KAMPALA — President Yoweri Kaguta Museveni has called for greater emphasis on wealth creation and local production, saying Uganda and other African countries cannot achieve sustainable development without expanding their productive economies.
Museveni made the remarks on Thursday while officiating at the inauguration and key handover ceremony of the Kampala Marriott Hotel and Marriott Executive Apartments in Nsambya, Kampala.
The President congratulated Capital Shoppers Ltd Chairman Ponsiano Ngabirano for transforming a small grocery business in Nakasero into a major enterprise now extending into international hospitality.
“Many of the African economies have not grown because of the mistakes of the leaders. They fail to distinguish between development and wealth,” Museveni said.
He said development must go beyond infrastructure such as roads and buildings to include the creation of wealth through productive economic activity.
Museveni identified commercial agriculture, services, ICT and manufacturing as key sectors that should drive wealth creation in Uganda.
He also praised Ngabirano for moving from importing milk to distributing locally produced milk, describing the shift as an example of the transition Uganda needs from imports to domestic production.
“I want to congratulate Mr. Ngabirano, from being an importer to now an internal distributor,” he said.
Museveni cited Nigerian businessman Aliko Dangote, who moved from importing cement to manufacturing it, as another example of how entrepreneurs can progress from trade into production.
“Importers, provided you are clear with our strategy, you will progress well,” he said.
The President also welcomed the National Social Security Fund’s investment in the hotel, arguing that investing workers’ savings in productive domestic enterprises contributes more directly to Uganda’s economy than investing them abroad.
“I am also glad to hear that NSSF has woken up and invested in this hotel, instead of investing that money in foreign bonds which do not add anything to our GDP,” he said.
He commended Marriott International for expanding its presence in Uganda, saying the continent’s growing population presents significant opportunities in tourism and hospitality.
“I am very glad to see that Marriott is beginning to see where the market potential is, because the African population is growing rapidly,” Museveni said.
Marriott expands hospitality capacity
The dual-branded development comprises 181 hotel guestrooms and suites and 96 serviced apartments, alongside six restaurants and bars, wellness facilities and 1,293 square metres of meeting and events space.
The Kampala Grand Ballroom can accommodate up to 985 guests.
The investment has created more than 350 direct jobs, with about 95 percent of employees being Ugandan. More than 120 women are employed across the two properties, while about 90 percent of procurement is sourced locally.
The opening marks the debut of the Marriott Hotels and Marriott Executive Apartments brands in Uganda and brings Marriott International’s presence in the country to seven properties across five brands.
Finance Minister Henry Musasizi described the investment as a vote of confidence in Uganda’s investment and tourism potential.
He said qualifying new investments benefit from a 10-year tax holiday, with corporate income tax becoming applicable when an investor begins making profits.
Musasizi said the hotel would contribute through tourism, employment and increased economic activity, but noted that Uganda needs to strengthen specialised training for hospitality workers.
He commended Capital Shoppers and Marriott for establishing a facility that meets international standards.
“Establishing such an investment in Uganda shows a vote of confidence in Uganda,” Musasizi said.
Marriott Regional Vice President for Sub-Saharan Africa Johan Cronjé said the company’s expansion reflected growing demand for hospitality services in Uganda.
“Uganda’s tourism sector continues to demonstrate strong momentum, supported by growing visitor demand, investment and infrastructure development,” Cronjé said.
He said Marriott also seeks to support communities where it operates through initiatives including education and other community projects.
Ngabirano asks government to address hotel taxes
Ngabirano thanked Museveni for supporting the investment, attributing the growth of his business to Uganda’s peace and stability.
“What started as a small grocery in Nakasero turned into a supermarket and now we are opening a big franchise. It was because of your clean leadership, Your Excellency,” he said.
He said the hotel currently employs about 400 people and could employ more than 1,000 by the end of the year.
Ngabirano, however, raised concerns over what he described as high taxes on hotels, saying they remain a challenge to the competitiveness of Uganda’s hospitality industry.
Speaking on behalf of the Uganda Hotels Association, he appealed to government to review the tax burden on hotels and invest more in hospitality training.
He also called for additional land for hotel developments, particularly along the Kampala-Entebbe corridor.
The opening comes as Uganda seeks to expand tourism as a source of foreign exchange, employment and economic growth. According to the Uganda Tourism Statistical Abstract 2025, tourism generated about Shs5.8 trillion ($1.62 billion) in earnings in 2025, contributed an estimated 5.9 percent to GDP and supported more than 876,000 jobs.
