Browsing by Author "Mwesigye, Francis"
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Item The Constraints to Irish Potato Value Chain Financing in Uganda(Economic Policy Research Centre, 2016) Mwesigye, Francis; Mbowa, SwaibuThis brief summarises the findings from the potato Value chain study on what constrains the financing of potato value chain activities in Kigezi sub-region1. Access to affordable finance remains a challenge to potato producers, input dealers, marketers and processors in Uganda. The key constraints to accessing credit from formal financial institutions are long loan application processes and collateral requirements. On the other hand, undercapitalization and high interest rates limit the capacity of informal credit sources to satisfy credit demands of the value chain actors. The value chain study results show that a majority of value chain actors rely on personal savings and small loans from informal credit sources. Most potato traders, and small-scale processors obtain loans from village savings and loan associations (VSLAs). Only 17% of potato producers, and less than 30% of agro-input dealers use formal sources of finance from commercial banks despite the low interest rates charged relative to the informal VSLAs. The consequences of limited financing of value chain actors are low productivity and technology adoptionat farm level which affect the business growth in potato trading and processing. Therefore to unlock and deepen agricultural financing, formal financial institutions can leverage on both capitalization capacity and the relatively low interest rates to design credit packages for agricultural value chain actors with shorter loan application processes. In addition, formal knowledge on the status on financing of marketing and processing value chain activities is scanty. This brief pieces together information on sources of agricultural financing in a value chain framework using potato as a case study.Item COVID-19 Implications on Private Investment and Markets in East Africa(African Economic Research Consortium, 2021) Mwesigye, FrancisCoronavirus disease (COVID-19), which started in China at the end of 2019, has spread across the world at an increasing rate. The disease gained recognition in the rest of the World in March 2020 and no continent has escaped the virus. As of 30th March 2021, there were about 128 million confirmed cases and 2.8 million deaths around the world. Declared a pandemic by the World Health Organization (WHO) on 11th March 2020, COVID-19 has become a global emergency, given its impact on the entire world population and the economy. The pandemic has had deleterious effects on the health systems and health and, as a result, led to loss of lives. To curb the spread of COVID-19, governments have taken various steps such as general confinement and largescale shutdown of economic activities, which curtailed the movement of people and goods. These measures have had serious social and economic implications.Item Healthcare coverage and equity – Towards Universal Health Care in Uganda(Economic Policy Research Centre, 2017) Odokonyero, Tonny; Mwesigye, FrancisUniversal Health Coverage (UHC) is a popular global health policy agenda and particularly in Uganda, the health ambition is now aligned to the UHC target. This brief provides an understanding of UHC progress in Uganda, by examining healthcare coverage and equity based on reproductive, maternal, new-born, and child health (RMCH) intervention areas. Evidence shows that coverage improved marginally over the reviewed period, although the Composite Coverage Index remained low, and regional and socio-economic disparities in coverage remained. Improving healthcare coverage is important since it corresponds to better health outcomes. To scale up healthcare coverage; interventions should aim at maintaining immunization successes and addressing existing gaps in lagging intervention areas as well as addressing inequity in coverage. Accelerating UHC is feasible if the country institutes and effectively implements a coherent set of health sector policy reforms, regarding health financing, for instance, while drawing lessons from observed successful policy efforts. The brief is from the paper “Universal health coverage in Uganda: The critical health infrastructure, healthcare coverage and equity”. It demonstrates Uganda’s progress towards UHC and equity in coverage, based on healthcare intervention areas of Reproductive, Maternal, and Child (RMC) healthcare. Composite Coverage Index (CCI) and Coverage Gap Scores (CGS) were computed using the Demographic & Health Survey data, and country comparison was conducted to draw policy lessons.Item How to overcome the challenges faced by private companies engaged in agricultural research and development(Economic Policy Research Centre, 2019) Barungi, Mildred; Nakazi, Florence; Mwesigye, FrancisIn line with their mandates, public institutions, particularly the National Agricultural Research Organisation (NARO), have