Thursday, August 4, 2011

UGANDA GOVERNMENT SHOULD PUT IN PLACE A COMMITTEE TO VET ALL EXPENDITURES BEFORE IMPLEMENTATION






UGANDA GOVERNMENT SHOULD PUT IN PLACE A COMMITTEE TO VET ALL EXPENDITURES BEFORE IMPLEMENTATION
The NRM Government must realize the bad situation the economy of the country is in, and in the short term come up with a committee to sit on a daily basis analyzing the situation and also recommending whether specific expenditures by Government should be made. It is sad to see the situation regarding Sugar and wonder how the Government could have been caught off guard given that it has figures regarding the demand. It looks like many people have left the duties they ought to do and are taken up by issues which don’t help the economy at all. It is also time to check expenditures by State House. No money should be put into the economy without being properly vetted. It is politics that is messing up Uganda’s economy. There is also need to look at the way donor funds are being spent. It is possible that some of these funds are going into consumption. There is a lot of money with some people while majority are empty handed. The source of this money must be investigated and something done about it. When one sees what is going on in the building industry, for sure, a good number of people constructing at this time may have got money during the elections time and this is greatly doing havoc. For once, President Museveni should leave the technical people manage the economy. He should desist from giving instructions to see money dished out. The economy has reached a phase where if we had real democracy to talk about, the solution would have been to impeach him. It is sad to see people not able to make any worthy financial plans now because the financial situation is so unpredictable. Recently it was reported in the press how Bassajjabalaba was demanding for shs 140bn or so. The question is, how does he come to have command to such money? If these situations are not investigated and a lasting solution got, it will be most unfortunate. You cannot have a country where every other day people are striking and the powers are unbothered. The institution of the forces is generally not productive. So if Government imagines that it will keep deploying forces to cool people down as the prisons are filled, this unfortunately is no solution. Let technical people be given the command to manage the economy without powers from above which powers are messing up. How come that the country is borrowing a lot but keeps selling peanuts to generate foreign exchange which situation is keeping the shilling depreciating? There must be a balance sheet produced for what is happening and remedy got otherwise it is most unfortunate. If a reduction in taxes can make some sense let it be. It is sad for example to imagine that people will keep paying power bills when at the time most households need this power it is load shedding that they are witnessing. Let us have our priorities right. Let somebody be in control. Let us get to know exactly how much money is in circulation, how much is out of the banks and where possible control the Forex transactions. Those economies that have regulated Forex business are not silly, our countries are so vulnerable to external forces that even an owner of a telecommunications company can destabilize the economy. So, controlling the Forex market so as not to leave it 100% in hands of private operators makes a lot of sense. Time is now for Government to get active into auditing virtually everywhere it is involved. It is sad that the creators of wealth are yawning, yet those who do politicking business are talking big and have the money. Government must get its priorities right so that the skilled manpower are rightly cushioned from shocks in the economy as of now. Instances when we have had emergencies at Mulago and other hospitals speak for themselves. People expected of saving lives MUST be paid what is worth their work. In Uganda it is now a scandal when you see the people who are paid highly. Those who can sing NRM praises! That does not make economic sense. It is also very important that His Excellency the President for once takes the word from the technical people. It is sad for a leader not to listen and have people work as robots for what these people know is wrong and will ruin the country.

