Participants at the opening of the forum. — VNS Photo Mai Hương

By Mai Hương

HÀ NỘI — Uganda is seeking to attract more Vietnamese investment and expand bilateral trade, positioning itself as a strategic gateway for companies looking to enter East Africa and the wider African market.

More than 300 officials, businesses and investors from Việt Nam and Uganda attended the Việt Nam–Uganda Business Forum in Hà Nội on Wednesday, organised by the Uganda High Commission in Kuala Lumpur and Vietnam Chamber of Commerce and Industry (VCCI) as part of Uganda’s economic diplomacy strategy.

Uganda aims to expand markets for its products while attracting foreign direct investment as it pursues a target of growing its economy tenfold to reach a GDP of US$500 billion by 2040.

Uganda sees Việt Nam not only as a trading partner but also as a development model.

Ugandan Ambassador to Việt Nam Betty Bigombe said the country’s transformation from a war-torn nation into a major exporter offered lessons for Uganda as it pursues higher-income status.

“We believe that if we strengthen not just bilateral relations but also economic diplomacy with Việt Nam, we will be able to attain our goal of becoming one of the top middle-income countries,” she said.

Ugandan Ambassador to Việt Nam Betty Bigombe speaks at the forum. — Photo courtesy of the organiser

The two countries have maintained diplomatic relations since 1973, with their partnership built around South-South cooperation, industrialisation and agricultural transformation. Bilateral ties gained fresh momentum following Ugandan President Yoweri Kaguta Museveni’s State visit to Việt Nam in November 2022.

Yet economic ties remain modest despite significant room for growth.

Two-way trade stood at just US$22 million in 2024 before more than quadrupling to about $95.5 million in 2025. Vietnamese investment commitments in Uganda currently total about $40 million, mainly in mining and construction.

The forum highlighted opportunities in agricultural processing, manufacturing, information technology and business process outsourcing, tourism, mining, oil and gas, pharmaceuticals and renewable energy.

Hub for East Afica

Uganda is seeking to capitalise on its position as one of East Africa’s emerging economic centres, backed by a young workforce, a growing consumer market, fertile land, abundant natural resources and its location at the heart of the East African Community (EAC).

The country’s economy has maintained strong growth momentum, with GDP growth accelerating from 6.0 per cent in 2024 to 6.7 per cent in 2025.

Uganda National Chamber of Commerce President Olive Z. Kigongo said the country’s strategic location gives investors access not only to Uganda’s domestic market but also to a wider East African consumer base of around 300 million people.

“Uganda is a hub for East Africa,” Kigongo said, adding that Vietnamese businesses investing in the country could use its infrastructure and market access to reach consumers across the region.

She also highlighted Uganda’s investment incentives, including tax exemptions of up to 10 years on imported equipment used for investment and business activities, as well as the country’s young and relatively low-cost workforce. About 70 per cent of Uganda’s population is under 35, she said.

Natural resources are another attraction. Uganda has deposits of copper and cobalt, while its agricultural base offers opportunities in coffee, cotton, timber and rice production. The country is also seeking to move beyond exporting raw commodities by attracting investment in processing and other value-added activities.

Kigongo said Uganda was particularly interested in Vietnamese expertise in agricultural production and processing, including rice cultivation, as the country seeks to strengthen food security while developing export capacity.

She also called for stronger cooperation in technology transfer, human-resource development and partnerships between businesses and governments, saying Uganda wanted to turn its strong bilateral political relationship with Việt Nam into a mutually beneficial economic partnership.

Vietnamese and Ugandan businesses connect at the Việt Nam–Uganda Business Forum in Hà Nội on August 12. — VNS Photo

VCCI Vice Chairman Nguyễn Quang Vinh said the economic strengths of the two countries were complementary. Việt Nam has developed strong capabilities in agricultural and industrial processing, information technology, trade and export, while Uganda has abundant natural resources and potential in agriculture, energy, minerals and tourism.

For Vietnamese companies, he said, Uganda could serve not only as a market of more than 50 million consumers but also as a gateway to East Africa and the wider continent. Conversely, Việt Nam could become a hub for Ugandan businesses seeking to expand into ASEAN and the Asia-Pacific.

However, despite the potential, geographical distance, limited market information, logistics costs and differences in business culture remain barriers to stronger economic ties, he said.

Deputy Foreign Minister Lê Anh Tuấn called for the two countries to leverage their strong political relationship to build more substantive economic cooperation.

He urged greater exchanges among ministries, business associations and companies, as well as closer cooperation in sharing market information and investment policies.

Tuấn said cooperation could also be expanded into oil and gas engineering, infrastructure development, resource extraction and digital transformation.

A key focus of the event was business matchmaking, including business-to-business and government-to-business meetings, alongside sector presentations and investment and export exhibitions. — VNS