In an inspiring display of resilience and entrepreneurial spirit, Uganda has witnessed a significant surge in new company registrations, overcoming the economic difficulties that have plagued the nation.
The Uganda Registration Services Bureau (URSB) has recently released a report showcasing a commendable 28 percent increase in new company registrations for the fiscal year ending in June 2023, a clear indicator of the unyielding determination among Ugandans to forge ahead despite challenging times.
Key Highlights from the URSB Report:
- Substantial Growth in Company Registrations: The report reveals an impressive rise in the number of new companies registered, totaling 27,104 for the period in review. This marks a notable increase from the 18,614 registrations recorded during the corresponding period in the 2021/22 financial year.
- Slight Decline in Business Name Registrations: Despite the overall positive trend, there was a minor 2 percent decrease in the registration of new business names, from 27,710 in the previous year to 27,104.
- Increase in Business Liquidations: The period also saw a significant uptick in business liquidations, with figures soaring by 165 percent from 20 to 53, reflecting the challenging business environment.
- Growth in Registered Insolvency Practitioners: There was a 36 percent increase in the number of registered insolvency practitioners, rising to 118 from the previous year’s 87.
URSB’s Strategic Initiatives for Improvement:
In response to these challenges and to foster a more conducive business environment, URSB outlined several strategic initiatives for the 2023/24 financial year. These include enhancing the legal and institutional framework, simplifying registration processes, improving communication and awareness efforts, and bolstering research and advisory services. These measures aim to facilitate easier business registration, promote competitiveness, and support the formalization of the economy.
Furthermore, URSB has committed to data cleaning to enhance the integrity of its registers and reduce service processing times to under 30 minutes. The introduction of a fully automated registration system has already made significant strides, reducing turnaround times to just three to four hours.
A noteworthy development in the 2022/23 financial year was the deployment of the Online Business Registration System. As highlighted by Ms. Mercy Kainobwisho, URSB’s Registrar General, this system has revolutionized the registration process, offering a simplified, integrated regime that supports seamless transactions and processes. This system is fully integrated with both the National Identification and Registration Authority and the Uganda Revenue Authority, ensuring a streamlined and efficient registration experience for new businesses.
The increase in new company registrations in Uganda, amidst economic adversities, is a testament to the entrepreneurial spirit and resilience of its people. Through strategic initiatives and the implementation of technology-driven solutions, URSB is poised to further enhance the business registration landscape in Uganda, ultimately contributing to the nation’s economic development and formalization. This progress reflects a collective effort towards overcoming obstacles and paving the way for a brighter, more prosperous future for all Ugandans.