developed several improved technologies for crops, animals and fisheries. However, most of the developed technologies are yet to be adopted by the intended end-users. Some private companies are making significant contribution towards closing the gap between research, technology generation, dissemination and uptake by farmers. Nonetheless, private companies face various challenges, which limit their overall contribution. This brief recommends specific actions that could ease private sector engagement in agricultural research and development.Item Indicative Lost Income due to Limited Technology use in Irish Potato Production(Economic Policy Research Centre, 2016) Mbowa, Swaibu; Mwesigye, FrancisLow Irish potato yields negatively affects growth of the agriculture economy, and consequently the incomes of population dependent on potato production in Kigezi sub-region. The low yields are largely driven by non-adoption of productivity enhancing technologies - fertilizer, improved seed, and agro chemicals. Estimates from IITA agronomic survey data indicate that use of high quality seed with fertilizer increases potato yield from 6.4 MT per hectare to 16.5 MT per hectare, which leads to an increase in potato production, at national level, from 867 thousand metric tons to 2,234 thousand MT annually. This would increase by 157% fold the monetary value potatoes produced from Ugx 628 billion (USD 187 million) to Ugx 1,619 billion (USD 484 million) per annum. The estimated loss of potential income by farmers is approximately Ugx 991 billion (U$ 298 million). The loss is due to limited intensification, such as low application of fertilizer and improved seed, at the production level of the value chain. Further analysis of profit margins along the potato value chain suggest that commercialization, and value addition are income enhancing.Item Informality of actors and its implications for Potato Value Chain upgrading in Uganda(Economic Policy Research Centre, 2016) Mwesigye, Francis; Mbowa, SwaibuThis brief summarizes the findings of the potato value chain study on the following factors; level of informality, size of operation and the length of relationships between the processors, traders and other value chain players1. The study reveals that most potato value chain actors operate on a very small scale and are informal- not registered and unlicensed. For instance, 70% of the interviewed agro-input dealers are small scale retailers and about 60% of agro-input dealers are not registered. Also, only 3% of traders are registered and 13% have trade licenses. Whereas 67% of processors have trade licenses, only 13% are registered. These findings suggest that there is a high level of informality in the sector. Business informality is costly to the government and to the public in terms of lost tax revenue and health and safety risk due to non-regulation and non-standardization. In addition, the high level of informality constrain value chain actors from obtaining formal credit and other sources for funding as they are not legal entities. Informality stems from cumbersome procedures and high cost of registering a busness2. On the other hand, some busness owners prefer to operate informally so as to evade taxes. Therefore, to enhance registration, the government should shorted the process and reduce the cost.Item Land Tenure Insecurity, Fragmentation and Crop Choice: Evidence from Uganda(The African Economic Research Consortium, 2021) Mwesigye, Francis; Barungi, MildredThis study uses household, parcel, and plot-level data to analyze the effect of land tenure insecurity and land fragmentation on crop choice. We use formal land titling as a proxy for de jure land rights, and the perceived transfer rights over parcels as a proxy for de facto land rights. Using two-part model, the study shows that both de jure and de facto land rights significantly increase the likelihood of planting perennial commercial crops, and increase the hectares allocated to commercial crops. The results also show that when the rights to land are weak (i.e., no land titling and no transfer rights), farmers tend to grow annual crops.Item Lowering the Cost of Secondary Education through Strategic Public-Private Partnerships: Evidence from the PEAS programme in Uganda(Economic Policy Research Centre, 2019) Barungi, Mildred; Mwesigye, FrancisThe need to pay school fees remains a challenge for many secondary students despite the existence of the Universal Secondary Education (USE) programme in Uganda and its associated capitation grants. Due to the variety of income sources for secondary schools, the average expenditures between public and other schools differ markedly. This brief examines the drivers of secondary school expenditures and whether private schools delivering USE services offer an opportunity to reduce the overall cost of secondary education in Uganda. The brief is based on the analysis of costs of secondary education undertaken as part of the 3 year impact evaluation of the Promoting Equality