Wednesday, August 3, 2011

CHANGING CURRENCY AND STRICTLY REGULATING THE AMOUNT IN CIRCULATION CAN HELP UGANDA

CHANGING CURRENCY AND STRICTLY REGULATING THE AMOUNT IN CIRCULATION CAN HELP UGANDA

It is simply panic now in Uganda as no body ids sure of what next. As the shilling keeps depreciating as reflected in the ever increasing prices, there is real concern. As Cabinet prepares to sit, Thursday 4th August 2011, I wish to advise that, one strategy Government can use as of now is to get back into the banking system much of the currency in circulation. This is against the background that many people seem to be holding a lot of money which they are not depositing onto their accounts which is greatly affecting the stability of the currency as its regulation is impossible. In the circumstances, Government may have the option as giving a limited time say a month to see a new currency operational. Prior to operationalizing the new currency, Government could advise all those with big sums of money to have the money into their bank accounts to avoid the inconvenience at the time of exchange. On exchanging the money, one would have to take a fixed amount and have the balance into his/her bank account. The arrangement could be that people are categorized depending on what they have to exchange, those with big sums alone, and those with small amounts so as not to inconvenience the small balance holders, given that the sinners are those with big sums of money. Government would then ensure that people observe payments using cheques for most transactions and the use of travellers’ cheques . This strategy if religiously observed will create an artificial shortage of currency in circulation and stabilization of prices may be realized. Government at the same time ought to ensure discipline on its part as it is because of the sins of the NRM Government that everybody is paying the price, hence making all fixed earners have their income useless. It is very easy to put measures in place and have Government violate them. The schemes like purchase of cars by MPs should be suspended so that they use the cars they have at hand until the situation improves. Also expenditures by Government in the 2011/12 Budget which are not a priority should be halted. Government must also ensure that it has a window for Foreign currency where a fixed rate rules for a time more so for what Government has to procure that is basic including medicines among others.
William Kituuka Kiwanuka

Rising inflation: Central bank predicts slowed economic growth
TOUGH TIMES: Central Bank chief Mutebile expects economic slump owing to the weakening Shilling. Photo BY STEPHEN WANDERA
By Martin Luther Oketch

Posted Wednesday, August 3 2011 at 00:00
In Summary
Despite Bank of Uganda’s continued pursuance of a tight monetary policy in July to rein in the second round effects of the supply side-induced inflationary pressures and mitigate depreciation without compromising growth, Martin Luther Oketch writes that the economists expect slow growth.
The Central Bank yesterday predicted Uganda’s economic growth rate will slow down by about 2 per cent as a direct consequence of the ongoing inflation and volatility in the foreign exchange market.
With the economy suffering under a 10-year high 18.7 per cent inflation rate, a continually depreciating Shilling and high fuel prices, BoU has now projected economic growth to slump to 5 per cent down from the 7 per cent projected earlier.
The Central Bank said high inflationary pressures and foreign exchange instabilities has forced it to keep tightening monetary policy, which ultimately will reduce on the level of aggregate demand in the economy.
At a news conference yesterday where he announced the new Central Bank Rate (CBR), Bank of Uganda Governor Emmanuel Tumusiime Mutebile said ongoing policy operations are aimed at curbing the growth in the aggregate demand by hiking CBR in the interbank market.
It is hoped that this will lead to reduction in the aggregate demand in the economy that is causing an economic slowdown. “As we raise the Central Bank Rate, it may affect the output in the economy. So we expect the output growth rate to be at 5 per cent for this fiscal year,” Mr Mutebile said. The expected output Mr Mutebile underscores is the Growth Domestic Product (GDP).
Nagging figures
By yesterday afternoon, the official central bank exchange rate saw the Shilling trading at 2,634.2 against the dollar and selling at 2,660.66. The central bank said average monthly exchange rate for July 2011 stood at Shs2,588 per dollar, representing a depreciation of 5.1 per cent on monthly basis and 14.6 per cent on annual basis. The central bank said this was higher than the monthly depreciation of 3.1 per cent recorded in June 2011.
Uganda’s GDP rebounded 6.3 per cent compared to 5.5 per cent in FY 2009/10 – and this was largely attributed to the recovery in construction and increased trade activities, and strong performance in the telecommunications, financial services, mining and quarrying sub-sectors.
Services continue to be the major drivers for economic growth, contributing about 50 per cent of the total annual national output. The industrial sector contributes about 27 per cent and agriculture 24 per cent.
In June, government projected economic growth at between 6.5 per cent to 7 per cent. However, BoU says due to price instabilities in the economy leading to monetary policy adjustments by the central bank, the likely impact lead to low output in the economy. Consistent with global outlook, domestic inflation forecasts, output gap, and exchange rate forecasts, Mr Mutebile said BoU continued to pursue a tight monetary policy in July.
Volatile market
“The objective was to rein in the second round effects of the supply side-induced inflationary pressures, anchor medium term to-long term inflation expectations, and mitigate depreciation pressure without compromising growth,” he said.
On the question of volatilities in the foreign exchange market, the governor said the Shilling will continue trading against the dollar between Shs2,550 to Shs2,670 for some time. “It is a difficult for any central banker in the world to know exactly where the currency of a country is going to stabilise against other currencies,” he said.
In its monthly monetary policy report for August, central bank said: “This depreciation should encourage substantial structural adjustment in the economy. Adjustment is inevitable with depreciation and it should not be frustrated, but rather be facilitated by policies that enhance economic flexibility.”
Euro Zone crisis
The Director Research at Bank of Uganda, Dr Jacob Opolot, said the depreciation pressures were driven by offshore players constituting 28 per cent, manufacturing sector constituting 19 per cent and energy sector 29 per cent. By yesterday afternoon, in open markets (forex bureaux) the Shilling was trading in the range of Shs2,630 buying per dollar and selling Shs2,670 per dollar.
Mr Syed Jafar ALi Jaffari, a branch manager at Stanhope told Daily Monitor that due to Euro Zone crisis, coupled with US debt crisis, the demand for US dollars has increased. “We have seen instabilities cropping up again in Uganda because of high demand for the dollar internally. especially from the energy sector,” he said.

