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Showing posts from November, 2014

MTN to compensate data customers

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MTN Uganda will compensate data customers who have lost money through the multiple data activations they experienced over the last few months, Brian Gouldie, the chief executive officer of MTN Uganda, said. “We learnt of the problem our data customers have been facing and we have for the last ten days been fully engaged to identify the problem. MTN has grown by 50 per cent year in year out and the volumes of transactions have increased, and that’s why we have to upgrade the system to support our customers’ needs,” he told journalists at MTN towers in Kampala.

The monetary value of the data activations is not known, and neither is the compensation package. Data services are increasingly becoming a strong revenue base for telecom companies as internet penetration continues to deepen in the country, although the money from the voice services is still higher.

Gouldie attributed the system instability to the large customer base the company is handling. MTN, the biggest telecom firm in ter…

Fallacies in Uganda’s tax policy criticised

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The assertion that increasing indirect taxes will help in widening the narrow tax base by establishing taxes on basic food items is a fallacy, Kigo Thinkers [KT] have said.
While addressing journalists recently at Shanghai restaurant in Kampala, Oskar Musoke, a founding member of Kigo Thinkers, said increasing indirect taxes will not widen the tax base. “The common belief is that government has the powers to decide and the citizens are resigned to government telling them what to do,” he said, adding: “It should, therefore, be contested whether government ever makes laws or policies with the citizens as the primary beneficiary.” Musoke cited government’s policy of taxing the citizens to keep the status quo as opposed to taxing them to bring about social transformation. He said such contentions should raise the question of good governance in the country. In the 2014/2015 national budget, government terminated exemptions on agro-inputs. Exemptions on interest income earned …

NSSF becomes East Africa’s biggest fund

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Uganda’s National Social Security Fund [NSSF] is now the biggest fund in East Africa, according to the fund, which could make it one of the most sought-after institutions for finance. According to a statement from NSSF, which was released during the members’ meeting early this week, the fund’s current asset base of  Shs 4.4 trillion ($1.7 billion) as at June 30, 2014, outstripped NSSF Kenya ($1.6bn) and NSSF Tanzania $1.3bn. “NSSF Uganda has become the benchmark for the industry both within and outside the East African region. Our performance over the last four years has laid the foundation for our future,” NSSF Chairman Ivan Kyayonka said at the meeting. Geraldine Ssali, the acting managing director of NSSF, said the asset base widened as a result of the improvement in compliance. She said the fund’s asset has grown by more than 150 per cent over the last five years. She said annual total contribution more than doubled to Shs 638bn in 2014 from Shs 295bn in 2010.  She said companies…