Uganda’s efforts to enhance transparency in its extractive industries have shown promise, yet the release of the fourth Extractive Industries Transparency Initiative (EITI) report in November reveals that significant hurdles remain. Despite improvements in revenue collection, data management, and inter-agency coordination, critical gaps persist in areas such as beneficial ownership disclosure, contract transparency, and comprehensive company reporting. While progress has been made since Uganda joined the EITI in 2020, the latest findings underscore that the sector’s transparency journey is far from complete.
At the report launch held at Protea Hotel in Kampala, government officials, industry leaders, and civil society representatives acknowledged that strides have been made but that the road ahead remains long. According to the 2022-2023 fiscal year report, Uganda experienced growth in mineral production value and increased extractive revenues. Yet, a significant Shs 143 billion discrepancy between company submissions and government records points to ongoing underreporting, highlighting that not all actors are fully participating in the transparency process.
Rached Maleej, the Independent Administrator overseeing the report, stressed the issue of incomplete data. Only 10 out of 20 companies required to provide information complied, leaving crucial gaps in understanding the sector. The lack of clarity on beneficial ownership and inconsistent reporting raises concerns about accountability. Maleej urged stronger enforcement to ensure compliance with the 2023 EITI Standard, emphasizing the need for data that is both verifiable and reliable.
Despite these challenges, government officials highlighted notable improvements in transparency, particularly in monitoring revenue flows. Saul Ongaria, Uganda’s EITI National Coordinator, noted that the initiative has fostered a culture of openness, making transparency a non-negotiable aspect of attracting foreign investment. Publishing more detailed reports signals Uganda’s commitment to predictable governance, encouraging confidence among investors in the mining and petroleum sectors.
Nonetheless, obstacles remain deeply entrenched. Moses Kaggwa, Director of Economic Affairs at the Ministry of Finance, acknowledged that Uganda has made progress, reflected in a strong EITI validation score, but emphasized that persistent gaps cannot be ignored. Slow publication of mining and petroleum contracts and resistance to disclosing beneficial ownership remain critical issues undermining public trust, a point underscored by Gloria Mugambe, Head of the Uganda EITI Secretariat.
Grassroots actors are also affected by the push for transparency. Kenneth Asiimwe, CEO of the Uganda Association of Artisanal Miners, highlighted that small-scale miners are unlikely to comply unless transparency brings tangible benefits such as access to markets, financial support, or government assistance. This underscores a wider challenge: transparency initiatives often fail to align with the realities of the informal sector, which constitutes a substantial portion of Uganda’s extractive workforce.
The government has adopted technological tools to strengthen oversight, including a digital fiscal management platform for mining and petroleum and the expanded use of the Electronic Fiscal Receipting and Invoicing Solution (EFRIS). While these innovations may reduce reporting discrepancies, they are insufficient to address deeper issues stemming from informal practices and inconsistent compliance across companies and agencies.
Looking forward, Uganda stands at a pivotal moment in its quest for extractive sector transparency. Real progress has been achieved, yet structural weaknesses continue to impede full accountability. For the sector to reach its potential, the government must enforce stricter compliance, harmonize data systems, and actively engage all stakeholders—including artisanal miners and private companies—in the reporting process. Until these challenges are fully addressed, Uganda’s extractive sector will continue advancing cautiously, but the full scope of its resource wealth will remain partially hidden.
