Uganda Economic Update, June 2014 : Reducing Old Age and Economic Vulnerabilities

This is the fourth edition of the Uganda Economic Update series. As with previous editions, this update first provides information related to the current state of the economy before focusing on a particular subject of importance. The special focus of this issue concerns how pensions can reduce vulnerabilities at both individual and macroeconomic levels. The Ugandan economy has continued the process of recovery, growing by 5.9 percent during the first half of FY2013 and FY2014 amidst droughts, disruptions related to civil unrest in South Sudan, and aid cuts. Eight consecutive quarters of positive growth since the slump in FY2011 and FY2012 confirm that the economy has returned on the strong growth path and may reach a rate of growth of 6.0 percent per annum in FY2013 and FY2014. The positive outlook is subject to risks, key among which will be those emanating from its fiscal management regime due to continuous low revenue collection and reduction of aid to Uganda; increased spending pressures in the advent of the 2016 elections, and accelerating public investments amidst gaps in public investment efficiency. In addition, given its recently increased dependency on the South Sudan market for its exports, the protracted crisis in South Sudan could have severe consequences to the Ugandan economy. In that context, a coherent policy of social protection, including for the elderly, can promote social transformation and accelerate economic development. An effective social protection system is needed to protect vulnerable groups from negative shocks such as loss of employment, death of bread winner, or bad weather. Achieving the vision of a transformed Uganda means addressing vulnerabilities at both individual and at country levels. Uganda is already taking steps to start building an effective pension system, but challenges remain in ensuring transparent and proper governance of the pension funds; achieving efficiency objectives, building up the institutional capacity, and managing the fiscal pressures due to expenses to existing pensions and the new public pension scheme at the same time. Well designed and managed pension systems can contribute significantly to the country's ongoing transformation.