ECONOMIC HARDSHIPS REQUIRE RESPONSIBLE, ACTIVE LEADERS
Olive Kigongo
27 July 2011
opinion

AS we continue to grapple with the biggest economic challenge of our time, leaders in the public and private sector are increasingly under pressure to offer solutions.
Uganda National Chamber of Commerce and Industry (UNNCI) as a membership organisation representing trade and manufacturing sectors in the country is no exception. In the last couple of weeks, I have been overwhelmed by calls from our membership demanding to be reassured about their safety, and that of their businesses, following calls for businesses to go on strike, which the majority do not support.
They also want to be assured that the Government is putting in place measures to address policy bottlenecks that will bring relief to current economic challenges. Some of them, who choose to operate their businesses, have been threatened with burning of their businesses and even physical harm. This calls for Government intervention in managing the voices that claim to speak on behalf of the business community.
We all know there is an economic crisis the world-over. It continues to challenge even established economies in Europe, America with the strength of the Euro under tremendous pressure to survive, and the American economy at the brink of a recession.
The prevailing challenges have exposed the laxity in regulation and accreditation of private associations that represent the collective business sector. With multiple voices claiming to represent the interests of the business community, some end up manipulating the situation to advance their own agendas. It is important, therefore, to define and agree on who, for example, has the mandate to speak on behalf of a critical sector such as the business community.
At UNCCI we have advanced some ideas to the Government for action on some of the critical and contentious issues. For example, on the issue of foreign nationals engaging in 'petty' business, we called for a comprehensive review of all work permits issued to foreigners. This review should however not be used to target Ugandans of Asian origin or other East Africans who enjoy special residence privileges under the EAC treaty.
On the issue of trading licenses, the relevant ministry needs to review the trade licensing regime and also evaluate the contribution of trade license revenue to the Kampala City Council Authority (KCCA) budget. If the KCCA budget is significantly financed by central Government the trading license contribution will be marginal, perhaps then the Government could consider abolishing them altogether.
Seizure of substandard goods by the Uganda National Bureau of Standards (UNBS) after payment of taxes, is deplorable. Preventative measure need to be put in place to prevent such good from entering the country in the first place.
UNBS and URA need to coordinate and use the ASCYUDA tracking system to ensure that substandard goods do not enter at all. Indeed the Pre-Import Verification Scheme should by now be effective in checking such discrepancies in the quality of shipped goods. UNBS should also work with private sector bodies like UNCCI and the Private Sector Foundation (PSF) and others to sensitise the business community on the importance of quality and standardisation.
On high taxes of essential commodities like sugar and rice, there is need to expand the tax base through formalisation of many informal businesses which need to be supported to meet tax obligations and therefore fit within the tax bracket. We believe the Government needs to consider subsidising such activities, as is the case in other countries. To address the current rice shortages the Government should promote local production in order to increase output capable of meeting both local demand and export needs.
Contradictions in the sugar policy need urgent attention. The Government should balance the liberalisation of the sector with protection of domestic production. Sugar can potentially become one of our main exports. Also out grower schemes need to be deliberately supported to boost local participation in production.
Lastly, the Government should consider signing the Free Trade Agreement with COMESA in order to rationalise the competition within the region.
On volatile exchange rates which make imports expensive, we urge the central bank to remain pro active and continue stabilising the situation as and when it occurs. However, going forward there is a need for improved communication between the public, and private sector on currency issues.
The Ministry of Finance, Bank of Uganda, Ministry of Internal Affairs, and the Ministry of Trade and Industry should have regular dialogue with private sector key stakeholders like UNCCI, PSF, and Uganda National Farmers Association among others. This will be a good platform for updating the private sector on development efforts being made by the Government to solve issues. This would pre-empt unnecessary scenarios like strikes.
Finally, we all need to come of age, to re-focus interests towards more export for more foreign exchange, towards increased and diversified economic activity. This is a win-win situation for everyone. Of course, government can do more to interest a larger section of the business community to re-orient their interests towards exports and less towards imports.
President of the Uganda National Chamber of Commerce and Industry

