Contribution of the service sector to the economic growth in Uganda since 1995 to 2014

Abstract

Empirical studies have established that the service sector is a major contributor to the economic growth of Uganda. It has also been argued that other sectors i.e. Agriculture and manufacturing sectors also in greater extend determine the country's level of growth and development. The study analyzed several hypotheses relating to the service sector's contribution to the GDP or economic growth in the country. The study also analyzed the extent to which economic growth is trended; it further looked at the various service sectors that is to say, the whole sale and retail service sector, transport and communication sector, real estate and other sectors and their contribution to the economic growth of the country. Lastly, a multiple linear regression was run and analyzed which put up an overall contribution of all the independent variables considered in the study. Using the time series annual data from 2005-2014, multiple linear regression was utilized to estimate the contribution of the service sectors to the economic growth in Uganda.