Browsing by Author "Buyinza, Faisal"

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    Access to Credit and the Effect of Credit Constraints on the Performance of Manufacturing Firms in the East African Region: Micro Analysis
    (Micro analysis, 2013) Buyinza, Faisal; Bbaale, Edward
    The study set out to investigate the factors influencing manufacturing firms’ access to credit and the effect of credit constraints on firm performance in the East African Community (EAC) using the World Bank (2006) enterprise survey for 5 EAC countries. We employed simple probit, simple OLS, tobit, and a two-step probit models. Descriptively, the top five business constraints in order of severity include; electricity outages and costs, access to finance, high and volatile tax rates, corruption, and macroeconomic instability. The majority of firms within the EAC are credit constrained with only 37% of firms in the best performing sector (metal fabrications) having obtained a loan. Quantitatively, high performing firms, exporters, medium and large firms increase the probability of credit access. Findings indicate that having access to credit and a long loan duration increase firm performance, while increase in the annual interest rate reduces firm productivity. Governments in the region should tackle the business constraints rated as very severe. EAC governments should make credit access easier by lowering the annual interest rates and also negotiating for a longer pay back period for individuals in the business sector. Governments in the region should put specific attention on those sectors which are observed to have an extreme disadvantage in accessing finance.
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    Adaptation To Climate Change In Uganda: Evidence From Micro Level Data
    (Global environmental change, 2011) Hisali, Eria; Birungi, Patrick; Buyinza, Faisal
    This study employed data from the 2005/06 Uganda national household survey to identify adaptation strategies and factors governing their choice in Uganda's agricultural production. Factors that mediate or hinder adaptation across different shocks and strategies include age of the household head, access to credit and extension facilities and security of land tenure. There are also differences in choice of adaptation strategies by agro-climatic zone. The appropriate policy level responses should complement the autonomous adaptation strategies by facilitating technology adoption and availing information to farmers not only with regard to climate related forecasts but available weather and pest resistant varieties.
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    Adaptation to Climate Change in Uganda: Evidence from Micro Level Data
    (Global environmental change, 2011) Hisali, Eria; Birungi, Patrick; Buyinza, Faisal
    This study employed data from the 2005/06 Uganda national household survey to identify adaptation strategies and factors governing their choice in Uganda's agricultural production. Factors that mediate or hinder adaptation across different shocks and strategies include age of the household head, access to credit and extension facilities and security of land tenure. There are also differences in choice of adaptation strategies by agro-climatic zone. The appropriate policy level responses should complement the autonomous adaptation strategies by facilitating technology adoption and availing information to farmers not only with regard to climate related forecasts but available weather and pest resistant varieties.
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    An Assessment of Uganda’s Progressive Approach to Refugee Management
    (The World Bank., 2016) Vemuru, Varalakshmi; Araya, Yonatan Yehdego; Kalumiya, Charles Kalu; Buyinza, Faisal; Okumu, Joseph; Klose, Karoline Hilde
    For several decades, Uganda has been generously hosting refugees and asylum seekers from the conflict-affected countries in its neighborhood, especially the Democratic Republic of Congo, Somalia, South Sudan, Rwanda, and Burundi. Since achieving its independence in 1962, the country has been hosting an average of approximately 161,000 refugees per year. As of December 2015, there were over 477,187 refugees and 35,779 asylum-seekers in Uganda in nine host districts located mainly in the northern, southern, and southwestern regions of the country. The refugees come from 13 countries, including the Democratic Republic of Congo, South Sudan, Somalia, Rwanda, Burundi, and Eritrea. Congolese account for 41.7 percent of total refugees in Uganda, followed by the South Sudanese at 39.4 percent.Uganda’s refugee laws are among the most progressive in the world. Refugees and asy lum seekers are entitled to work; have freedom of movement; and can access Ugandan social services, such as health and education. But refugee-impacted areas are at risk due to underlying poverty, vulnerability, and limited resilience to shock further exacerbated by the presence of refugees. The government of Uganda, in collabo ration with the United Nations High Commissioner for Refugees (UNHCR) and partners, has taken steps to strengthen the self-reliance and resilience of refugees and their host communities.
