We will pay compensation from future profits: the nationalisation of foreign businesses in post-colonial Uganda
The 1970 nationalisation of foreign businesses in Uganda was arguably the first time that a country would announce that it will pay compensation for nationalised businesses from the future profits earned by such businesses. Using two interrelated models, namely the Obsolescing Bargaining Model (OBM) and Political Bargaining Model (PBM) and materials from three UK archives, this paper critiques the negotiations between the nationalised businesses and the Government of Uganda during the nationalisation period. It also explores the role of the British Government in the entire episode. This sometimes included covert negotiations with international agencies like the World Bank and other Western powers like the USA all to ensure that UK companies got the best possible settlement from the Ugandan authorities.
- Professor Chibuike Uche - Leiden University