Uganda’s mining sector sees stunning growth, but transparency concerns linger

Kampala, Uganda – Uganda’s mining sector has witnessed a remarkable surge in revenue, with the value of mineral production skyrocketing from 19.92 billion Ugandan shillings to 202 billion Ugandan shillings in just one year.

The stunning growth, highlighted in the country’s third Extractive Industries Transparency Initiative (EITI) report, has been driven by a significant increase in the production of key minerals such as limestone, iron ore, and gold.

However, despite the impressive revenue growth, concerns over transparency and accountability in the industry continue to linger. The EITI report notes that the government has yet to fully disclose contracts signed with mining, oil, and gas companies, a critical step in ensuring transparency and curbing corruption.

“The lack of transparency in the contracts is a major concern,” said Gloria Mugambe, head of Uganda’s EITI Secretariat. “We need to ensure that the contracts are made public so that Ugandans can see how their natural resources are being managed.”

Mugambe explained that while much of the data comes from government agencies like the Uganda Revenue Authority (URA), verifying these figures with companies has proven difficult due to incomplete or delayed submissions.

Mark Robinson, Executive Director of the EITI Board, emphasized the importance of contract disclosure, stating that it is a critical step in ensuring transparency and curbing corruption in the sector.

“Contract transparency is essential for ensuring that the extractive industries contribute to sustainable development,” Robinson said.

Civil society organizations have long been advocating for greater transparency in Uganda’s extractive industries, arguing that it is essential for ensuring that the country’s natural resources are managed in a way that benefits all Ugandans.

“Transparency is key to ensuring that the mining sector contributes to Uganda’s economic development in a sustainable and equitable way,” said Siragi Magara from Oxfam-Uganda.

The government faces increasing pressure to address the transparency concerns and ensure that the industry is managed in a way that benefits all Ugandans.