The National Tourism Events Organizers Federation (NTEOF) is calling on the Ugandan government to take decisive action to address pressing issues within the country’s tourism events industry, including skyrocketing security costs, limited access to affordable financing, and the burden of an 18% VAT on event tickets.
During a recent interview on a national broadcaster, NTEOF President Peter Sebulime highlighted the pivotal role of tourism events in driving economic growth and generating employment. Despite this, he emphasized that event organizers are grappling with numerous challenges that threaten the viability of their operations.
“Our major challenges are high security costs, limited access to affordable financing, and the 18% VAT on tickets, stressing the need for government intervention to ensure the sustainability of the sector. He pointed out that, beyond mandatory security fees, event organizers often face exorbitant charges for security deployment, which can render many tourism events financially unfeasible,” Sebulime stated
Sebulime further underscored the significant financing gap that organizers experience, as they frequently rely on expensive loans to fund their events while enduring lengthy waits for sponsorship and Local Purchase Order (LPO) payments. This financial strain complicates their ability to deliver successful events consistently.
NTEOF is advocating for tax relief on event tickets, arguing that the tourism events already contribute significantly to government revenues through associated sectors like accommodation, transport, and hospitality.
With the escalating costs of organizing events, many industry players are being forced to either downsize their operations or exit the industry entirely.
Leading figures in the events space, Douglas Lwanga, Patrick Salvado Idringi and Amos Wekesa have echoed similar concerns, highlighting the urgent need for a comprehensive support framework from the government.
“Our federation is committed to engaging with the government to find long-term solutions. Tourism events are crucial for driving visitor arrivals, creating jobs, supporting small and medium enterprises, and showcasing Uganda to the global market. This industry deserves the necessary support to thrive.” Sebulime concluded.
As the tourism sector continues to recover post-pandemic, the need for government intervention has never been more critical to ensuring the future of Uganda’s vibrant tourism events landscape.