2016 Economic Development, Public Administration Mapping

Sweden’s Economic Relationships with Uganda

John Åke Andersson, Per-Åke Andersson, Arne Bigsten, Anton Ståhl

Sweden’s bilateral aid to Uganda over the period 2000-2015 was fairly extensive, amounting to around 335 million Swedish Kronor (SEK) per year (Openaid 2016).

This explorative study aims to map commercial and other economic relations between Sweden and Uganda during the years 2000-2014. The study primarily investigate trade, migration, transfers, and investments. In addition, the authors discuss whether and how these relations may be related to Swedish bilateral aid.

Main findings

  • The magnitude of Swedish aid to Uganda has been stable, but the composition has changed. In recent years there has been a shift towards softer sectors such as public administration, democracy and human rights.
  • Merchandise trade between Sweden and Uganda still has the classic character of developing countries export raw materials and industrial countries export manufactured goods.
  • Swedish portfolio investments are almost negligible because of the less developed financial market in Uganda.
  • The Swedish bilateral development assistance is not of such nature that it directly leads to increased trade between the countries.

Arne Bigsten, John Åke Andersson, Per-Åke Andersson and Anton Ståhl, Department of Economics School of Business, Economics and Law University of Gothenburg