Tuesday, August 2, 2011

MR MATHEW BUKENYA ADDRESS ROLE OF EXAMINERS IN CHEATING UNEB EXAMS

It is wrong for us to keep unconcerned as some people use their positions wrongly. Mr. Bukenya Sir, we are about to enter the Examinations season. The innovation of Makerere University to start pre-admission exams for Law Students is an eye openner of the failures of UNEB. There is cheating to pass exams which many seem to be ignoring, but time is now to address it. This is the time schools have to market themselves so that they end up winning more souls the following year. However, I am reliably informed that your examiners are contacted by many Head teachers to brief them on how to go about answering questions. In the process, the children are given the actual stuff that is expected in the exams. What happens is that such children pass in flying colours. Some schools put off the official teachers when it is about exam time and examiners take over. Is your office aware of this development? If so, should it be encouraged to go on? Can your office put a ban on examiners visiting schools and briefing the students of how to go on answering questions? It is also said that some of these charge shs 250,000 a day for the service rendered.
2ndly, why doesn’t UNEB release the marking scheme after marking the papers so that teachers are properly guided as to how students should go about answering questions? This is against the background that examiners end up advising children on how they should approach specific questions, which at times contradicts what the teachers may have told them.
Mr Bukenya, a proposal was made to have children pay into the bank what is due to your office. This would see a stop to head teachers who eat children’s money. UNEB has ignored this. Can we expect that no head teacher will eat children’s money this time?
It is true, there are loopholes in National examinations which UNEB ought to address more so that the Government has refused to scrap Government sponsorship which is one reason that cheating exams is the norm.
We are also not informed of outcomes regarding the cases where people have been arrested in examination cheating. This tends to reflect that UNEB is party as in MOST cases someone with touch to UNEB leaks the papers. I was informed of a situation in the last examinations where students succeeded in sending questions to friends by telephone given the nearly free time these give. It is not clear whether UNEB has taken interest to check with phone companies to verify the truth. Much more has to be done by UNEB if our national exams are to remain relevant.
Lastly, it is suspected that the leaking a part from being helped by those with connections who use ‘powers from above’, it cannot be ruled out that some of UNEB staff have interests in schools and facilitate the leakage to promote their schools.
I remind you that at each intake at Makerere University, students in some courses are cautioned not to bother taking them when they are not sure of ‘their brains’, meaning that cheating is the norm for these students who end up excelling when they cannot measure up.
William Kituuka Kiwanuka

