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Abstract

Whereas Uganda's recovery and growth strategies have delivered impressive poverty reduction, ensuring the pro-poorness of post-recovery growth has been very challenging. Although annual growth rates have been sustained at around 5%, participation in growth has narrowed, resulting in deepening inequality that has undermined the poverty impact of growth. Consequently, the poverty reduction momentum that characterized the 1990s began to diminish by the turn of the millennium. Evidence discussed in this paper suggests that long term pro-poor growth could result from consistently and patiently investing in people and physical infrastructure, specially in a policy environment that ensures efficient linkages to the international markets of commodities that the poor can be facilitated to produce.

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