The Chief Executive of the Stanbic Uganda Holdings Limited (SUHL), Francis Karuhanga has officially launched two innovative programs aimed at supporting businesses access finance, fostering economic growth within Uganda’s dynamic SME sector.

Dubbed the Stanbic Accelerator Program (SAP) and the Supplier Development Program (SDP) and unveiled in Kampala on Thursday, the two are under the implementation of the Stanbic Business Incubator Limited (SBIL), which is a subsidiary of SUHL.

“Each year, we inject about sh2 billion into the Incubator. The programs mark a significant milestone in SBIL’s commitment to empowering entrepreneurs and small business owners across the country. These initiatives are designed to equip SMEs with the essential skills, knowledge, and resources needed to thrive in today’s competitive business landscape,” Karuhanga said.

SBIL has partnered with MTN, Uganda Chamber of Mines and Petroleum, Uganda Registration Services Bureau (URSB), NSSF, GIZ, Petroleum Authority of Uganda and many more strategic partnerships, bringing together key players in the sector to support SMEs that enroll for these programs to scale and create social impact.

Justina Ziraba, MTN Business representative, said MTN will work with the Stanbic Incubator to enable targeted businesses to build digital identities and digital brands; Specifically, MTN will be providing training and coaching experts for digital transformation and tailored-MTN business solutions for SMEs.

“MTN will also contribute to the Stanbic-SME awards Gala, an event which will recognise and award outstanding SMEs that demonstrate excellence during the capacity-building program,” Ziraba said.

Tony Otoa, the Chief Executive of Stanbic Business Incubator Limited, said strategic partnerships have enabled SBIL impact over 3,000 businesses in three years, while urging entrepreneurs to unlearn and relearn as they prepare their businesses for the future especially a future affected and driven by Artificial Intelligence (AI).

“We want to have a 99% support rate to all the entrepreneurs who seek access to finance,” Otoa said.

The Stanbic Accelerator Program is tailored to support SMEs in their journey towards growth and investment readiness. Through this program, business owners will gain invaluable insights and training to enhance their company’s growth prospects. Key focus areas include building competence in capital raising, fostering resilience, and creating employment opportunities. Furthermore, the program will facilitate the development of a robust pipeline for potential investors, thus fostering sustainable economic growth.

Meanwhile, the Supplier Development Program in alignment with Uganda’s growing energy sector, will demystify opportunities and empower SMES to participate actively.

Stanbic Incubator’s Programs Manager Nelson Kasadha said, “Participants will receive comprehensive training and guidance on navigating the complexities of the energy market, including market trends, opportunities, and challenges. Moreover, the program will facilitate crucial market linkages, connecting SMEs with potential partners and customers. Additionally, participants will gain insights into accessing grants and loans to fuel their growth and expansion within the energy sector.”

“We are thrilled to introduce these transformative programs aimed at empowering SMEs and driving economic prosperity in Uganda. By providing access to finance, training, and market opportunities, we are confident that these initiatives will unlock new pathways for growth and innovation within the SME ecosystem,” Kasadha said.

Stanbic Business Incubator Limited (SBIL) is a subsidiary of Stanbic Uganda Holdings Limited, dedicated to supporting the growth and development of SMEs in Uganda. Through a range of innovative programs and initiatives, SBIL aims to foster entrepreneurship, drive economic empowerment, and create sustainable impact within local communities.

Stories Continues after ad

The United Kingdom government has temporarily suspended duty tax on flower imports from East Africa.

The UK government has said through regional High Commissions in Nairobi, Kampala, Addis Ababa, Dar es Salaam, and Kigali.

“Thursday April 11, from today, the UK has temporarily removed export tariffs for cut flowers, to make trade with the UK easier and cheaper for growers in East Africa and beyond,” the UK government said in a statement. 

Unlimited quantities of flowers can now be exported to the UK at 0% tariff, even if they transit via a third country.

This is particularly important for East African flower growers who transport their blooms via third-countries or auction houses before they arrive in the UK.

Regional pears including Kenya, Ethiopia, Rwanda, Tanzania, and Uganda—sell the bulk of cut flowers to Europe through auctions near Amsterdam.

The UK, which formally withdrew from the 28-member European Union bloc in January 2020, expects the policy action to benefit its citizens through reduced “price, seasonality and variety”.

The UK Trade Ministry further sees the move as boosting trade and strengthening economic ties with the East African Community bloc.

“The UK’s relationship with East Africa is rooted in mutually beneficial trade. This additional flower power will allow trade to bloom,” UK’s Trade Commissioner for Africa John Humphrey was quoted in the statement. “We go far when we go together… or in this case, we grow far when we grow together, further reinforcing the UK’s commitment to the expansion of trade in East Africa.”

“The move aims to increase trade and further strengthen the economic relationship between the UK and the East African region. UK consumers could win big too – on price, seasonality and variety.”