MAK TO START PRE- ENTRY EXAMS FOR LAW STUDENTS
By Our Online Team.
Makerere University plans to introduce pre entry exams for the bachelor of laws degree course. Professor Ben Twinomugisha, the dean school of law says that all new students interested in taking law as a career shall have to first sit for a pre entry examination in order to qualify for admission.
He says with effect from next academic year pre-entry examination shall be undertaken immediately after the release of the A-level results.
Prof. Twinomugisha says the examination shall include an aptitude test, English comprehension and composition, current affairs covering domestic, regional and international issues and the economy.
Addressing the media at the university Main Building on Monday, Harriet Musinguzi, the communications officer school of law said the pre exams shall be open for all students both with arts and sciences and diploma holders, degree holders and mature entry applicants.
Musinguzi told reporters that for the past 10 years the quality of students for the bachelor of laws degree has been declining in spite of the improving performances at the Uganda Advanced Certificate of Education, from where the best students with excellent marks have been selected for the course.
She says many of the students already admitted for the law course with excellent marks have reading and English comprehension problems and are also not well versed with the contemporary social, economic and political issues which are relevant in the study of law. Musinguzi revealed that the school of law is still discussing the amount of money to be charged for the pre entry exams.

Uganda Education News: UNEB holds results of 1227 PLE candidates
Ultimate Media

The Uganda National Examination Board is holding results of 1,227 pupils from the 2010 Primary Leaving Examinations over malpractice.
Announcing the results this morning, the board secretary Mathew Bukenya said some of the affected schools in Kampala include Makindye Junior School which had 60 candidates and Fahad Islamic Primary School which had 53 pupils.
In Wakiso, the affected schools are Najeera Progressive with 87 candidates and Homisdallen in Kirinya which had 79 candidates.
While in Jinja, results of two candidates from Buyala primary school have been withheld.
Bukenya says the results have not been cancelled but are being held as investigations continue
It is wrong for us to keep unconcerned as some people use their positions wrongly. Mr. Bukenya Sir, we are about to enter the Examinations season. This is the time schools have to market themselves so that they end up winning more souls the following year. However, I am reliably informed that your examiners are contacted by many Head teachers to brief them on how to go about answering questions. In the process, the children are given the actual stuff that is expected in the exams. What happens is that such children pass in flying colours. Some schools put off the official teachers when it is about exam time and examiners take over. Is your office aware of this development? If so, should it be encouraged to go on? Can your office put a ban on examiners visiting schools and briefing the students of how to go on answering questions? It is also said that some of these charge shs 250,000 a day for the service rendered.
2ndly, why doesn’t UNEB release the marking scheme after marking the papers so that teachers are properly guided as to how students should go about answering questions? This is against the background that examiners end up advising children on how they should approach specific questions, which at times contradicts what the teachers may have told them.
Mr Bukenya, a proposal was made to have children pay into the bank what is due to your office. This would see a stop to head teachers who eat children’s money. UNEB has ignored this. Can we expect that no head teacher will eat children’s money this time?
It is true, there are loopholes in National examinations which UNEB ought to address more so that the Government has refused to scrap Government sponsorship which is one reason that cheating exams is the norm.
We are also not informed of outcomes regarding the cases where people have been arrested in examination cheating. This tends to reflect that UNEB is party as in MOST cases someone with touch to UNEB leaks the papers. I was informed of a situation in the last examinations where students succeeded in sending questions to friends by telephone given the nearly free time these give. It is not clear whether UNEB has taken interest to check with phone companies to verify the truth. Much more has to be done by UNEB if our national exams are to remain relevant.
Lastly, it is suspected that the leaking a part from being helped by those with connections who use ‘powers from above’, it cannot be ruled out that some of UNEB staff have interests in schools and facilitate the leakage to promote their schools.
I remind you that at each intake at Makerere University, students in some courses are cautioned not to bother taking them when they are not sure of ‘their brains’, meaning that cheating is the norm for these students who end up excelling when they cannot measure up.
William Kituuka Kiwanuka