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    Climate shocks, adaptive mechanisms and household energy transition in Uganda
    (Springer International Publishing, 2024-11) Elasu, Joseph; Ntayi, Joseph Mpeera; Adaramola, Muyiwa S.; Buyinza, Faisal; Atukunda, Ronnette; Ngoma, Muhamad
    Abstract Nearly 41% of the global populace depends on unclean fuels for cooking. As a result, about 4 million premature deaths connected to household air pollution are registered annually. Worryingly, over 2.1 billion people are estimated to continue using unclean fuels by 2030 if no strong policy actions are taken to alter the status quo. Climate parameters including; temperature, solar radiation, wind, and moisture have been widely touted as having an impact on multidimensional energy poverty, their effect on household energy consumption and subsequent transition to cleaner fuels is seldom investigated in Uganda. The purpose of this study is to investigate the effect of climate shocks, and adaptation mechanisms on household energy transition in Uganda. The study adopted a panel data methodology employing an ordered logit model with random effects to estimate the effect of climate shocks and adaptation mechanisms on household fuel transition from high to low-pollutant cooking fuels in Uganda. The findings revealed that climate shocks, adaptation mechanisms significantly affect household energy transition in Uganda. The study recommended that policies aimed at enhancing detection and report of early warning signs should be emphasized. Furthermore, investing in an insurance scheme especially for people living in climate shock prone areas can help households to cope up with shocks are eventually transition to clean cooking fuels.
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    Climatic shocks and multidimensional energy poverty in Ugandan households: does women empowerment play a moderating role?
    (International Journal of Sustainable Energy,, 2023-02-23) Ssennono, Vincent Fred; Ntayi, Joseph M.; Buyinza, Faisal; Wasswa, Francis; Aarakit, Sylvia Manjeri
    This study examines the effect of climatic shock and women empowerment on multidimensional energy poverty using panel data from Uganda National Panel Surveys from 2013/14–2019/20, complemented by the World Bank African Rainfall Climatology version 2 (ARC2) database. We find that climatic shocks increase energy poverty. However, there is great potential in energy poverty alleviation when women are more empowered in relation to men, but it is even greater when both genders are empowered in the same household amidst climatic shocks. Combating the impacts of drought, floods, landslides, and irregular rainfall while enhancing women's economic empowerment avenues should be a priority on the policy agenda for multidimensional energy poverty alleviation in Uganda.Highlights Energy poverty is assessed using a multidimensional approach. Four waves of the Uganda National panel survey and weather data were used Climatic shocks increase energy poverty. Women empowerment reduces energy poverty amidst climatic shocks, more so when both genders are empowered in the same household.
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    Conceptualization and antecedents of productive use of electricity: A systematic literature review
    (Cleaner Engineering and Technology, 2024-04-28) Aarakit, Sylvia M.; Ntayi, Joseph M.; Wasswa, Francis; Buyinza, Faisal; Adaramola, Muyiwa S.
    Productive use of energy is recognized as a pathway to economic and sustainable development. Indeed, there has been deliberate effort to promote productive use of energy, particularly, electricity by policy makers and international organizations. However, limited understanding of what constitutes productive use and factors that potentially influence uptake of productive uses at micro level continue to undermine existing efforts to promote productive use of energy in developing countries. Using a systematic literature review approach, a total of 54 out of 997 articles were selected following the criteria for inclusion and exclusion for further analysis. We find that majority of studies define productive use of electricity as application of electricity energy services to activities that generate income or enhance productivity. Regarding conceptualization, we found that productive use of electricity is conceptualized along three dimensions, which are (1) improved performance of existing income generating activities, (2) use of modern electrical productive use appliances and (3) creation of new enterprises and job opportunities after electrification. Furthermore, the review found that majority of studies identify electricity related factors as important drivers of productive use of electricity. However, these should be bundled with other non-electricity related variables including financial, technological, human capabilities, institutional, infrastructural, social, demographic characteristics. The paper has also identified various research gaps that may inform future studies in productive use of electricity.
