Banks seek Shs490 trillion to finance tenfold growth strategy

What the report says

Kampala’s banking sector is planning a major capital mobilization effort to support Uganda’s Tenfold GDP Growth Strategy, which aims to lift the economy to $500 billion by 2040. According to The Independent Uganda and URN, lenders say they need about Shs490 trillion in available stock, or patient capital, compared with the roughly Shs28 trillion they currently hold, to expand lending to the private sector and back long-term investment.

The Uganda Bankers Association says the effort will be a central topic at the 9th Annual Bankers’ Conference 2026. The strategy is tied to the government’s priority growth areas, known as ATMS: agro-industrial development, tourism, mineral-based industrial development including oil and gas, and science, technology, ICT and innovation. Bankers say the sector must help make financing cheaper and more accessible for businesses working in those areas.

UBA chairman Michael Mugabi said financial institutions want to attract more patient and affordable capital, including from international partners, while the Capital Markets Authority and stock exchanges are expected to help mobilize additional funding. Bank of Uganda official Allan Victor Walusimbi said the central bank is supporting the plan through macroeconomic stability, stronger regulation and reforms meant to protect consumers and maintain financial-sector soundness.

The report also notes that the industry wants a larger role in areas such as digital lending, regulation of large SACCOs and possible policy changes to draw in more capital. The push matters because Uganda’s private-sector credit-to-GDP ratio is still far below the level bankers say would be needed for sustained rapid growth.