Uganda Education News: UNEB holds results of 1227 PLE candidates
Ultimate Media

The Uganda National Examination Board is holding results of 1,227 pupils from the 2010 Primary Leaving Examinations over malpractice.
Announcing the results this morning, the board secretary Mathew Bukenya said some of the affected schools in Kampala include Makindye Junior School which had 60 candidates and Fahad Islamic Primary School which had 53 pupils.
In Wakiso, the affected schools are Najeera Progressive with 87 candidates and Homisdallen in Kirinya which had 79 candidates.
While in Jinja, results of two candidates from Buyala primary school have been withheld.
Bukenya says the results have not been cancelled but are being held as investigations continue

CAN THE GOVERNMENT OF UGANDA SUPPLY A BALANCE SHEET FOR LOANS TO-DATE?

The NRM Government has proved good at getting loans. Given the performance of the shilling, it is unfortunate that the country seems to perform poorer the more money it gets. It is high time the people of Uganda were availed with a balance sheet of the monies borrowed and how they have been utilized and the re-payment schedules.
William Kituuka Kiwanuka

WORLD BANK TO BOOST ENERGY SECTOR WITH $120m ELECTRICITY LOAN
Sunday, 24 July 2011 18:12 David Muwanga
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KAMPALA, UGANDA - The World Bank has approved $120m to improve electricity supply to the South Western region in Uganda by 2025.
The five year project will benefit residential, public, commercial and industrial electricity customers who are currently served by the existing transmission line.
A statement issued in Kampala by the bank's senior communications specialist Steven Shalita recetly said the project will also benefit new customers in the region.
“Among the key beneficiaries of the new project will be over 50,000 people living in the peri-urban areas along the transmission line route, including those who could not get connected because of high connection costs and compensation to those who will be displaced because of the transmission line construction,” said Somin Mukherji, Task Team Leader for the operation.
Mukherji said the project involves construction of 137 km of the 220 kV Kawanda-Masaka transmission line and related substation construction and upgrades and resettlement of displaced persons. It also involves technical assistance in support of project implementation, transmission system development and capacity building of Uganda Electricity Transmission Company Limited, and community support projects in areas affected by construction of the transmission line, and capacity building at Ministry of Energy and Mineral Development
Meanwhile the bank has also approved $50m policy loan for Uganda to help build a more efficient and deeper financial sector which can support broad-based private sector growth.
The goal is that by the end of this two-loan program, the country will have a regulated pension sector, an expanded housing finance market and efficient national payment system.
Mr. Shalita said the new loan will support reforms aimed at promoting financial inclusion; promoting small and medium enterprises access to finance; fostering the development of term finance market; strengthening financial sector regulations and supervision, including for pension schemes; and strengthening consumer protection.
"The loan will support Government's financial sector reform program which aims at fostering financial intermediation and savings mobilization in support of higher and more diversified economic growth and increased poverty reduction," said Javier Suarez, the bank's senior economist.
The first pillar of the program will concentrate on supporting the development of a market for financing including pension system reform, specifically supporting the emergence of a regulated, competitive and sustainable pension industry catering to both mandatory and voluntary pension savings