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    Crop Commercialization and Nutrient intake among Farming Households in Uganda
    (The African Economic Research Consortium, 2021) Kilimani, Nicholas; Buyinza, Faisal; Guloba, Madina
    Agricultural commercialization is seen as a pathway towards rural economic transformation as it is expected to enhance a wide array of household welfare indicators. This study examines the channels through which household nutrient intake is influenced in the process of crop commercialization. This was investigated using LSMS-ISA survey data for Uganda using the control function econometric approach. The results show that commercialization affects nutrient intake via crop income. Another crucial finding was that while rural-based households registered higher nutritional gains from crop commercialization, they were less commercialized on average. The role of markets as a key factor in the agricultural commercialization process was confirmed; households that had access to produce markets are more commercialized and have better nutrient intake. While male-headed households were found to practice more commercialization, their households have less nutrient intake compared to their female headed counterparts.
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    Digital Divides or Dividends? Including Basic Services in Africa’s Digitalization Agenda: Evidence from Uganda
    (INCLUDE, 2022) Mutenyo, John; Buyinza, Faisal; Ssenono, Vincent
    Digital inclusion is about ensuring the benefits of the internet and digital technologies are available to everyone. Digitally excluded people can lack skills, confidence and motivation along with having limited or no access to equipment and connectivity. The major aim of this study was to undertake an in-depth country study to inform policy makers and development practitioners on the extent of digitalizing basic services in Uganda and its impact on inequality. The study further examines the access to basic digital services, usage, affordability, relevance and participation, in order to gain a holistic understanding of the inclusiveness of digital services in Uganda. Focus was placed on services between governments and citizens, as well as inter-governmental services, which help to increase the wellbeing of the poorest and most vulnerable groups, for example, households below the poverty line, rural populations, youth, women, and people with disabilities. This collaborative study was therefore set up: i) To take stock of digital basic service interventions in Uganda before and during the wake of the COVID-19 pandemic; ii) To assess how inclusive these interventions are in terms of reaching and improving the wellbeing of poor and vulnerable citizens; iii) To analyse progress in the enabling environment for inclusive digital transformation (including: physical infrastructure, digital skills, regulation, political economy, and institutional capacity) to see where efforts and investments could be prioritized and iv) to extract lessons and best practices for scaling digital basic services and making them more inclusive in order to reach and support those furthest behind. To achieve the purpose, the study employed a mixed methods approach involving desk review, secondary data analysis, qualitative and quantitative analyses derived from conducting Key Informant Interviews and a survey respectively. Several models were estimated on access to digital services, uses of digital services, frequency of internet use and affordability of internet using the Uganda National Household Surveys. Findings indicate that Uganda is progressing well in terms of policies and putting the necessary requirements in place to address the challenges of digital divide. This is premised on the fact that Uganda has establishment a data protection office, and it recently launched a portal at media centre for data controllers and processors and for individuals to register. More findings showed that some women do not use the internet because it lacks local content. The different digital uses include national online portal, utility payments, submitting income taxes, registering new businesses, applying for driving permits, applying for passports, payment for motor third party insurance, online birth registration, among others. The most commonly used digital service is mobile money, which is mostly used by individuals in the age group (25-64 years) which falls under working age. By region, central uses mobile money more than the rest of the regions. This is followed by the western, then the eastern and lastly the northern region. The study recommends that there is need for improved infrastructure investment in electrify connections especially in the rural areas, and expansion of 4G network to cover a large part of the country. These will in turn reduce the investment costs by the private telecom investors, and hence reduce user charges which is one of the key obstacles to solving the digital divide. Also increased awareness campaigns and sensitization to the public are necessary to spur and improve uptake and use of digital services. There is need for deliberate efforts to enhance the ability of Ugandans to acquire knowledge, skills and confidence to safely use digital products and services. Overall, policies should be holistic to include the practical implementation and regulation of new and existing digital services and ensure that they are not just available, but also relevant and useful for enhancing the wellbeing of all citizens.
