*By John Kusolo*
Nathan Nandala Mafabi, an influential Ugandan politician, economist, and board member of the Parliamentary Network of the World Bank (WB) and International Monetary Fund (IMF), has traveled to Washington DC to attend the prestigious ten-day annual meeting of the two global financial institutions. Mafabi, who is also the Secretary General of the Forum for Democratic Change (FDC) and Chairman of the Bugisu Cooperative Union, is participating in this year's session with a keen focus on addressing Uganda's economic disparities, particularly poverty and income inequality.
This year’s annual WB/IMF meetings are set against the backdrop of the "turbulent twenties," with global challenges such as poverty, inequality, and climate change taking center stage. Parliamentarians from various countries have been invited to share their national priorities and explore how WB and IMF can assist in delivering domestic progress. Critical discussions will include strategies for poverty alleviation, addressing growing inequality, tackling climate change, and implementing effective gender legislation. The meeting will also delve into Africa’s complex landscape and offer insights on how WB and IMF can support the continent during these challenging times.
Mafabi's Primary Focus
For Mafabi, the issue of poverty and income inequality is of utmost importance. Citing recent data from the African Development Bank (AfDB) and Oxfam, he highlights the disturbing reality of Uganda’s economic inequality. According to AfDB’s 2023 report, Uganda ranks third in Africa for income disparity. Approximately 16.3% of Uganda's population, or 7 million people, live in poverty, subsisting on the edge of economic survival. Oxfam’s findings add further context to the severity of the issue, revealing that the richest 10% of Uganda’s population control 35.7% of the national income, while the poorest 10% receive just 2.5%.
To put these figures into perspective, Mafabi examines Uganda's 2024/2025 national budget of UGX 72 trillion, which is intended to serve a population of roughly 45 million people. Of this population, 10%—or 4.5 million individuals—control UGX 26 trillion, representing 35.7% of the budget. In stark contrast, the bottom 20%, or 9 million people, only have access to UGX 4.3 trillion, which accounts for just 5.8% of the total budget.
These numbers underscore the alarming wealth disparity in Uganda, with vast sums concentrated in the hands of a small elite, while millions of Ugandans struggle with inadequate resources. Mafabi warns that such high levels of income inequality are a recipe for disaster, as they not only diminish the quality of life for the majority but also breed social unrest and insecurity.
Advocating for Policies to Bridge the Gap
Mafabi is determined to use his position at the WB/IMF annual meeting to champion policies that can help bridge the widening gap between the rich and the poor in Uganda and other developing countries. He is optimistic that by engaging with his peers and mobilizing fellow parliamentarians, especially from developing nations, they can influence the WB and IMF to adopt and promote economic policies that support more inclusive growth.
Mafabi emphasizes the need for countries to prioritize equitable policy-making that addresses income disparity. He argues that focusing on poverty reduction and narrowing income inequality will not only enhance social stability but also foster long-term economic development. For Uganda, in particular, tackling these issues head-on is critical, given the growing unrest that could result from the increasing marginalization of large segments of the population.
As a seasoned economist with vast experience in finance and governance, Mafabi is well-positioned to influence global economic discussions. His presence at the WB/IMF meeting is a significant opportunity for Uganda to have its concerns heard on the international stage. Mafabi plans to advocate for development financing and economic reforms that promote job creation, agricultural productivity, and sustainable development.
Additionally, the meeting will allow him to explore solutions to Uganda's economic challenges, such as harnessing international partnerships to address climate change, strengthening gender equality through legislation, and ensuring that the benefits of economic growth are equitably distributed across all sectors of society.
Through his participation, Mafabi also seeks to build alliances with like-minded leaders and policymakers from other developing countries. These collaborations could help shape a new global development framework that benefits the world's most vulnerable populations. With his wealth of experience and his passion for fostering economic justice, Mafabi is poised to make a strong case for Uganda and other nations facing similar challenges.
Nathan Nandala Mafabi’s participation in the WB/IMF annual meetings in Washington DC marks a critical moment for Uganda's economic future. With his focus on reducing income inequality and addressing poverty, Mafabi is advocating for economic policies that will benefit millions of Ugandans and other marginalized communities worldwide. His voice, along with those of his fellow parliamentarians, will be instrumental in pushing the WB and IMF to prioritize inclusive growth and sustainable development for all.
As the meetings continue, Mafabi remains optimistic that the discussions will lead to practical solutions for Uganda’s economic challenges, paving the way for a more equitable and prosperous future.
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