Corporate giants say anti-LGBT law would hurt Uganda’s economy

A coalition of multinational businesses, including Microsoft and Google, spoke out against the anti-LGBTQ law recently passed by Uganda’s parliament, stating that it would harm the country’s economy. The Open for Business coalition warned that the legislation criminalizes and stigmatizes identifying as lesbian, gay, bisexual, transgender, or queer people, and it would significantly limit investments and deter tourism. They added that provisions that require companies to report those believed to be LGBTQ would put such businesses in an impossible situation. The coalition also stated that anti-LGBT discrimination can have huge economic consequences. A 2019 study shows that Kenya loses up to 1.7% of its GDP yearly due to anti-LGBTQ practices.

The law, which imposes the death penalty for committing so-called aggravated homosexuality such as same-sex relations with persons under 18 or when the perpetrator is HIV positive, among other categories, needs President Yoweri Museveni’s signature. Similar legislation was signed in 2014, which was later voided by a domestic court on procedural grounds after international condemnation.

The coalition’s members, such as Mastercard, Unilever, Google, Deloitte, PwC and Standard Chartered, have operations in Uganda. Open for Business stated that the new legislation would undermine companies’ capability to recruit diverse and talented workforces.

This isn’t the first time the Open for Business coalition spoke out against anti-LGBTQ measures. Earlier this year, it condemned Hungary for its plans to prohibit the spread of LGBT content in schools.