It is a challenge which requires carefully crafted economic policies to guide the saving and investment of these revenues, short term macroeconomic management and public financial management, as well as the discipline to implement good policies in the face of strong incentives to do otherwise.
The undoubted potential that the oil discovery holds for accelerated economic and social development in Uganda will only be realized if the revenues from oil are effectively managed. Last October, Professor Paul Collier delivered the Bank of Uganda’s Josepth Mubiru Memorial Lecture.