From emergency services to security guards and food deliveries – Uganda’s famous boda boda motorcycle network has become critical in keeping the nation moving.
Tens of thousands of the motorcycles dominate the roads of Uganda, both in the cities and rural areas, and while the bikes are more fuel-efficient than cars, they emit more smog-forming hydrocarbons and air pollutants such as carbon monoxide.
As the nation stands on the edge of a transformative era of oil production, with a 1,400km pipeline and drilling complex on the banks of Lake Albert to begin pumping from 2025, young entrepreneurs are exploring new ways to reduce Uganda’s carbon footprint.
Environmental concerns have been at the heart of protests from widespread opposition to the East African Crude Oil Pipeline (EACOP), with the potential to pump 240,000 barrels of oil daily.
Geofrey Mutabazi, 28, founder of Karaa Africa, is hoping a new era of economic prosperity brought by the pipeline will boost business for his electric bike company.
"We are building electric bicycles for last-mile transportation and designing electric bicycle conversion kits,” said Mr Mutabazi, who employs a small team of workers at the MoTIV business hub in Kampala.
“We are working with bicycle manufacturers and importers in Africa who are losing market share to motorcycles.
“We empower them to make their bicycles electric to claw back some of that market share and also reduce some of the emissions from motorcycles.”
Carbon emissions
On average, motorcycles emit 120 grams of carbon dioxide into the atmosphere for every kilometre travelled, compared to only 6g per km for an electric bike, according to the Australian Institute for Sensible Transport.
Switching last-mile delivery from Uganda’s fleet of boda boda motorbikes to electric bicycles has huge potential to reduce air pollutants, said Mr Mutabazi.
The fast-moving boda boda bikes have become the lifeblood of the nation, transporting goods, services and people around the country, quickly and efficiently.
Funding for the motorcycles often comes via private businesses, accelerating access to loans that are paid off by riders as the bikes are put to work.
A similar business model by Karaa Africa aims to get more of the $1,000 electric bikes or $500 conversion kits on to the roads.
There are cost benefits, too, with the average boda boda bike costing about $4 in fuel to travel 100km, compared to only 20 cents for an electric bike.
“If we look at the usage patterns of a rider, we look at how much range is covered in a day,” said Mr Mutabazi.
“If they do deliveries over maybe 50km or 100km a day, we design for them a battery that can give that range and a corresponding financing plan for that particular battery.
“That way they don't have to charge during the day, or lose time having to plug in and wait for the charge. It is also something they can charge at home.”
With more homes gaining access to reliable, affordable electricity resulting from the new oil production, it is hoped more people will look to switch to electric bikes.
Young population
With an average age of 17, Uganda has the world’s youngest population with 77 per cent of people under the age of 25.
The oil pipeline is opening up new opportunities, not only for entrepreneurs such as Mr Mutabazi and his Karaa Africa, but also in rural areas where most of the population live.
At the Buliisa Hub Training Centre, near the Tilenga oil production site, 200 people from the area are learning how to make personal protective equipment for oil workers.
Of those learning new skills, 95 per cent are women and 40 per cent under 25.
Onziru Volvet Ombah is an administrator at the centre, where she is employed for the first time.
“This has been the first opportunity I have had to work for myself and earn my own money,” said Ms Ombah, who has a four-year-old daughter.
“Before there was nothing for me except to farm and sell the crops, like many others.
“Now I work every day from 8am until 5.30pm, so it is regular work we did not have before.”
Uganda’s shifting fortunes borne from the controversial oil discoveries and pipeline are creating new opportunities for young people in the country to explore potential careers in industry.
Workshops and certified training programmes have been established to encourage more young Ugandans to stay in the country to work, rather than move overseas.
Before the oil was found, Rahma Nantongo, 24, an oil and gas engineering graduate of Makerere University, Kampala, said she would have looked to move to Canada or the UK for a career – but not now.
“With the way the project is progressing, it's giving us good hope for a brighter future to work here in Uganda,” she said.
“We are seeing capacity building programmes and looking at training for technical people.
“There are particular industries that have been ringfenced for participation of Ugandans specifically.
“That's a big thing considering that you're going to have direct and indirect benefit from oil.”
SPECS
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Virtual banks explained
What is a virtual bank?
The Hong Kong Monetary Authority defines it as a bank that delivers services through the internet or other electronic channels instead of physical branches. That means not only facilitating payments but accepting deposits and making loans, just like traditional ones. Other terms used interchangeably include digital or digital-only banks or neobanks. By contrast, so-called digital wallets or e-wallets such as Apple Pay, PayPal or Google Pay usually serve as intermediaries between a consumer’s traditional account or credit card and a merchant, usually via a smartphone or computer.
What’s the draw in Asia?
