China is consolidating its investment in Africa, and Uganda is the latest beneficiary of Chinese funding, following reports that Uganda is setting up its first car assembling plant, expected to create 10, 000 jobs.
The assembly plant, which will be situated about 56km from the capital Kampala, within the Uganda Liao Shen Industrial Park, “is a venture co-invested in and managed by Zhong Da Group and Zhang’s Group,” New Vision reports.
Uganda’s President Yoweri Museveni, who commissioned the industrial park reportedly said $600m has been invested in this venture, which will create 10,000 jobs. According to the New Vision, 49 other industries are expected to be set up in the first rural industrial park in the country at Kapeeka, Nakaseke district.
Infrastructure construction is expected to be complete by the end of the year, to pave the way for the first 10 enterprises, which “will include an automobile assembling, electronics, tools and machinery, agro-processing, beef processing and packaging and animal feeds processing plants,” New Vision reports. The “50 diversified industries” are expected to be in operation by 2020.
At the recently concluded Forum on China-Africa Cooperation (FOCAC), China indicated its intentions to expand investments in Africa. President Xi Jinping announced a $60-billion-dollar package, which will benefit Africa in 10 major sectors to include: industry and infrastructure development, trade and investment facilitation, poverty reduction and public welfare, public health, people-to-people exchanges, peace and security.
Several deals between China and various African countries were signed on the sidelines of the forum.
Source: New Vision