The Africa Investment Index is an annual report which seeks to “paint a picture of the investment attractiveness of countries in the medium term”.

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It covers 54 African countries and the ranking is based on six clusters of factors; economic growth, liquidity factors, risk factors, business environment factors, demographics and social capital.

Uganda ranked 17 on the Africa Investment Index compared to last year’s ranking where it was in the 12 position.

This is the country’s worst ranking on the Africa Investment Index since 2014.

Uganda's economy has been characterised by high real interest rates, high import cover and high exchange rate risk and the shilling continues to lose grip against the dollar.

Morocco emerged as the most attractive investment destinations in Africa, followed by Egypt and Algeria in second and third positions respectively.

Kenya made it into the top ten investment destination due to a large sized economy, import cover and demographics.