IF PRIMITIVE ACCUMULATION OF WEALTH IS NOT ADDRESSED IN UGANDA, EXPECT MORE TROUBLE

I a country with poverty everywhere, you are surprised to find people whose wealth cannot be explained, and many of these are untouchable. If this wealth accumulation is not addressed and we just take it normal, Uganda is in trouble. National resources seem benefiting a few while majority yawn. It is sad.
William Kituuka Kiwanuka


HELPLESS: Traders look on as fire consumes Owino Market on Sunday night. PHOTO BY STEPHEN OTAGE

By Mercy Nalugo & Abdu Kiyaga (email the author)

Posted Monday, August 1 2011 at 09:28
IN SUMMARY

History of infernos

On December, 02, 2010 at 11am Anatolia Enterprises Limited on 7th Street Industrial Area was burnt and six brand new motorcycles, timber, compressor and other property were destroyed.
On August, 30, 2010 at 6.57am, Kiseka Market caught fire and about 80 stalls and unspecified amount of property were destroyed.
On March, 16, 2010 at 2.50am at Kasubi Tombs the main house Muzibu Azaala Mpanga got burnt and most of the cultural relics were destroyed. The case is being investigated by a judicial commission of inquiry which has not submitted its report.
On Ash Wednesday in March, 2009, Park Yard and part of St. Balikuddembe markets caught fire, destroying traders stock, structures and money.
In 2009, 21 schools in different parts of the country were burnt. Most of the affected were boarding schools.
On April, 14, 2008, Nasolo, a girls’ dormitory was burnt at Budo Junior School, leaving 20 school girls dead. In the same year 83 schools were burnt.
In February 2005, 45 people were burnt to death after a minibus, a fuel tanker and a car collided at Lwankima near Mabira Forest.
By Andrew Bagala
Tension, anger and desperation yesterday played out in full scale at St. Balikuddembe Market, commonly known as Owino Market, as thousands of traders overwhelmed by the loss of their merchandise worth of billions of shillings in a mysterious fire that razed their wooden stalls and shops, cited sabotage.
By press time last evening, there were a series of conflicting accounts by eye witnesses on what might have caused the fire, which consumed a huge section of the Owino market, stretching from Nakivubo Park yard that shares a wall fence with Nakivubo Stadium.
Over 30,000 traders operate in the area, most dealing in clothes, shoes and similar merchandise. The Sunday night fire comes barely two years after the market was gutted down by another inferno. Most of the traders dealing in second hand clothes and shoes among other merchandise had their goods burnt beyond recognition and most of the inner shops collapsed as a result of uncontainable fire that stretched as far as St Balikuddembe Shrine connecting to Kisenyi, a city suburb.

The state of Police Fire Department
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Owino traders angered as police use teargas against them
Traders and witnesses Daily Monitor spoke to say the fire started around midnight—and they also think the “delayed” response by the police fire brigade department exacerbated matters. Some traders alleged that the first fire trucks arrived at the scene with no water.
The police Fire Brigade headquarters sits about one-and-a-half kilometres away from the market. Kampala Metropolitan police commander Grace Turyagumanawe was among the officers who faced the traders’ ire.
“We informed you on time but you arrived after two hours. You cannot speak to us,” shouted an angry trader, part of a group that barred Mr Turyagumanawe from addressing them.
He was sent away with the Central Police station Commander, Mr Herman Musinga, who was trying to calm the traders. With their bosses under attack, the police shot in the air and fired tear gas canisters to disperse the traders, most of who think the fire was an act of sabotage.
They point accusing fingers at individuals said to have bought the land on which the market sits. “We are aware there are some people who want this place and they had asked us to vacate although we overpowered them. As we struggle to put up new stalls, they are threatening us,” a Hajj Mubiru, a dealer in second hand clothes, who was wailing told Daily Monitor yesterday.
He, however, could not furnish more details on the suspects and neither could Daily Monitor independently verify claims of people buying off the land.
Police spokesperson Judith Nabakooba, however, denied claims that the force failed to intervene on time.
“We received information at 2:20am and dispatched the first fire tender at 2:21am.Up to 6:45am, we had sent 15 vehicles to extinguish the fire whose cause we are investigating,” she told Daily Monitor.
She said the traders cut three hose pipes used to put down the fire. Area councillor Salim Uhuru also thought the wrangles could be behind the fire.
“Someone has interest in the market. They recently wanted to evict people from the market but we intervened. We are calling on the government to put up modern stalls for traders and investigate the cause of the fire to its logical conclusion,” Mr Uhuru said.

