UDB calls for patient capital to unlock Eastern Uganda’s tourism potential

What the report says

Uganda Development Bank (UDB) is urging tourism operators and prospective investors to use affordable, long-term financing to develop Eastern Uganda’s tourism assets into marketable products. In a report published by Nile Post, the bank said the region’s natural, cultural and adventure attractions could support more jobs, stronger local supply chains and wider economic activity if backed by suitable capital.

The appeal was made during World Tourism Day celebrations in Mbale, where Peter Watuwa, UDB’s Eastern Regional Office manager, said tourism should be understood as a value chain that links accommodation, transport, agriculture, food production, creative industries and community enterprises. He said many projects in the sector take years to generate returns, making patient capital important for hotels, lodges, conference facilities, specialist transport and destination infrastructure.

UDB said its financing products include working capital, asset finance, term loans and equity support, with loan tenures of four to 15 years. The bank said its tourism portfolio covers accommodation, heritage and cultural centres, ecological sites, tourist transport and stopover facilities. It also noted that services made up about 17% of its portfolio in 2025.

The bank highlighted Eastern Uganda’s tourism sites, including Mount Elgon National Park, Sipi Falls, the Source of the Nile, Pian Upe Wildlife Reserve, Tororo Rock and the Nyero Rock Paintings. Tourism Minister Tom Butime and President Yoweri Museveni also used the occasion to call for more investment and stronger support for Uganda’s tourism and meetings sector, underscoring the government’s push to attract private capital into the industry.