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    Effects of technical and security factors on grid electricity reliability: evidence from Uganda national electricity grid network
    (Emerald, 2023-11-03) Migisha, Adella Grace; Ntayi, Joseph Mapeera; Adaramola, Muyiwa S.; Buyinza, Faisal; Senyonga, Livingstone; Abaliwano, Joyce
    Purpose An unreliable supply of grid electricity has a strong negative impact on industrial and commercial profitability as well as on household activities and government services that rely on electricity supply. This unreliable grid electricity could be a result of technical and security factors affecting the grid network. Therefore, this study aims to investigate the effects of technical and security factors on the transmission and distribution of grid electricity in Uganda. Design/methodology/approach This study used the ordinary least squares (OLS) and autoregressive distributed lag (ARDL) models to examine the effects of technical and security factors on grid electricity reliability in Uganda. The study draws upon secondary time series monthly data sourced from the Uganda Electricity Transmission Company Limited (UETCL) government utility, which transmits electricity to both distributors and grid users. Additionally, data from Umeme Limited, the largest power distribution utility in Uganda, were incorporated into the analysis. Findings The findings revealed that technical faults, failed grid equipment, system overload and theft and vandalism affected grid electricity reliability in the transmission and distribution subsystems of the Ugandan power grid network. The effect was computed both in terms of frequency and duration of power outages. For instance, the number of power outages was 116 and 2,307 for transmission and distribution subsystems, respectively. In terms of duration, the power outages reported on average were 1,248 h and 5,826 h, respectively, for transmission and distribution subsystems. Originality/value This paper investigates the effects of technical and security factors on the transmission and distribution grid electricity reliability, specifically focusing on frequency and duration of power outages, in the Ugandan context. It combines both OLS and ARDL models for analysis and adopts the systems reliability theory in the area of grid electricity reliability research.
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    Energy poverty in Uganda: Evidence from a multidimensional approach
    (Energy Economics, 2021) Ssennono, Vincent Fred; Ntayi, Joseph M.; Buyinza, Faisal; Wasswa, Francis; Manjeri Aarakit, Sylvia; Ndatira Mukiza, Chris
    Energy poverty measurement has taken various approaches with the most preferred being Multidimensional in nature. This paper augments the multidimensional energy poverty measurement to estimate a national multidimensional energy poverty index for Uganda. It applies the M-Gamma method on data from the 2018 National Electrification Survey (NES) which captures various aspects of energy poverty. Results show that, 66% of Ugandans are multidimensionally energy poor, 33% are severely energy poor and the average deprivation score is 51%. The multidimensional energy poverty index for Uganda (MEPI-U) is estimated at 0.33. Implying that, the proportion of the population that is multidimensionally energy poor is deprived in five or more indicators at the same time. This paper’s computed MEPI-U suggests that, exclusion of context specific indicators over estimates multidimensional energy poverty. Further, results show that energy poverty does not follow a uniform distribution, the M-Gamma approach reveals high inequality distribution by residence, gender and regional location. Policies that seek to alleviate the energy deficit in Uganda should be multidimensional, comprehensive and should take into account energy poverty differences across subgroups. Affirmative action interventions targeting the rural areas should continue to be prioritized.
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    Export and Economic Growth Dynamics in Uganda
    (ResearchSquare, 2022) Mwebaze, Thomas; Buyinza, Faisal
    This article examines the relationship between economic growth and exports in Uganda using annual time series data and in the ARDL framework. The study provides evidence on the short and long run relationship between economic growth and exports and tests the export-growth-led hypothesis for Uganda. Our results reveal that exports significantly promote both short-run and long run economic growth in Uganda within the study period. Secondly, the results adjustment coefficient is negative and statistically significant, implying that there is a long-run relationship between exports and economic growth. Also, the adjustment coefficient indicates that the speed of adjustment to equilibrium is about 86% in case of any shock to the economy. In addition, our results show that foreign exchange rate, inflation and trade openness have a significant and negative effect on economic growth while private credit and capital formation have a positive and significant effect on long-run economic growth rate in Uganda. On the other hand, gross capital formation, private sector credit and exchange rate growth have a positive and significant effect on economic growth rate in Uganda in the short run. The findings of this study suggest that there is need for increased government commitment to boost production and quality of exports in order to exploit the untapped export potentials of the country. Secondly, government needs to put in place measures to ensure efficient utilization of external resources and a clear road map for trade openness. Finally, government should also put in place sound investment policies like ease of access to affordable credit plus stable macroeconomic conditions in form of low inflation and a stable exchange rate in order to stimulate economic growth that will further boast the country’s overall growth and development potentials.