Investigations underway
The Inspector General of Police, Major General Kale Kayihura, who visited the scene, said investigations are already under way to establish the cause of the fire.
“We are yet to establish the source of the fire but investigations are going on,” he told journalists at Police fire headquarters at Clock Tower.
The police boss dismissed talk that the market had been torched, noting that extinguishing the fire was difficult due to the poor planning of the facility.
“This market structure is poorly planned, it has no fire hydrants to support the fire fighters in case of water shortage and it was built using timber which escalates the fire,” he said.
Mr Robert Mwebe, a boda boda cyclist at Total Namirembe Road, said he heard an explosion before the fire broke out. “I heard a big explosion and smoke rose up the sky before the fire spread to other stalls,” he said.
Security agencies in December warned that suspected arsonists were planning to set Kisekka and St. Balikuddembe markets on fire during the festive season.
Gen. Kayihura warned then: “We are aware that criminals want to burn the two markets. We got to know about the planned arson attack through intelligence gatherings. So we aren’t sitting to wait for it happen. We have deployed overt and covert officers in both markets.”
The Vice President, Mr Edward Ssekandi, said the government will set up a committee to work with traders in redeveloping the market. “Government is saddened by the fire. It does not only make traders unemployed but also increases the level of household poverty. We shall set up a committee that will interact with that of traders,” he said yesterday afternoon.
After the first fire razed the market in 2009, the government set up an investigation committee, whose findings, however, have never been made public.
Prime Minister Amama Mbabazi also visited the area but did not speak to the traders, while Lord Mayor Erias Lukwago promised to clean up the area today.
It was not smooth sailing though for former presidential candidate Abed Bwanika. Traders chased him away, threatening to lynch him. It was not clear why the politician received a hostile reception, although some in the crowd accused him of being “a mole”.
Daily Monitor also established that several traders are repaying loans they had got from banks to recapitalise their businesses following an earlier fire that gutted the market in February 2009.
The government also gave them a Shs1 billion loan in 2009—seeing each trader get Shs30,000—most of which is yet to be repaid. A number of traders fainted on visiting the scene which by midday was still on fire. Many others could only look on as tears streamed down their faces.

Loss
Ms Hadijah Namukasa, who had just got a shs10 million loan, was rushed to Mulago Hospital, after she collapsed. Mr Mujib Ssenyange, who owned two shoes stalls in Kasodde area, said: “I have lost everything for the second time. I had just restocked on Friday,” as he held pieces of half-burnt shoes in his hands.
Faridah Nassolo, a food vendor who could not locate where her work place, said amidst wails: “It is true that God cares about us all the time, but this time I think He did not. I do not know what type of death to recommend for whoever did this. I cannot imagine what that person is feeling at home right now.”
It was a field day for those struggling to get scrap from the debris.

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How I saw it

Paul Tumusiime a shoe dealer in the market

I was coming from Club Rouge when a friend called me, saying the market was again on fire. I immediately rushed to the scene but on reaching, the police had already blocked all the gates leading into the market and no one was allowed to enter.
I saw the police beating traders who had entered earlier to save their property.
The police accused them of theft. Officials from the fire Brigade were also around with their trucks but they were doing nothing, just watching the fire.
The fire brigade team later started putting off the fire after finally receiving orders from their bosses. That is how all this place got burnt.
By Abdu Kiyaga

Monday, August 1, 2011