Scarcity of knowledge exists on how economic and demographic factors of surrounding communities influence the capacity of universities to transform them. This study examines the dimensions that contribute to community transformation in the context of the community surrounding Gulu University in post-conflict northern Uganda and the economic and demographic factors of the surrounding community that influence their transformation by Gulu University. The study employed a cross-sectional research design with a sample of 390 households. Self-administered questionnaires were used to collect data on household economic and demographic factors and data on dimensions of community transformation. Principal component analysis (PCA) was used to determine the contributions of the dimensions of community transformation, while logistic regression model was employed to determine economic and demographic factors that influence community transformation by Gulu University. The independent variables tested in the economic and demographic categories included age, gender, household size, occupation, alternative income, savings, credit, remittances, and education, while transformation formed the dependent variable. Findings revealed that the economic, physical, political and spiritual dimensions contribute more to the transformation of the community surrounding Gulu University, while the economic and demographic factors that had a significant influence on community transformation included occupation in civil service, business, and commercial farming (P=.004); and the level of education (P=0.044). The study concludes that the economic, physical, political and spiritual dimensions with their associated variables contributed more to community transformation. These can be used by other related studies to measure community transformation by universities in the context of developing countries. Furthermore, policies need to focus more on supporting the improvement of the business environment to promote commercial farming and university education since they have a higher multiplier effect on community transformation. Consequently, community members need to focus on business, harness commercial farming and achieve university level of education
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