy.
I call upon leaders at all levels to support the President’s efforts by mobilising Ugandans abroad and at home to take advantage of the country’s development agenda and available investment opportunities. Government institutions must work together to ensure that investors receive the information, guidance and protection they need to make informed decisions and succeed.
Uganda’s transformation cannot be achieved by the government alone. It requires the active participation of citizens, the private sector, development partners and Ugandans living abroad. By turning patriotism into productive investment, knowledge transfer and entrepreneurship, our diaspora community can become an even stronger pillar of national development.
The author is the Minister for the Presidency and Member of Parliament for Budiope West Constituency.

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