World Bank2015-04-272015-04-272015-02https://hdl.handle.net/10986/21791This Fifth Edition of the Uganda Economic Update presents evidence that if the urbanization process is well managed, it has the potential to stimulate economic growth and to provide productive jobs for a greater proportion of Uganda s young and rapidly expanding population. In many countries across the world, the growth of cities has stimulated the establishment and expansion of productive businesses by reducing the distance between suppliers and customers. The growth of cities has also facilitated provision of social services and infrastructure through economies of scale. These positive effects from urbanization are already visible in Uganda since the poverty rate is seven percentage points lower in urban areas than in rural areas. Most of the recent job creation is found in cities, and social indicators are also better in urban areas, especially in education and health. This report conveys the following key messages: (1) over the past 12 years, the number of people living in Uganda s urban areas has been increasing by an average of 300,000 people per year, (2) during the past few decades, similarly rapid rates of urbanization have been recorded in many emerging countries, (3) as is the case in many other developing countries, the prospects of good jobs, higher incomes and better living conditions in the cities continue to attract Ugandans from rural areas, (4) currently, the opportunity presents itself for Uganda to leverage urbanization to benefit a large proportion of the population, and (5) through the implementation of smart policies, Uganda can ensure that its cities are both competitive and livable.en-USCC BY 3.0 IGOACCESS TO CREDITACCESS TO SERVICESACCOUNTABILITYACCOUNTINGADVERSE CONSEQUENCESAGRICULTURAL SECTORAGRICULTUREAMORTIZATIONARREARSBALANCE OF PAYMENTSBANK FINANCINGBANK RATEBASE YEARCAPACITY CONSTRAINTSCAPITAL EXPENDITURESCAPITAL GAINSCAPITAL INFLOWSCENTRAL BANKCOMMERCIAL BANKCOMMERCIAL BANKSCOMMODITY PRICESCOMPETITIVENESSCONSUMER GOODSCONSUMER PRICE INDEXCONSUMERSCONSUMPTION LEVELSCREDIBILITYCREDIT SOURCECURRENT ACCOUNTCURRENT ACCOUNT DEFICITCURRENT PRICESDEBT BURDENDEBT RATIOSDEBT RELIEFDEBT SERVICEDEBT SOURCEDEBT-SERVICEDEFICITSDEMOGRAPHIC FACTORSDEVELOPING COUNTRIESDEVELOPMENT ASSISTANCEDEVELOPMENT PROJECTSDISBURSEMENTSDISECONOMIES OF SCALEDOMESTIC ARREARSDOMESTIC BORROWINGDOMESTIC CAPITALDOMESTIC CAPITAL MARKETDOMESTIC CREDITDOMESTIC DEBTDOMESTIC MARKETDURABLEECONOMIC ACTIVITIESECONOMIC ACTIVITYECONOMIC CRISISECONOMIC DEVELOPMENTECONOMIC DEVELOPMENTSECONOMIC EXPANSIONECONOMIC GROWTHECONOMIC OPPORTUNITIESECONOMIC OUTLOOKECONOMIC PERFORMANCEECONOMIC SECTORSECONOMIC VALUEECONOMIES OF SCALEEMERGING ECONOMIESENTREPRENEURSEQUIPMENTEXCHANGE RATEEXPENDITUREEXPENDITURESEXPLOITATIONEXPORT EARNINGSEXPORTSEXTERNAL BORROWINGEXTERNAL DEBTEXTERNAL FINANCINGEXTREME POVERTYFACTORINGFEDERAL RESERVEFINANCIAL DEPTHFINANCIAL RESOURCESFISCAL DEFICITFISCAL FRAMEWORKFISCAL POLICIESFISCAL POLICYFORECASTSFOREIGN CURRENCYFOREIGN CURRENCY LOANSFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN EXCHANGE MARKETSFOREIGN EXCHANGE RESERVESFOREIGN INTERESTGDPGLOBAL ECONOMYGOVERNMENT DEBTGOVERNMENT EXPENDITUREGOVERNMENT FINANCESGOVERNMENT INVESTMENTGOVERNMENT SAVINGSGOVERNMENT SECURITIESGROSS DOMESTIC PRODUCTGROWTH POTENTIALGROWTH RATEHEALTH SERVICESHIGH INTEREST RATESHOUSEHOLD INVESTMENTHOUSEHOLDSHOUSINGHUMAN CAPITALINCOMEINCOME TAXESINFLATIONINFLATION RATEINFLATION RATESINFLATIONARY PRESSURESINFRASTRUCTURE DEVELOPMENTINFRASTRUCTURE INVESTMENTSINSTITUTIONAL REFORMSINTEREST PAYMENTSINTEREST RATESINTERNATIONAL BANKINTERNATIONAL DEVELOPMENTINTERNATIONAL FINANCEINTERNATIONAL MARKETSINTERNATIONAL STANDARDINTERNATIONAL STANDARDSINTERNATIONAL TRADEINVESTINGINVESTMENT FLOWSINVESTMENT PLANSINVESTMENT PROJECTSINVESTMENT SPENDINGISSUANCEISSUANCE OF GOVERNMENT SECURITIESJOB CREATIONLAND MARKETSLAND POLICIESLAND USELIVING STANDARDSLOANLOCAL CURRENCYLOCAL GOVERNMENTLOCAL GOVERNMENTSM2MACRO-STABILITYMACROECONOMIC ENVIRONMENTMACROECONOMIC MANAGEMENTMACROECONOMIC STABILITYMACROECONOMICSMICRO ENTERPRISESMIDDLE INCOME COUNTRYMIGRATIONMONETARY FUNDMONETARY POLICYMORTGAGENDPNON-PERFORMING LOANSOIL PRICESOIL RESOURCESOUTSTANDING CREDITPER CAPITA INCOMEPERSONAL LOANSPORTFOLIOPORTFOLIO FLOWSPORTFOLIO INVESTMENTPORTFOLIO INVESTMENTSPOSITIVE EFFECTSPOTENTIAL INVESTORSPRICE VOLATILITYPRIVATE INVESTMENTPRIVATE SECTOR CREDITPRIVATE SECTOR DEBTPRODUCTIVE CAPITALPRODUCTIVITYPUBLIC DEBTPUBLIC DEBT STOCKPUBLIC INVESTMENTPUBLIC INVESTMENTSPUBLIC POLICYPUBLIC SERVICESPUBLIC SPENDINGPUSH FACTORSRATES OF INFLATIONREAL ESTATEREAL GDPRECEIPTSRECESSIONRECURRENT EXPENDITURERECURRENT EXPENDITURESREFUGEESREGULATORY AUTHORITYREMITTANCESRESERVESRETURNRETURNSREVENUE MOBILIZATIONSECURITIESSHORT MATURITYSOCIAL DEVELOPMENTSOCIAL SERVICESSUBSIDIARYTAXTAX COLLECTIONTAX REGIMETAX REVENUESTAXATIONTOTAL DEBTTOTAL REVENUETRADE BALANCETRADE DEFICITTRANSPORTTRANSPORTATION INFRASTRUCTUREUNEMPLOYMENTUNIONURBAN AREASURBAN DEVELOPMENTURBAN GROWTHURBANIZATIONVALUE ADDEDWAGESWOMANReportWorld Bank10.1596/21791