Causes and consequences of the 1972 economic war in Uganda

Causes and consequences of the 1972 economic war in Uganda

The 1972 economic war in Uganda

The 1972 economic war in Uganda was a slogan used by President Idi Amin when expelling Asians mainly of Indian and Pakistani nationals from Uganda purporting to redistribute wealth and assert economic independence.  The Asians at time were considered foreigners and exploiters in Ugandan economy and the decree to expel them was passed in August 1972.

Causes of the 1972 economic war in Uganda

Asians were considered foreigners and exploiters of Ugandan economy. Asians exploited Ugandans in several ways; for instance, they paid lower prices to the farmers and got exorbitant profits, earner higher salaries in government offices compared to Africans and sold at lower prices to fellow Indians. This provided support to Amin when he was chasing them away.

Many Asian had dual citizenships: This indicated that they were in Uganda only for exploitation but not for its empowerment and this caused their expulsion.

Strong culture of Indians: Indians were discriminative, and their strong culture prevented them from intermarriages with African which annoyed Ugandans including Amin. Lack of integration between Asians and Ugandans prompted their expulsion by Amin.

Influx of Asian to Uganda: it was estimated in 1972 that out of the 83,000 Asians only 23,000 were Ugandans. The threat of Indians in future politics of Uganda worried Amin leading their expulsion.

Need to reward Amin’s supporters: Amin desired to reward his supports and the desire to corrupt new supporters and rally public support.

Economic Control: The expulsion aimed to transfer the economic control of businesses, farms, and properties from Asians to Ugandans.

Consolidation of Power: The economic war was also a means for Amin to consolidate his power by eliminating potential economic rivals and gaining support from the Ugandan population.

Redistribution of Wealth: The campaign sought to redistribute wealth and resources to the indigenous population. The Asian community was perceived to control a significant portion of Uganda’s economy, leading to economic disparities and social tensions.

Anti-Colonial Sentiment: Amin’s policies were partly driven by anti-colonial sentiments, aiming to break free from economic dependence on foreign powers.

Inspiration factor: The expulsion of Asians was influenced by similar events in Egypt and Libya; where British and French expelled respectively

Creation of employment opportunities for African: Amin hoped that by expelling Asians would create employment for African, although it was not the case

Consequences of economic war of 1972 in Uganda

The 1972 economic war in Uganda, initiated by President Idi Amin, had several significant consequences:

Economic Decline: The expulsion of the Asian community, which controlled a large portion of Uganda’s economy, led to the collapse of many businesses and industries.

Hyperinflation: The sudden loss of skilled business owners and managers resulted in economic mismanagement, hyperinflation, and shortages of essential goods.

Human Rights Abuses:  Amin’s regime was marked by widespread human rights abuses, including arbitrary arrests, torture, and extrajudicial killings. The act expelling Indians on short notice was itself a grave human right abuse.

International Isolation: Uganda’s relations with many countries deteriorated due to Amin’s erratic behavior and human rights violations. And several countries imposed sanctions and embargoes on Uganda, isolating it from the international community.

Internal Conflicts: The regime faced internal conflicts and coups, leading to further political instability.

Loss of Traditional Authority: The expulsion of the Asian community and the subsequent economic policies undermined traditional authority structures and social cohesion.

Refugee Crisis: Expulsion of Asians created a refugee and humanitarian crises in destination countries.

Decline in tourism. The expulsion of Asians and political instability that ensued scared away tourists.

Africanization of all economic and governance sectors: Albeit lack of skills, Uganda got opportunities of filling vacant key positions in government and private sector. For example, Major David Okoke Oyite became the chairman of Coffee Marketing Board.

Shift of economic burden: There economic decline and the burden shifted to rural farmers who were forced to grow cash crops to support the economy.

The economic war had devastating effects on Uganda’s economy, society, and international relations, leaving a legacy of hardship and suffering that continues to impact the country.

 Please obtain free notes, exams and marking guides of Physics, chemistry, biology, history, economics, geography … from digitalteachers.co.ug website.

Thanks

Dr. Bbosa Science

CATEGORIES
TAGS
Share This

COMMENTS

Wordpress (0)
Disqus ( )