Road infrastructure and economic growth in Uganda 2000-2018 Kampala international university:
Loading...
Files
Date
2019-06
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Kampala International University, College of Economics and Management.
Abstract
This report investigated Road Infrastructure and Economic Growth in Uganda 2000 - 2018, the
Study considered all national roads, that is, paved and unpaved roads however, district roads
were excluded due to lack of data for the entire period of the study. The emphasis on national
roads was both due to data availability and the multiplier effects associated with these roads
towards economic growth.
The objectives of the study were to: establish the causality between economic growth and
expenditure on road infrastructure, examine the effect of expenditure on paved and unpaved
roads on economic growth and the impact of coverage of paved and un paved road infrastructure
on economic growth in Uganda.
Simple OLS single-factor regression models were employed in analyzing the effect of road
infrastructure on economic growth. The models regressed investment in road infrastructure,
coverage of both paved and un paved roads with the Gross domestic product (GDP)
The secondary data used was obtained from various sources including the statistical abstracts,
Background to the budget from UNRA, UBOS, MFPED as well as World Bank data base.
The results indicated that in the long-run when government increases investment in roads by one
unit, the rate of economic growth will increase by 0.013222 percent, if government increases in
coverage of paved roads by one unit, the rate of economic growth will grow by 0.003 and if
government increases the coverage of un paved roads by one unit, the rate of economic growth
will be 0.0008.
Basing on the findings of the study government should commit more resources to increase
provision of roads especially paved since they are relatively durable as well as making efforts for
the unpaved roads to reach all parts including the rural areas to further stimulate economic
growth through the multiplier effect. Also, both public and private sectors should increase on the
directly productive capital in order to enhance sustainable economic growth in the country.
Description
a research report submitted to the college of economics and management, department of economics and statistics in partial fulfilment for the award of a bachelor’s of economics and applied statistics of Kampala international university.
Keywords
Road infrastructure, economic growth