By Mulengera Reporters
Bank of Uganda Deputy Governor Prof. Augustus Nuwagaba has revealed how he once worked cleaning toilets, washing dishes and taking on multiple jobs while studying in the United Kingdom, saying the experience shaped his appreciation for hard work and the importance of creating secure investment opportunities for Ugandans living abroad.
Speaking as the keynote speaker during the Equity Bank Diaspora Xchange online engagement held on Saturday under the theme, “From Remittance to Investment Capital: Diaspora Wealth for Uganda’s Economic Transformation,” Prof. Nuwagaba urged Ugandans in the diaspora to move beyond simply sending money home for consumption and instead channel their earnings into productive investments, particularly in real estate, infrastructure, financial markets and other wealth-generating ventures.
Drawing from his personal experience as a former member of the Ugandan diaspora in Britain, the Deputy Governor narrated how earning money abroad was never easy.
“I know how difficult it is to earn money abroad because I have lived that life,” he said.
“I worked in London, Coventry, Warwick, Birmingham, Nottingham and other parts of England. I washed plates at McDonald’s and cleaned toilets in a hospital in London while studying at the London School of Economics. We worked extremely hard and made good money, but our biggest challenge was how to send that money home safely.”
Prof. Nuwagaba said many Ugandans abroad previously relied on informal channels to remit money, exposing them to fraud and losses.
“I congratulate Equity Bank for creating a formal and secure system through which Ugandans can safely send their money home instead of depending on informal methods. We worked too hard for this money to lose it through unsafe channels,” he said.
He noted that many members of the diaspora spend long hours working and have little time to visit banks or complete complicated money transfer procedures.
“When you’re working abroad, time is money. I remember waking up at 4 a.m., going to work before attending lectures at the London School of Economics. I did not want anyone wasting my time because every hour counted.”
Diaspora now among Uganda’s biggest economic contributors
Prof. Nuwagaba commended Ugandans living abroad for becoming one of the country’s biggest contributors to economic growth through remittances.
He said diaspora remittances have grown to approximately US$2.5 billion annually, placing them alongside coffee exports as one of Uganda’s largest foreign exchange earners.
“You should be proud because your contribution is no longer small. Diaspora remittances are now competing with coffee exports. That is a remarkable achievement.”
According to him, the Bank of Uganda recently improved its statistical methodologies in partnership with international institutions, enabling it to capture an additional US$1 billion in diaspora remittance flows that had previously gone unrecorded.
“Our statistics department has developed sophisticated methods that now accurately capture these remittances. We can even tell where the money comes from, gender distribution and investment patterns. This data is helping us design better investment opportunities for Ugandans abroad.”
He explained that the improved data provides government with a clearer understanding of how diaspora savings can be mobilized for national development.
Remittances stabilizing Uganda’s economy
The Deputy Governor stressed that remittances are now playing a vital role in maintaining Uganda’s macroeconomic stability.
He explained that Uganda has traditionally imported more goods than it exports, creating a persistent trade deficit.
“Without remittances and other financial inflows, our balance of payments would not balance. These inflows help stabilize our foreign exchange reserves and contribute to the stability of the Uganda shilling.”
He added that besides coffee and tourism earnings, diaspora remittances have become one of the country’s strongest pillars supporting foreign exchange inflows.
Shift from remittances to investment
While acknowledging the importance of sending money to families back home, Prof. Nuwagaba challenged Ugandans abroad to think beyond supporting household consumption.
He called on them to invest in sectors capable of generating wealth for both themselves and the country.
“I encourage Ugandans abroad to move from remittances to investments. Housing, real estate, financial technology, agriculture and infrastructure all present enormous opportunities.”
He singled out Uganda’s housing sector as one of the most promising investment areas.
“Housing remains one of the most lucrative investments in Uganda. Urbanization is driving demand, and there is enormous potential for members of the diaspora to participate.”
Prof. Nuwagaba noted that government has strengthened land administration systems, including the Land Information Management System, making property ownership more secure. (For comments on this story, get back to us on 0705579994 [WhatsApp line], 0779411734 & 041 4674611 or email us at mulengeranews@gmail.com).
