The vice president of the Uganda National Chamber of Commerce and Industry, Ronald Kwesiga, has called for government policies aimed at lowering internet costs and protecting local businesses as Uganda’s economy increasingly shifts to digital platforms.
Speaking during an appearance on the NBS Morning Breeze, Kwesiga said affordable internet access is critical for business growth, noting that connectivity has become essential for companies operating in the modern economy.
“Internet is now a necessity. It is no longer a luxury because business operations and many services now depend on it,” he said.
Kwesiga noted that high data costs continue to affect businesses, particularly small and medium enterprises that rely on online platforms for marketing, communication and financial transactions.
He also raised concerns about growing competition from global technology companies operating in Uganda’s digital advertising market.
Kwesiga cited platforms such as Google, which he said are increasingly capturing advertising revenue that previously went to local media organizations.
“In the past, media houses depended heavily on advertising revenue, but now global digital platforms can run adverts in the same market, reducing what local companies earn,” he said.
According to Kwesiga, this trend highlights the need for stronger regulatory frameworks to ensure fair competition between multinational technology firms and local businesses.
His remarks come amid broader discussions about tax compliance and digital economic activity following observations in reports by the Office of the Auditor General regarding the use of self-declaration systems for tax payments by multinational companies.
Kwesiga said that while self-assessment systems may work for large multinational corporations, local businesses should also be supported through targeted policies that help them compete effectively.
He also encouraged entrepreneurs to engage with the chamber’s newly established innovation centre, which aims to help businesses adopt digital tools and improve competitiveness.
The centre, launched last year by the Uganda National Chamber of Commerce and Industry, is intended to support entrepreneurs exploring opportunities in technology and digital commerce.
Kwesiga stressed that government intervention should strike a balance between regulation and support for private sector growth.
“Businesses invest their capital expecting a return, so there must be a balance between government regulation and enabling the private sector to grow,” he said.
He further warned that disruptions to internet access can have serious economic consequences, recalling how internet restrictions during previous election periods disrupted business operations and financial transactions.
“When the internet is switched off, many services stop. Insurance claims, financial transactions and other business activities are affected,” he said.
Kwesiga also urged authorities to adopt deliberate policies to protect local enterprises from being crowded out by foreign companies while ensuring that Ugandan businesses maintain high standards of quality and competitiveness.
“We must protect our markets while at the same time encouraging local businesses to produce competitive goods and services,” he said.