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    Factors Affecting Access to Formal Credit by Micro and Small Enterprises in Uganda
    (Johannes Kepler University Linz, Institute for Comprehensive Analysis of the Economy (ICAE), Linz, 2018) Buyinza, Faisal; Tibaingana, Anthony; Mutenyo, John
    This article investigates the factors affecting access to formal credit by micro and small enterprises in Uganda using the Gender Enterprise Survey that was funded by the IDRC. The study employed a probit model. The findings show that firm sales, owner's education level, belonging to a business association, belonging to business group, use of internet, owning a personal and business bank account, and gender of the owner are positively associated with access to formal credit. We also find that experienced firms are less likely to apply for credit hence reduce the probability to receive formal bank credit. Our results provide insights on the existing gaps in designing supportive policies for micro and small enterprise to enable them increase their access to credit especially from the formal financial institutions.
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    Household Electrification and Education Outcomes: Panel Evidence from Uganda
    (Johannes Kepler University Linz, Institute for Comprehensive Analysis of the Economy (ICAE), Linz, 2018) Buyinza, Faisal; Kapeller, Jakob
    We investigate the impact of household electrification on educational outcomes in Uganda using household panel data and employ a probit model. The findings indicate that electrification increases school enrolment at all education cycles. Also, education level of household head, marital status, gender and good housing increase education outcomes. Our results provide insights on the existing gaps in designing supportive policies for increased access to electricity for rural households where there are high disproportionately poor education outcomes. The results suggest that policies to eliminate all barriers to access to electricity will greatly enhance educational outcomes in Uganda.
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    Investigating the modern renewable energy-environmental Kuznets curve (REKC) hypothesis for East Africa Community (EAC) countries
    (Emerald, 2023-11-28) Nabaweesi, Jennifer; Kigongo, Twaha Kaawaase; Buyinza, Faisal; Adaramola, Muyiwa S.; Namagembe, Sheila; Nkote, Isaac Nabeta
    Purpose The study aims to explore the validity of the modern renewable energy-environmental Kuznets curve (REKC) while considering the relevance of financial development in the consumption of modern renewable energy in East Africa Community (EAC). Modern renewable energy in this study includes all other forms of renewable energy except traditional use of biomass. The authors controlled for the effects of urbanization, governance, foreign direct investment (FDI) and trade openness. Design/methodology/approach Panel data of the five EAC countries of Burundi, Kenya, Rwanda, Tanzania and Uganda for the period 1996–2019 were used. The analysis relied on the use of the autoregressive distributed lag–pooled mean group (ARDL-PMG) model, and the data were sourced from the World Development Indicators (WDI), World Governance Indicators (WGI) and International Energy Agency (IEA). Findings The REKC hypothesis is supported for modern renewable energy consumption in the EAC region. Financial development positively and significantly affects modern renewable energy consumption, whereas urbanization, FDI and trade openness reduce modern renewable energy consumption. Governance is insignificant. Originality/value The concept of the REKC, although explored in other contexts such as aggregate renewable energy and in other regions, has not been used to explain the consumption of modern renewable energy in the EAC.
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    Labour Mobility and Export Productivity Spillovers: A case for Uganda manufacturing firms
    (MaNerere University, Faculty of Economics and Management., 2009) Buyinza, Faisal
    This paper analyses the potential for productivity spillovers from foreign firms through worker mobility using panel data on manufacturing firms for Uganda. The hypothesis is that that the potential for spillovers from foreign firms can be particularly beneficial to domestic firm through worker mobility because the technological superiority and management experience of foreign firms yield various opportunities for learning, and this is evaluated empirically. Further the role of gender based skills in explaining productivity spillovers within firms is explored. Yet the importance of knowledge spillovers of foreign firms might vary with respect to the domestic firms’ productivity level and firm size and export status. The results show that the potential for spillovers is importantly related to export status of firms and prior experience acquired from foreign firms. Firms that hire experienced workers from foreign firms reap more productivity spillovers in Uganda. Also spillovers differ markedly between small and large firms. In line with the absorptive capacity of firms, it is argued on the basis of an empirical analysis of Ugandan firms that large and more productive firms are more able to reap spillovers from foreign firms than smaller firms.
