LDC - Uganda Case Study

An LDC is defined as a lesser developed economy. They are a grouping of nations that are most impoverished and vulnerable. They follow 3 criteria:

1. low income - under $750 GNI per capita
2. Low human capital - low levels of nutrition, health and education
3. economic vulnerability - instability of agriculture, imports and exports etc.

Uganda:

• Very reliant on exports of coffee and tea so very risky as commodity prices vary greatly so risky for economy.
• Huge debt from spending on weapons due to military regime in 1970.
• High IMR: 85/1000
• 75% of population without electricity
• GDP per capita only $571 (under $750 to qualify as LDC)

How are Uganda trying to develop:

• focusing on developing infrastructure. communications and roads etc.
• service sector jobs are developing in Kampala (capital)
• wildlife parks are starting to bring in money from tourism