Bibliographic Details

Main Author:	World Bank
Language:	English en_US
Published:	Washington, DC 2014-06
Subjects:	ACCOUNTING, ADVERSE EFFECTS, ALTERNATIVE INVESTMENTS, ARREARS, AUDITS, BALANCE OF PAYMENTS, BANK RATE, BORROWER, BORROWING REQUIREMENTS, BUSINESS ENVIRONMENT, CAPITAL ACCOUNT, CAPITAL EXPENDITURES, CAPITAL GAINS, CAPITAL MARKETS, CENTRAL BANK, CENTRAL BANKS, CIVIL SERVICE, COMMERCIAL BANK, COMMERCIAL BANK CREDIT, COMMERCIAL BANKS, COMMERCIAL BORROWING, COMMERCIAL LENDING, COMMODITIES, COMMODITY, COMMODITY PRICES, CONSUMER PRICE INDEX, CORPORATE TAXES, CREDIT GROWTH, CREDIT RATINGS, CURRENT ACCOUNT BALANCE, CURRENT ACCOUNT DEFICIT, CURRENT ACCOUNT DEFICITS, DEBT, DEBT LEVEL, DEBT LEVELS, DEBT MANAGEMENT, DEBT SOURCE, DEBT STOCK, DEMOGRAPHIC, DEMOGRAPHIC CHANGES, DEPOSIT, DEPOSIT RATES, DEPOSITS, DEVELOPING COUNTRIES, DISBURSEMENTS, DIVIDEND, DIVIDENDS, DOMESTIC BORROWING, DOMESTIC CAPITAL, DOMESTIC CAPITAL MARKET, DOMESTIC DEBT, DOMESTIC ECONOMY, DOMESTIC INTEREST RATES, DOMESTIC MARKET, DOMESTIC SECURITY, ECONOMIC CRISIS, ECONOMIC DEVELOPMENT, ECONOMIC DEVELOPMENTS, ECONOMIC PERFORMANCE, ECONOMIC REFORMS, EMPLOYMENT, EQUIPMENT, EXCHANGE RATE, EXPENDITURE, EXPENDITURES, EXPORT MARKET, EXPOSURE, EXTERNAL BORROWING, EXTERNAL FINANCING, FINANCIAL CRISIS, FINANCIAL DEEPENING, FINANCIAL FLOWS, FINANCIAL MARKETS, FINANCIAL SAVINGS, FISCAL BURDEN, FISCAL DEFICIT, FISCAL DEFICITS, FISCAL POLICY, FIXED INVESTMENT, FOOD PRICE, FOOD PRICES, FOREIGN ASSETS, FOREIGN CURRENCY, FOREIGN DIRECT INVESTMENT, FOREIGN EXCHANGE, FOREIGN EXCHANGE RESERVES, FOREIGN EXCHANGE TRANSACTIONS, FOREIGN INTEREST, FOREIGN MARKETS, FRAUD, GLOBAL MARKETS, GOVERNMENT BORROWING, GOVERNMENT DEBT, GOVERNMENT SAVINGS, GOVERNMENT SPENDING, GROWTH RATE, GROWTH RATES, INCOME, INCOMES, INFLATION, INFLATION RATE, INFLATION RATES, INFLATION TARGETING, INFLATIONARY PRESSURES, INFRASTRUCTURE INVESTMENTS, INFRASTRUCTURE PROJECTS, INSURANCE, INSURANCE COMPANIES, INTEREST PAYMENTS, INTEREST RATES, INTERNAL CONTROLS, INTERNATIONAL BANK, INTERNATIONAL BEST PRACTICES, INTERNATIONAL DEVELOPMENT, INTERNATIONAL RESERVES, INVESTING, INVESTMENT ALLOCATIONS, INVESTMENT CAPABILITIES, INVESTMENT GUIDELINES, INVESTMENT MANAGEMENT, INVESTMENT PROJECTS, INVESTMENT SPENDING, ISSUANCE, ISSUANCE OF GOVERNMENT SECURITIES, LEVEL OF COMMITMENT, LIBERALIZATION, LIQUIDITY, LOCAL CURRENCY, LOCAL ECONOMY, LOCAL SECURITY, LONG-TERM FINANCE, MACRO-STABILITY, MACROECONOMIC ENVIRONMENT, MACROECONOMIC LEVELS, MARKET INTEREST, MARKET INTEREST RATES, MARKET PRICES, MDAS, MISMANAGEMENT, MONETARY FUND, MONETARY POLICIES, MONETARY POLICY, MONEY MARKET, NATURAL DISASTERS, NATURAL RESOURCES, NOW ACCOUNTS, OIL RESERVES, OIL RESOURCES, OPEN MARKET, OPEN MARKET OPERATIONS, OUTPUT, OUTSTANDING CREDIT, PAYMENT SYSTEM, PENSION, PENSION ASSETS, PENSION FUNDS, PENSION LIABILITIES, PENSION REFORM, PENSION REFORMS, PENSION SYSTEM, PENSION SYSTEMS, PENSIONS, POLICY RESPONSE, POLITICAL ECONOMY, PORTFOLIO, PORTFOLIO INVESTMENT, PORTFOLIO INVESTMENTS, PRICE VOLATILITY, PRIVATE INVESTMENT, PRIVATE INVESTMENTS, PRIVATE PENSION, PRIVATE PENSIONS, PRIVATE SECTOR CREDIT, PRODUCTIVE INVESTMENTS, PRODUCTIVITY, PUBLIC DEBT, PUBLIC DEBT STOCK, PUBLIC INVESTMENT, PUBLIC INVESTMENTS, PUBLIC PENSION, PUBLIC PENSIONS, PUBLIC POLICIES, PUBLIC SECTOR BORROWING, PUBLIC SPENDING, RATE OF GROWTH, RATING AGENCIES, RECURRENT EXPENDITURE, REGULATOR, REGULATORY AUTHORITY, REGULATORY FRAMEWORK, REMITTANCES, REPLACEMENT RATE, RETIREMENT, RETURN, REVENUE MOBILIZATION, SAFETY NET, SCANDAL, SCANDALS, SOCIAL DEVELOPMENT, SOCIAL PROTECTION, SOCIAL SAFETY NET, SOVEREIGN DEBT, STABLE LOCAL CURRENCY, SUBSIDIARY, SUPPLY SHOCKS, TAX, TAX CODES, TAX COMPLIANCE, TAX EXEMPTIONS, TECHNICAL ASSISTANCE, TELECOMMUNICATIONS, TIMELY PAYMENT, TRADE BALANCE, TRADING, TRANSPARENCY, TRANSPORT, TREASURY, VALUE ADDED TAXES, WATER SUPPLY, WITHDRAWAL, WORLD ECONOMIES,
Online Access:	http://documents.worldbank.org/curated/en/2014/06/19705558/reducing-old-age-economic-vulnerabilities-uganda-improve-pension-system https://hdl.handle.net/10986/18731
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