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    Labour Productivity among Small- and Medium-scale Enterprises in Uganda: the Role of Innovation
    (Journal of Innovation and Entrepreneurship, 2018) Okumu, Ibrahim Mike; Buyinza, Faisal
    Using the 2013 World Bank Enterprise Survey data for Uganda, this paper employs the quintile estimation technique to explain the relationship between labour productivity and innovation among SMEs. Innovation involves the introduction of a new or significantly improved production process, product, marketing technique or organisational structure. Our results indicate that the relationship between labour productivity and a firm engaging in any form of innovation is neutral. However, there is evidence of complementarity among product, process, marketing and organisational innovation. Specifically, there is a positive association between labour productivity and innovation when a firm engages in all the four innovation types. Even then, the complementarity effect turns out weakly positive with incidences of negative relationship when using any combination of innovations that are less than the four types of innovations. Our results suggest that efforts to incentivise innovation should be inclusive enough to induce all the four forms of innovation.
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    Micro-Analysis of Mother’s Education and Child Mortality: Evidence from Uganda
    (Journal of International development, 2012) Bbaale, Edward; Buyinza, Faisal
    We use maximum likelihood models to analyse the impact of mother's education on infant and child mortality in Uganda. The data were obtained from the Uganda Demographic and Health Survey 2006. Our results confirm the hypothesis that mother's education is fundamental in reducing infant and child mortality. This suggests that efforts to reduce child mortality need to target measures that aim to educate women. The government programme to extend free education at the secondary level is therefore a commendable effort that needs to be strengthened. This therefore needs to be embraced by all stakeholders to encourage girls to attain education beyond secondary level. Copyright © 2011 John Wiley & Sons, Ltd.
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    Microeffects of Women’s Education on Contraceptive Use and Fertility: The Case of Uganda
    (Journal of International Development, 2014) Buyinza, Faisal; Hisali, Eria
    This article uses the Uganda Demographic and Health Survey (2006), which links an individual woman's fertility outcomes to her education level. Thus, in this study, an attempt has been made to investigate the relationships between women's education, contraceptive use, and fertility rates in Uganda. The findings indicate that women's education and social–economic factors are important in explaining reproductive behavior. Fertility findings show that higher education levels are consistently associated with lower fertility rates and positively associated with contraceptive use. The major implication of these results is that raising women's education improves their economic opportunities, and the behavioral responses in fertility will lead to the decline in population by reducing the willingness to engage in unprotected sex and subsequent fall in fertility.
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    Perceived satisfaction and household fuel transition: evidence from Ugandan households
    (Frontiers Media S.A, 2024-07) Elasu, Joseph; Ntayi, Joseph Mpeera; Adaramola, Muyiwa S; Buyinza, Faisal; Atukunda, Ronnette; Ngoma, Muhamad
    Introduction The dominance of biomass for cooking has implications for the country. For instance, biomass conversion using traditional technologies (three stone) in poorly ventilated kitchens produce smoke that influences the reproductive health outcomes for expectant mother. Beyond health outcomes, uncontrollable harvesting of biomass for cooking contributes to environmental degradation. Unfortunately, biomass in form of firewood, charcoal, plant and animal wastes is widely consumed by more than 94% of Ugandan households for cooking. This paper examined whether perceived satisfaction plays a significant role in household energy transition in Uganda. Methods The study adopted a panel data methodology employing an ordered logit model with random effects to estimate the effect of perceived satisfaction on household fuel transition from high to low pollutant cooking fuels in Uganda. The data used was obtained from Uganda Bureau of Statistics (UBoS) which is mandated by an Act of parliament to develop and maintain a national statistics system to ensure collection, analysis and publication of integrated, relevant, reliable and timely statistical information. Findings and discussion Our findings demonstrate that perceived satisfaction influences household fuel transition decisions in Uganda. The study concluded by suggesting policy recommendations for government action. CrossRef