in African Schools (PEAS) programme in Uganda—implemented under a Public Private Partnerships (PPPs) arrangement. We find that government schools on average have a total expenditure of UGX 548 million per year and this is about 60 percent more than what is spent on average in non-government schools. The large differences in expenditures between public and other schools is primarily attributed to higher teacher salaries in government schools as well as the provision to teachers of several non-salary benefits like meals and rent for accommodation —paid from the school dues. As such, the estimated per student recurrent expenditure is highest for government schools at UGX 1.4 million compared to UGX 1 million and UGX 736,000 for PEAS and private schools respectively. As such, strategic partnerships between Government and Non-Governmental Organisations (NGOs) have the potential to significantly reduce the cost to households of sending their children to school.Item A Review of Health Infrastructure and Workforce Critical for Delivering Universal health Coverage in Uganda(Economic Policy Research Centre, 2017) Mwesigye, Francis; Odokonyero, TonnyUniversal health coverage (UHC) - defined as the availability of quality and affordable health services for all when needed without financial hardships- can be a vehicle for improving equity in healthcare. However, access to basic healthcare is still limited, and the quality remains low in Uganda. This is mainly caused by poor health infrastructure, sub-optimal operation of health facilities, and staff absenteeism, among others. This brief summarizes the findings of a study on infrastructure and human resource gaps that impede Uganda from realizing UHC1. The study results show fundamental challenges with the health infrastructure needed to deliver UHC. Spatial inequality exists in health facility population coverage and private sector health infrastructure investments. Low health workforce density is widespread; and even if the staffing level is raised to 100% as per the set staffing norms for critical cadres, the health workforce density will still fall short of the recommended standards. The low health workforce density implies that the existing health workforce is deficient and unable to expand population-based healthcare services. Accelerating progress towards UHC requires; increased investments in health infrastructure and strengthening Public Private Partnership arrangements to establish health infrastructure in disadvantaged regions; and improvement in health workforce density by reviewing current staffing norms for critical cadres as well as increased deliberate investments in human resources for health.Item The role of Public Private Partnerships in enhancing access to quality Education: The Case of PEAS Intervention in Uganda(Economic Policy Research Centre, 2019) Mwesigye, Francis; Barungi, MildredDespite Uganda’s efforts to enhance access to secondary education through the universal secondary education (USE) programme, access to secondary education remains a challenge—especially for poor students and girls. Also, the quality of education in USE schools remains low. In addition, the secondary school system is characterised by low transition and completion rates. Public Private Partnerships (PPP) offer an opportunity to close the gaps in access to education as well as address quality concerns. This brief summarizes the findings of a study that evaluated the Promotion of Equality in African Schools (PEAS)’s network schools—a PPP arrangement—under the Uganda USE programme. The results indicate that the PEAS intervention enhanced access to education for poor students and those from remote and hard to reach areas. In addition, students in PEAS schools, who hitherto had poor PLE grades, performed as well as those in private and government schools in the assessment exams suggesting that PEAS intervention improved education quality. The main pathways for quality improvement were school inspection, functionality of parents-teachers associations, effectiveness of child protection policies, and teacher motivation through timely pay and in-service training, among others. These findings have key policy implications. First, carefully selected PPPs are key in enhancing education access and quality. Second, school inspections enhance teacher performance and hence education quality. Third, teacher motivation through timely payments and trainings enhance their productivity. Finally, availability of child protection policies at schools as well as actual enforcement are critical for enhancing student concentration and performance.Item Uganda’s Agricultural Sector at Crossroads: Is it a myth or a reality?