Afreximbank and Uganda Development Bank Partner: What Does This Mean?

In an exciting new development for Uganda’s economic landscape, the African Export-Import Bank (Afreximbank) and the Uganda Development Bank (UDB) have joined forces to launch a Joint Project Preparation Facility (JPPF).

This collaboration is all about powering up Uganda’s industrialization efforts and enhancing its export potential.

So, what’s the big deal? Essentially, this agreement is designed to provide much-needed financial and technical support to public and private sector projects in Uganda.

The focus is on some of the country’s most critical sectors, including energy, transport, logistics, manufacturing, and more. With a target of mobilizing up to $25 million, the JPPF is set to pave the way for transformative projects that could significantly uplift Uganda’s economy.

But it’s not just about throwing money at projects.

The JPPF will play a crucial role in de-risking these ventures, ensuring they’re not only financially viable but also ready for investment.

This means covering the groundwork—think feasibility studies, project development, and advisory services—to make sure these projects have a solid foundation for success.

Kanayo Awani, Executive Vice President at Afreximbank, emphasized the importance of this partnership, highlighting how it’s about more than just funding—it’s about creating bankable projects that attract both public and private sector investments.

On the other side, Samuel Edem Maitum, Director of Credit at UDB, pointed out that many transformative ideas in Uganda remain just that—ideas—because of a lack of technical and financial backing.

This collaboration is set to change that, unlocking a wealth of opportunities for both private and public sector-led projects.

In the bigger picture, this partnership is expected to accelerate Uganda’s economic growth by bringing more private sector investments into the mix. It also aims to position Uganda as a prime investment destination in Africa, with a steady stream of well-prepared, investment-ready projects.

This is a significant step forward for Uganda, one that promises to bring long-term sustainable development and economic opportunities to the region.