Nabweru – economy

Nabweru being annexed to Nansana for planning purposes. The economic activities in Nansana  are influenced by its proximity to Uganda’s Capital city Kampala. This proximity has seen the growth of Nansana as a dormitory town since most people who reside in Nansana work in Kampala and come back in the evening hours; making Nansana more vibrant in the night. Slide6Slide9

Nansana town council authorities do not like such a town setup because “there will be no sources of revenue if Nansana continues to be a dormitory town…” Several businesses that mushroom only during the night are not taxed hence the council loosing out on revenue.

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The Planning TEAM 4 carried out an economic analysis in Nabweru, and studied the following aspects:

  • EMPLOYMENT
  • FORMAL AND INFORMAL ACTIVITIES
  • NATURE OF BUSINESS
  • SOURCE OF INCOME
  • EFFECTS OF THE BUSINESS
  • REAL ESTATE
  • YOUTH EMPOWERMENT PROGRAMMES etc.

A few challenges were encountered in collection of information since most of the people tended to be reserved about their financial information, however, the Nansana town council availed revenue reports and information about the registered legal businesses.

   INFORMAL ECONOMIC ACTIVITIES

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  • Most of the markets on the site are small street markets with 3-5 vendors; usually women selling mostly food stuffs.
  • Some of them have stalls while others operate in open spaces.
  • Wholesalers bringing in food stuffs and other items in bulk  on lorries and pick ups etc. are charged a one-time fee on those items (distribution fee)
  • These markets operate during the day ( between 8am and 8pm).

   TRANSPORT:

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The most used mode of transport to and from the area are commuter taxis which charge between 1000-2000 UGshillings from Nabweru to Kampala (a 10.6 KM distance).

Taxis drop people on the stages along Nabweru road where they board motorcycles (“bodaboda”) or walk via foot paths to their residences.

   FABRICATION BUSINESSES:

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The existing fabrication businesses can be classified into:

  • Carpentry
  • Metal works
  • Building bricks
  • Others (clay works, crafts etc.)

THE TOWN COUNCIL AND ITS PLANS

Nansana Town Council aims to boost growth from 6.5% to 7% over the medium term by the following measures;

    • Improvement in transport infrastructure and utility services by routine maintenance of roads, tarmacking of roads and grading of roads.
    • Encourage establishment of banking institutions like Advance Uganda which has provided loans to people so that they can start up small businesses.
    • Removal of bureaucratic barriers to investment.
    • Increase employment opportunity to the local people for example the now employs street cleaners and porters.
    • Modernisation / commercialisation of agriculture, with emphasis on value addition through the NAADS Programme.

     POLICIES THAT HAVE AFFECTED BUSINESS.

    Property Tax.

The Local Government (Rating) Act was passed and the implementation is as follows:

Under the Act, property taxes are levied on the following categories of properties:

(i) Commercial and industrial buildings in both rural and  Urban areas;

(ii) Residential buildings in urban areas only;

The council also collects other taxes from the locals in the categories of Licenses, Permits, Bill boards fees and other fees.

    Prohibitive tax.

  • This is a tax that has been introduced to be levied on containers and kiosks put on roadsides for business. This was a way to reduce on the influx of these containers and kiosks.

    Placement fee.

  • On top of the prohibitive tax, owners of containers and kiosks now have to pay a placement fee.
  • Before any advert is put up on a building, it has to be approved by the council. This is in order for the council to maintain ‘sanity’ in the town

SWOT ANALYSIS:

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 PROPOSALS

Based on the analysis TEAM 4 made some schematic proposals to enrich the analysis.

All the schematic proposals are targeted at improving wellbeing for women, many of whom live in poverty.

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