Indian Prime Minister Modi arrives in Uganda
Africa EAC Industry

Indian Prime Minister Modi arrives in Uganda

The Prime Minister of India Narendra Modi has arrived at Entebbe International Airport on a two day state visit where he is expected to extend two credit lines to Uganda.

Modi, is en route to South Africa for the 10th Brazil, Russia, India, China and South Africa (BRICS) Summit. He will hold bilateral discussions and also sign a $141million loan for extension of electricity lines and construction of substations, and $64million for agriculture and diary production.

His visit,  is the first state visit to Uganda by an Indian prime minister in 21 years. Uganda has about 30,000 Ugandans of Indian origin or Indian nationals leaving in Uganda.

Before jetting out, Modi, will hold discussions to cover energy, visa waiver for holders of diplomatic and official passports, cultural cooperation and exchange programmes, film production, defence, ICT and establishment of a regional materials testing laboratory.

He will also address the Ugandan Parliament on Wednesday July 25, and meet members of the Indian Association in Uganda before jetting out later in the day.

Indian Prime Minister Modi arrives in Uganda
Indian Prime Minister Nerandra Modi (R) being received at Entebbe International Airport by Uganda’s Foreign Affairs Minister Sam Kutesa.

According to Bank of Uganda July 2018 data, India’s exports to Uganda, for 2017 were worth $599.04 million, up from $293.87 million in 2007.

India’s exports to Uganda were highest in 2013 – $1,263 million (Shs3.2 trillion) before they started to drop, first to $1,243 million in 2014, $994.93 million in 2015 and $705.37 million in 2016.

As India’s exports to Uganda dropped between 2013 and 2016, China’s exports to Uganda were rising from $542.07 million in 2013, $550.25 million in 2014, $736.11 million in 2015, $743.56 million in 2016 and $816 million in 2017.

Uganda’s exports to India increased from $3.21m (Shs5.5 billion) in 2007 to $43.69 million (Shs159 billion) in 2017.

That is slightly higher than the value of Uganda’s exports to China: $30.23 million in 2017, but up from $13.29 million in 2007.

India remains a major destination for Ugandans seeking medical treatment, where it is estimated that Ugandans spend an average of $10 million a year in medical expenses in Indian hospitals.