What Is Ujamaa? Cooperative Economics Explained

Ujamaa is cooperative economics: the idea that a community should build, own and run its own businesses and share in what they earn. It is the fourth of the seven principles of Kwanzaa, and the Official Kwanzaa Website defines it in one line: "To build and maintain our own stores, shops and other businesses and to profit from them together."

The principle was set out by Dr. Maulana Karenga, who created Kwanzaa in 1966. It is one of the most practical ideas in the whole holiday, because it turns a value into something you can act on every week: where you spend your money and who that money supports. This guide explains what Ujamaa means, where it comes from, how it works as an economic idea and how buying from Black-owned businesses puts it into practice today.

What Does Ujamaa Mean?

Ujamaa is a Swahili word. According to the Official Kwanzaa Website, "Ujamaa literally means familyhood and suggests a sharing of work and wealth in the manner of a family." The English name Kwanzaa uses for it is Cooperative Economics.

That family image is the key to the whole principle. In a family, people work together, pool what they have and look out for one another. Ujamaa asks a community to treat its economic life the same way, so that the wealth people create together stays with them and keeps working for them.

The official site describes it as "a commitment to the practice of shared social wealth and the work necessary to achieve it." It adds that the idea grows out of the belief that social wealth belongs to the people who created it, and that nobody should hold so much more than everyone else that they can exploit or oppress others.

Where Does Ujamaa Come From?

Ujamaa is part of the Nguzo Saba, the Seven Principles at the heart of Kwanzaa. The Kwanzaa FAQ, an interview with Dr. Maulana Karenga, describes him as the creator of Kwanzaa and the Nguzo Saba and says the holiday "was created in 1966 in the midst of our struggles for liberation." The Roots and Branches page places that moment in the Black Freedom Movement.

The seven principles, in order, are Umoja (Unity), Kujichagulia (Self-Determination), Ujima (Collective Work and Responsibility), Ujamaa (Cooperative Economics), Nia (Purpose), Kuumba (Creativity) and Imani (Faith). The official site's home page names the Organization Us as the founding organization of Kwanzaa and the keeper of its tradition.

Karenga drew on a wider history when he described Ujamaa. On the Ujamaa page he quotes Julius Nyerere, the President of Tanzania, who also wrote about Ujamaa and described it as "based on the assumption of human equality" and on the belief that it is wrong for one person to dominate or exploit another. Nyerere also argued that the creation of wealth is a good thing, but that it stops being good the moment wealth no longer serves people and people start serving wealth.

Karenga himself is an academic as well as an activist. His 2018 biography, published on the official site, describes him as professor and chair of the Department of Africana Studies at California State University, Long Beach.

How Is Ujamaa Celebrated During Kwanzaa?

Kwanzaa lasts seven days, one for each principle, and the Day of Meditation page explains that the last day of Kwanzaa is the first day of the new year, January 1. The greetings page describes the traditional question, "Habari gani?", which is answered with the principle of the day: Umoja on the first day, Kujichagulia on the second and so on. That makes Ujamaa the answer on the fourth day.

Each principle also has a candle in the kinara, the candle holder. According to the celebration guide, the colors of Kwanzaa are black for the people, red for their struggle and green for the future and hope that comes from their struggle. Ujamaa is represented by one of the three red candles, alongside Kujichagulia and Kuumba.

The FAQ is also clear that Kwanzaa is "not a religious holiday, but a cultural one with an inherent spiritual quality," which is why people of many faiths take part.

The Three Ideas Inside Ujamaa

The Ujamaa page breaks the principle into three connected ideas. Together they explain why cooperative economics is about more than shopping.

The first idea is shared work and wealth: the work of building wealth and the wealth itself should both be shared. Without shared wealth, the page argues, the conditions for exploitation, inequality and suffering grow.

The second idea is economic self-reliance: a community should build, strengthen and control its own economics. Quoting Nyerere, the page says self-reliance means "that for our development we have to depend upon ourselves and our own resources." It is careful to add that this does not mean refusing help from others. It means taking responsibility for the future and putting resources to the best possible use in the service of the community. It also stresses respect for work: appreciating its value, rejecting its exploitation and doing it cooperatively for the common good.

The third idea is the obligation of generosity, especially toward the poor and vulnerable. The page draws on ancient Egyptian teachings, including a line from the Book of Ptahhotep: "Be generous as long as you live." The aim it describes is an ethic of care and responsibility, where shared wealth serves the people who need it most.

Ujamaa and Ujima: What Is the Difference?

The two principles sit next to each other in the Nguzo Saba and are easy to mix up. Ujima, the third principle, is Collective Work and Responsibility, which the official Ujima page defines as building and maintaining our community together and solving its problems together. Ujamaa, the fourth, applies that same spirit to money. It is about who owns the stores and shops, who profits from them and where those profits go.

Put simply, Ujima is about working together and Ujamaa is about owning together. One without the other is incomplete, which is why they appear side by side.

Ujamaa Today: Buying from Black-Owned Businesses

The definition of Ujamaa starts with building and maintaining "our own stores, shops and other businesses." For most people, the simplest way to live that out is to choose Black-owned businesses when they shop, so that money circulates through Black founders, Black employees and the communities they serve.

Karenga makes a related point in the FAQ, where he distinguishes "normal Ujamaa or the cooperative economic practice of artists and vendors" from large corporations moving in to dominate a community's market. His concern is that small-scale African American producers and vendors get pushed aside. Choosing those producers and vendors directly is Ujamaa in action, and it is something you can do in any month of the year.

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Frequently Asked Questions

What Is the Meaning of Ujamaa?

Ujamaa is Swahili for familyhood, and in Kwanzaa it is the principle of Cooperative Economics. The official definition is "to build and maintain our own stores, shops and other businesses and to profit from them together."

Who Created Ujamaa as a Kwanzaa Principle?

Dr. Maulana Karenga created Kwanzaa and its Seven Principles, the Nguzo Saba, in 1966. Ujamaa is the fourth principle. In explaining it, Karenga also draws on the writing of Julius Nyerere, the President of Tanzania.

Which Day of Kwanzaa Is Ujamaa?

Ujamaa is the fourth day of Kwanzaa. Each day is dedicated to one principle in order, and the greeting "Habari gani?" is answered with the principle of that day.

What Are the Seven Principles of Kwanzaa?

The seven principles, the Nguzo Saba, are Umoja (Unity), Kujichagulia (Self-Determination), Ujima (Collective Work and Responsibility), Ujamaa (Cooperative Economics), Nia (Purpose), Kuumba (Creativity) and Imani (Faith). Kwanzaa gives one day to each.

How Can I Practice Ujamaa Every Day?

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