The suspension of 8% duty for cut flowers applies across the world but will be a big win for major flower-growing regions in Kenya, Ethiopia, Rwanda, Tanzania, and Uganda. The duty suspension will remain in place for two years from April 11, 2024 to June 30, 2026.

In 2022, Kenya was ranked as the fourth biggest exporter of cut flowers in the world, with 6% of global cut-flower exports. Ethiopia is the second largest cut flower producer in Africa, making up 23% of Sub-Saharan African exports. In 2023, the value of trade in cut flowers between the UK and Ethiopia was valued at £12.6 million, Rwanda at £727,000, £839,000 from Tanzania, and £1.1 million from Uganda.

Stories Continues after ad

The Roko Construction Limited has been questioned for slow construction works at parliament which started in 2013.
Nakasekke South Member of Parliament says parliament should hold the company accountable to explain the delayed completion of the parliament extension which was awarded to Roko over 10 years ago.
“Parliament plays an oversight role and therefore should be in position to explain this annoyingly slow work despite the government agreeing to financially support this private company,” he said.
In 2022, the government purchased 150,000 preference shares in Roko Construction Limited worth Shs202.13 billion which would be paid in five years to support the construction company which had been choking on debts.
The payment will consist of shares purchased at a par value worth Shs150 billion and a share premium value estimated at Shs57.6 billion.
Roko had faced severe liquidity challenges that constrained its ability to execute contracted projects that have adversely affected payments to its various suppliers and the financial sector.
The company was in 2022 said to have been significantly indebted and its indebtedness as of May 31, 2022, was Shs202.4 billion.
Mr Lutamaguzi said so far, the Ministry of Finance has disbursed over Shs20 billion to the company. “We have so far given them Shs20 billion,” he said.
Before the government intervened to support the company on the directive of the president, it also had contingent liabilities from bank guarantees of Shs130.9 billion while its indebtedness to financial institutions was $35.7 million and Shs20.7 billion. Bank guarantees issued for ongoing projects amount to 130.9 billion, which would be retired as projects are executed, and dues to local suppliers are Shs46.8 billion.

Stories Continues after ad

The Minister for Energy and Mineral Development, Ruth Nankabirwa, has commissioned a Shs37 billion biomass plant at Uganda Breweries Limited in Luzira.

The unveiling of the plant marks a significant milestone in the organisation’s commitment to sustainability while demonstrating dedication to reducing its carbon footprint.

The facility represents a substantial investment by UBL and excellent progress in their decarbonising journey as envisaged in their Society 2030: Spirit of Progress sustainability action plan. Powered by locally sourced biomass materials, the plant also exemplifies UBL’s dedication to harnessing sustainable manufacturing while offering livelihood opportunities to local communities.

Nankabirwa said that by investing in biomass plants, UBL is not only reducing its carbon footprint but also contributing to the country’s energy security and economic growth.

She said the biomass project aligns with Uganda’s National Development Plan and Vision 2040, which prioritise sustainable development and environmental conservation.

“This project will not only create jobs and stimulate economic activity but also promote the use of clean energy, which is essential for mitigating the impacts of climate change. Uganda has increased its ambition to reduce greenhouse gas (GHG) emissions from 22% to 24.7% in the new climate change plan that presents the country’s intention to reduce greenhouse gas emissions, deal with the effects of climate change, and fulfil the aspirations of the Paris Agreement,” said Nankabirwa.

Speaking during the biomass commissioning, UBL Managing Director Andrew Kilonzo said, “Today, with the launch of this biomass plant, we have come closer to realising this goal, with the plant reducing our carbon emissions by 92%—8,000 metric tonnes of CO2 per year.”

He said that, as a responsible corporate citizen, UBL remains steadfast in pursuing sustainable practices and initiatives that benefit society and the environment.

Diageo Africa’s President Dayalan Nayager said the biomass plant is within the organisation’s promise to accelerate to a low-carbon world, in which it is committed to only using renewable energy by 2030 through becoming net zero carbon in its operations.

He said the organisation is also committed to reducing its value chain carbon emissions by 50% and using renewable energy across all our direct operations.

“The biomass plant, we are happy to report, has already reduced our carbon emissions by nearly 92%. We have not only done this in Uganda but have collectively invested over Shs180 million into green energy and water recovery solutions across Africa,” said Nayager.

The UBL Board Chairman, Jimmy Mugerwa, said, “Uganda Breweries Limited is the one of the few companies in Uganda that has an investment of such a scale designed to significantly reduce carbon emissions in the production processes. We urge all organisations across Uganda to emulate what Uganda Breweries is doing here today in their various operations and call upon the government to continue supporting these sustainability initiatives.”

“As a brewery, we already work closely with different ministries like the Ministry of Water and Environment, Finance Ministry, Trade, and Agriculture Ministries, and these collaborations have fostered the work that we do not only in replenishing the environment.”

Stories Continues after ad