“Uganda’s Bold Move: New BPO Policy Aims to Create Jobs and Dominate the Global Market”

The Ugandan government has taken a major step towards creating jobs and boosting the economy with the launch of a new Business Process Outsourcing (BPO) policy. Revealed by the Ministry of ICT and National Guidance, the policy will position Uganda as a key player in the global BPO industry, which is set to hit an incredible $525.3 billion in 2030. For Uganda, this is a major opportunity to create employment, improve livelihoods, and drive economic growth. BPO involves companies out-sourcing customer service, data entry, accounting, and computer services to professionals. Instead of having full-time employees, companies can out-source these services to Ugandan BPO firms for cost efficiency and higher productivity. Through this policy, Uganda aims to become a significant BPO hub, competing with other countries in the world.

At the launch ceremony in Kampala, Prof. William Bazeyo, Chairperson of the BPO Council, was hopeful that the policy would transform public service delivery and create jobs, especially for Uganda’s youth and educated population. “The policy we are launching today will make a big difference. Outsourcing is very critical for public institutions. Why should ministries continue buying printers, paper, and toner when these services can be outsourced at a low cost and efficiently?” he clarified.

Prof. Bazeyo referred to Uganda’s particular strengths, such as a youthful and well-educated population with good English language skills. “Uganda produces more students in one year than Kenya and Tanzania combined. Our English is as good as the world, and that will work to our advantage in the BPO sector,” he stated. The Ugandan time zone advantage for cooperation with markets both in the Americas and Asia contributes additionally to its appeal as a BPO location.

The government intervention, such as favorable tax policies and supportive infrastructure, also adds to Uganda’s advantage. Prof. Bazeyo added that with the cost of internet going down, more Ugandans can engage in remote work, such as healthcare jobs like nursing for clients overseas. He called on Permanent Secretaries to adopt the policy, citing that outsourcing would reduce operational expenses for ministries while enhancing service delivery.

Dr. Rebecca Isabella Kiconco, Vice Chairperson, BPO Council, pinpointed aggressive marketing and strategic partnerships as ways of unlocking the potential of the sector. “We have to be heard. Uganda can compete in the world, but no one is aware of this. We must market aggressively and shout from rooftops so that we are heard,” she emphasized.

Currently, Uganda’s local BPO market is valued at $3 million, a small share of the $100 million total BPO sector value in the country. “Internationally, our presence is minimal. To attract investors, incentives are necessary,” Dr. Kiconco added. She revealed that the Ministry of Finance is developing a framework to provide incentives for BPO operations and called for tax reforms to attract international investors.

The African Union forecasts that 60% of the market will be digital by the year 2030, and Dr. Kiconco is sure that this potential can benefit Uganda through partnership. “It will not do itself to realize over 150,000 jobs in BPO by 2030. There must be an intervention by government in collaboration with the private sector, which should work with the academia. Financing and facilitation are also served by development partners,” she emphasized.

The new BPO policy is focused on some key areas to drive growth. It aims to enhance the regulatory environment, establish a proper framework for procuring external services, and reduce the operational costs of BPO companies. The policy also focuses on developing skilled manpower for the BPO industry and providing required infrastructure support to facilitate the industry.

The Ministry of ICT and National Guidance believes that the policy will lead to enhanced efficiency in the delivery of services, better performance of the BPO industry through innovation, and increased foreign direct investment. It also hopes to raise Uganda’s profile on the international BPO industry, with new prospects for local players and more industry-bespoke certifications for BPO companies.

Economic benefits outlined in the policy include higher contribution of the BPO sector to Uganda’s Gross Domestic Product (GDP), growth in tax revenues, and improved job security. The government expects a high rise in employment creation as the sector expands, driven by increasing infrastructure investments and market growth.

For the policy’s success, the Ministry of ICT and National Guidance will monitor progress using key performance indicators that are comprised of productivity growth in the BPO sector, skills development programs initiated, foreign investment volumes, and industry certifications acquired.

The launch of this policy is a significant milestone for Uganda as it seeks to make its country more competitive in the global BPO industry. With its educated and youthful workforce and favorable conditions, Uganda is poised to become a major player in the BPO industry. This policy is not just about creating employment; it’s about transforming lives, driving economic growth, and putting Uganda on the global map as a destination for BPO.

With the right partnerships, investments, and commitment, Uganda’s BPO sector can be a game-changer, creating tens of thousands of jobs and opening new windows of opportunity for its people. The future is bright, and the journey has just started.

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