Hundreds of millions of people under-served by traditional institutions, for one thing. In China, India and elsewhere, digital wallets such as Alipay, WeChat Pay and Paytm have already become ubiquitous, offering millions of people an easy way to store and spend their money via mobile phone. Indonesia, Vietnam and the Philippines are also among the world’s biggest under-banked countries; together they have almost half a billion people.
Is Hong Kong short of banks?
No, but the city is among the most cash-reliant major economies, leaving room for newcomers to disrupt the entrenched industry. Ant Financial, an Alibaba Group Holding affiliate that runs Alipay and MYBank, and Tencent Holdings, the company behind WeBank and WeChat Pay, are among the owners of the eight ventures licensed to create virtual banks in Hong Kong, with operations expected to start as early as the end of the year.
Calls
Directed by: Fede Alvarez
Starring: Pedro Pascal, Karen Gillian, Aaron Taylor-Johnson
4/5
The%20Woman%20King%20
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Name: Brendalle Belaza
From: Crossing Rubber, Philippines
Arrived in the UAE: 2007
Favourite place in Abu Dhabi: NYUAD campus
Favourite photography style: Street photography
Favourite book: Harry Potter
THE SPECS
2020 Toyota Corolla Hybrid LE
Engine: 1.8 litre combined with 16-volt electric motors
Transmission: Automatic with manual shifting mode
Power: 121hp
Torque: 142Nm
Price: Dh95,900
COMPANY%20PROFILE
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SPECS
%3Cp%3E%3Cstrong%3EEngine%3A%3C%2Fstrong%3E%202-litre%204-cylinder%20turbo%20and%203.6-litre%20V6%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3ESeven-speed%20automatic%0D%3Cbr%3E%3Cstrong%3EPower%3A%3C%2Fstrong%3E%20235hp%20and%20310hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E258Nm%20and%20271Nm%0D%3Cbr%3E%3Cstrong%3EPrice%3A%3C%2Fstrong%3E%20From%20Dh185%2C100%0D%3Cbr%3E%3C%2Fp%3E%0A
Most sought after workplace benefits in the UAE
- Flexible work arrangements
- Pension support
- Mental well-being assistance
- Insurance coverage for optical, dental, alternative medicine, cancer screening
- Financial well-being incentives
Infiniti QX80 specs
Engine: twin-turbocharged 3.5-liter V6
Power: 450hp
Torque: 700Nm
Price: From Dh450,000, Autograph model from Dh510,000
Available: Now
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
US Industrial Market figures, Q1 2017
Vacancy Rate 5.4%
Markets With Positive Absorption 85.7 per cent
New Supply 55 million sq ft
New Supply to Inventory 0.4 per cent
Under Construction 198.2 million sq ft
(Source: Colliers)
RACECARD
4.30pm Jebel Jais – Maiden (PA) Dh60,000 (Turf) 1,000m
5pm: Jabel Faya – Maiden (PA) Dh60,000 (T) 1,000m
5.30pm: Al Wathba Stallions Cup – Handicap (PA) Dh70,000 (T) 2,200m
6pm: The President’s Cup Prep – Conditions (PA) Dh100,000 (T) 2,200m
6.30pm: Abu Dhabi Equestrian Club – Prestige (PA) Dh125,000 (T) 1,600m
7pm: Al Ruwais – Group 3 (PA) Dh300,000 (T) 1,200m
7.30pm: Jebel Hafeet – Maiden (TB) Dh80,000 (T) 1,400m
Fifa%20World%20Cup%20Qatar%202022%20
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Draw:
Group A: Egypt, DR Congo, Uganda, Zimbabwe
Group B: Nigeria, Guinea, Madagascar, Burundi
Group C: Senegal, Algeria, Kenya, Tanzania
Group D: Morocco, Ivory Coast, South Africa, Namibia
Group E: Tunisia, Mali, Mauritania, Angola
Group F: Cameroon, Ghana, Benin, Guinea-Bissau
Company profile
Name: Steppi
Founders: Joe Franklin and Milos Savic
Launched: February 2020
Size: 10,000 users by the end of July and a goal of 200,000 users by the end of the year
Employees: Five
Based: Jumeirah Lakes Towers, Dubai
Financing stage: Two seed rounds – the first sourced from angel investors and the founders' personal savings
Second round raised Dh720,000 from silent investors in June this year
Opening Rugby Championship fixtures: Games can be watched on OSN Sports
Saturday: Australia v New Zealand, Sydney, 1pm (UAE)
Sunday: South Africa v Argentina, Port Elizabeth, 11pm (UAE)
THE SPECS
Engine: 1.5-litre
Transmission: 6-speed automatic
Power: 110 horsepower
Torque: 147Nm
Price: From Dh59,700
On sale: now