(Economic Policy Research Centre, 2017) Mwesigye, Francis; Sserunjogi, Brian; Mbowa, SwaibuUganda’s agricultural growth has stagnated at about 2 percent for almost two decades yet the sector employs about 70% of the working population and contributes 40 percent of export earnings. On the other hand, Uganda’s population growth rate remains very high, above 3 percent per annum, signaling the likelihood of food insecurity and increase in poverty incidence. It is thus clear that the current state of agriculture cannot support the country’s target of attaining the lower-middle income status by 2020. A number of policies, programs and interventions have been implemented with no success in transforming the sector. These include: Structural Adjustment Programmes, Economic Recovery Program, Poverty Action Eradication Plan, and Plan for Modernization of Agriculture, among others. Indeed, the sector is at crossroads because while it is clear of what needs to be done to transform the sector, the current institutional set up seems weak and uncoordinated to effectively implement the required transformative interventions. Approaches that enhance institutional coordination, promote agricultural research and strengthen extension service provision would aid in revamping agricultural performance.Item Uganda’s Agricultural Sector at Crossroads: Is it a myth or a reality?(Economic Policy Research Centre, 2017) Mwesigye, Francis; Sserunjogi, Brian; Mbowa, SwaibuUganda’s agricultural growth has stagnated at about 2 percent for almost two decades yet the sector employs about 70% of the working population and contributes 40 percent of export earnings. On the other hand, Uganda’s population growth rate remains very high, above 3 percent per annum, signaling the likelihood of food insecurity and increase in poverty incidence. It is thus clear that the current state of agriculture cannot support the country’s target of attaining the lower-middle income status by 2020. A number of policies, programs and interventions have been implemented with no success in transforming the sector. These include: Structural Adjustment Programmes,Economic Recovery Program, Poverty Action Eradication Plan, and Plan for Modernization of Agriculture, among others. Indeed, the sector is at crossroads because while it is clear of what needs to be done to transform the sector, the current institutional set up seems weak and uncoordinated to effectively implement the required transformative interventions. Approaches that enhance institutional coordination, promote agricultural research and strengthen extension service provision would aid in revamping agricultural performance.Item Universal Health Coverage in Uganda: The Critical Health Infrastructure, Healthcare Coverage and Equity(SPEED Initiative, 2017) Odokonyero, Tonny; Mwesigye, Francis; Adong, Annet; Mbowa, SwaibuUniversal Health Coverage (UHC) has gained popularity within the global health policy and academic circles as countries strive to meet the UHC target established under the Sustainable Development Goal agenda. To accomplish this goal, developing countries such as Rwanda, Ghana and others have pursued bold policy initiatives including the introduction of health insurance schemes. In addition to financing, presence of critical health infrastructure and Human Resources for Health (HRH) are crucial to achieving UHC. Using administrative data from IntraHealth Uganda Country Programme (as well as document review) and the Demographic & Health Survey data, this paper analysed Uganda’s critical health infrastructure (including HRH) needed to attain sustained progress towards UHC. It also reviewed UHC progress and analysed equity by computing Composite Coverage Index (CCI) and Coverage Gap Scores. Results show fundamental challenges with the health infrastructure needed to deliver UHC in Uganda. Spatial inequality exists in health facility population coverage and private sector health infrastructure investments. Low health workforce density imply that the existing health workforce is deficient and unable to expand populationbased healthcare services. Progress towards UHC [considering reproductive, maternal, new-born, and child health (RMCH) interventions] has improved marginally over the reviewed period, although the CCI remained low, and regional and socio-economic disparities in coverage remained. Findings also demonstrate that improved healthcare coverage corresponds to better health outcomes. Accelerating progress towards UHC require; increased investments in health infrastructure and strengthening Public Private Partnership arrangements to establish health infrastructure in disadvantaged regions; and improvement in health workforce density by reviewing current staffing norms for critical cadres as well as increased deliberate investments in HRH using similar initiatives like the HRH programme model of Rwanda. To scale up healthcare coverage for RMCH, interventions should aim to maintain successes obtained for immunization and address existing gaps in lagging intervention areas. These objectives can only be achieved if the country institutes and effectively implements a coherent set of health sector policy reforms, regarding health financing, for instance, while drawing lessons from the successful policy efforts observed in the Rwandan case scenario.