Ministry of Trade, ITC, EU Partner on UGX 33 Billion SME Empowerment Project

In a significant boost to Uganda’s economic growth ambitions, the Ministry of Trade, Industry, and Cooperatives, in collaboration with the International Trade Center (ITC) and with vital support from the European Union (EU), today launched a new four-year project valued at UGX 33 billion (€8 million) aimed at empowering the nation’s Small and Medium Enterprises (SMEs).

This ambitious initiative is designed to strategically position Ugandan SMEs to capitalize on burgeoning opportunities within the global market. The project will meticulously cultivate a supportive policy and business environment, enabling these enterprises to flourish, compete, and trade both continentally and internationally, with a particular emphasis on the lucrative EU market. Key focus areas include enhancing quality compliance and standards, expanding access to e-commerce for a wider array of SMEs, and fostering innovation across various sectors.

Speaking at the launch, Hon. Francis Mwebesa, the Minister of Trade, Industry, and Cooperatives, highlighted the project’s expected contribution to increasing Uganda’s exports to the EU, which are currently valued at USD 1.4 billion. “This project aligns perfectly with the National Development Plan IV, which seeks to increase household incomes, fully monetize the economy, and generate sustainable employment,” Minister Mwebesa stated. “We anticipate that this initiative will play a crucial role in our ambitious ten-fold growth strategy, propelling Uganda’s economy from its current USD 50 billion to a formidable USD 500 billion by 2040.”

Sanne Willems, the Team Leader of the European Union Delegation to Uganda, underscored the EU’s commitment to Uganda’s trade and investment landscape. “With this €8 million investment, we are confident that we will significantly strengthen Uganda’s trade and investment profile, particularly in high-potential sectors such as tourism, logistics, and grains,” Willems affirmed.

The project is poised to be a pivotal driver in Uganda’s journey towards socio-economic transformation, fostering a more competitive and resilient private sector capable of thriving in the global economy. By equipping SMEs with the necessary tools for quality assurance, digital market access, and innovative practices, this collaborative effort aims to unlock unprecedented opportunities for Ugandan businesses and contribute substantially to the nation’s long-term prosperity.