Activation Policies for the Poor in OIC Member States
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A consistent government communications message in the press, possibly led by some of Uganda’s
high profile entrepreneurs, promoting the importance of technical and skills training and the high
earning opportunities for skilled personnel within the new sectors could also be rolled out to
compete with the preference for academic pathways and to raise the profile of Ugandan
entrepreneurship.
The high failure rate of new agricultural ventures could be mitigated.
Young businesses in Uganda have a high failure rate. Agricultural businesses in particular face
difficulties because of the short lifespan of their products. More consistent business support could be
provided that encourages ventures that fill market gaps and extend the life of products to emphasise
the need of creating competitive businesses.
Micro finance could be made more easily accessible to applicants with no or limited guarantees.
60% of the Ugandan population is 18 or younger. Poor, young people have little or no collateral but
should be supported if Uganda is to achieve its growth ambitions. It is essential to the economy that
young entrepreneurs in particular are supported financially to succeed in their business objectives
and create jobs. Credit guarantee schemes for the poorest could incentivise lending and leverage
lending capacity. Village Lending Savings Associations may also be encouraged.
Supporting infrastructure
Impact assessment of the investment in all the various labour programmes, with data from the
operational front line, may be required so that informed decisions can be made about what really
works.
Where lessons have been learned e.g. from the precursors of the Youth Livelihood Programme
(Youth Opportunities Programme and the Youth Venture Capital Fund) to inform the design of the
new programme, there is a greater chance of the programme being successful. It is less clear how
donor funded projects are evaluated and the lessons learned from the evaluations disseminated to
inform future project design.
Carrying out impact assessments as described will require the improvement of the labour market
information that is currently available, the creation of SMART indicators and improving the way
labour market information is disseminated inside and outside of Government departments.
Access to long-term funding for projects could be improved.
Donor funds are short term. In order to maximise their effectiveness and have real and sustained
impact, projects may need to be able to depend on longer term funding. Improving access to long-
term funding may require some rationalisation of the numbers of NGOs working in the same field
and chasing the same pockets of donor cash. Alternatively, NGOs may need to work in closer
partnerships or confederations and share resources. Such economies of scale could lead to more
cash becoming available to support operations if resources and expertise are pooled and
administration is rationalised.
Measures could also be taken to encourage organisations to support the government in
implementing the policies for which implementation is currently difficult due to lack of funding.
Uganda is an entrepreneurial nation and this may be acknowledged and fostered from childhood.
Young people and their parents could be supported to value skills training and self-employment as a
respectable and valued alternative to academic pathways and employment in the public sector.
Vocational training is not regarded highly in Uganda. As vocational work is most likely to offer
employment opportunities and is being pursued by the government as part of its growth strategy,
supportive measures could be introduced to change the public perception of vocational training.
Fostering creativity could lead to developing innovation and a sense of initiative among students. A
greater focus on these subjects could also impact positively on entrepreneurship as a source of
employment.