PRESIDENT MUSEVENI ASSURES FLOOD-AFFECTED KAMPALA TRADERS OF COMPENSATION

President Yoweri Kaguta Museveni has assured traders affected by the
recent Kampala floods that the government will compensate them for
losses incurred, saying the matter is not subject to debate.

“We are going to go through that report. We have to compensate you
because you made losses. There are no arguments about that,” the
President said.

He made the remarks yesterday while meeting leaders of traders at his
Kisozi Farm. They were led by Mr. John Kabanda, president of the
Federation of Uganda Traders Association (FUTA).

President Museveni's remarks come in the wake of severe flooding that
hit Kampala over a month ago, worsening an already fragile situation
along the Nakivubo Channel. Barely three weeks after the October 31
downpour, another heavy rainfall around November 19–20 caused fresh
flash floods in low-lying parts of the city, including the Container Village
and the Queensway interchange.

Traders claim to have lost property worth billions. Together with the city
officials, they attributed the flooding to ongoing construction works along
the Nakivubo Channel, which narrowed key drainage pathways.

Addressing traders’ broader concerns, President Museveni also clarified
the government tax policy, particularly following recent engagements
with young entrepreneurs who he referred to as Gen Z.

“Some of the Gen Z told me they want to join business but complain
about taxes. I explained to them that our taxes are intentional, not
accidental,” he said.

The President emphasized that taxation largely targets imported and
luxury goods, not local trade.
“If you are selling bananas, there are no taxes—except occasional
market dues. Taxes are mainly on imported products like perfumes and
alcohol,” he explained.

President Museveni urged traders to embrace internal trade and
production, stressing that import substitution remains a key pillar of
Uganda’s economic strategy.

“If you don’t want to pay taxes, don’t import. We need taxes to run the
economy. Go into internal distribution,” the President said, noting that
increased local production would naturally reduce importation over time.
President Museveni also thanked traders for their continued support of
the NRM and pledged to further engage their leaders to address
outstanding issues.

On her part, Ms. Kellen Kiconco, the Presidential Advisor on Tax
Matters, commended Kampala traders for choosing dialogue over
confrontation, describing them as key partners in revenue mobilization
and national stability.

“I appreciate these traders because they are our first tax collectors.
When I first met them, they were planning to demonstrate across the
country, but they chose dialogue instead of violence,” Ms. Kiconco said.
She thanked the traders for preserving the peace which the President
worked hard to secure, noting that they had documented their
challenges and formally submitted them to the State House for
consideration.

Ms. Kiconco further revealed that the traders had adopted a collective
position to support President Museveni in the upcoming elections.
“They organized their issues, presented them formally, and told me that
on January 15, 2025, they will vote for you,” she said.

On the other hand, Mr. Kabanda underscored peace and freedom of
expression as the foundation of their businesses.

Mr. Kabanda also thanked the President for maintaining stability in the
country despite challenges faced by the trading community.

He said traders trust the government’s structures and have already
begun mobilization efforts across the country, including Fort Portal,
Mbarara, Masaka, Jinja and Mbale, with plans to intensify door-to-door
engagement within Kampala.

“We are with you. Even those of us with small businesses are confident
they will grow because of the peace and security you have provided,”
Mr. Kabanda said.

He added that traders were aware of attempts by some groups to divert
their intentions but reaffirmed their resolve to remain focused.

“We will not allow anyone to divert us,” he said.
Traders also thanked the President for the swift government response
following the recent floods, noting that both the Minister for Kampala and
the Prime Minister personally visited the affected areas.

Mr. Aman Kavuma, a trader who was affected by floods, recalled the
President’s directive after the floods that traders’ concerns be addressed
without resorting to lengthy court processes.
“We were affected, many shops were destroyed, and names of flood
victims were registered. We are waiting for your guidance because you
brought peace,” Mr. Kavuma said.

Another flood victim, Ms. Allen Kisakye, testified that the floods
destroyed all her property, underscoring the urgency of government
intervention and compensation.

The event was attended by Hon. Minsa Kabanda, the Minister for
Kampala and Metropolitan Affairs, Mr. John Musinguzi Rujoki the
Commissioner General of Uganda Revenue Authority.