Uganda prepares to issue first sovereign green bond

What the report says

Uganda is preparing to issue its first sovereign green bond, with the government developing a framework to guide how the bond will be structured and how the proceeds will be used. According to Nile Post, the Ministry of Finance, Planning and Economic Development and the Bank of Uganda are leading the work, with technical support from the Global Green Growth Institute.

The draft Sovereign Sustainable Finance Framework was validated during a technical workshop at Serena Hotel Kigo last week. Participants included officials from government, regulators, the financial sector and civil society. The framework is meant to define which investments can qualify for sustainable finance and thematic bond markets, and to set rules for selecting projects, managing funds, tracking spending and reporting to investors and the public.

The article said the framework is aligned with the International Capital Market Association’s Green Bond Principles, which are widely used in green bond markets to support transparency and credible use of proceeds. Uganda Bankers’ Association Executive Director Wilbrod Owor described the development as an important step for banks interested in financing green projects, while noting that institutions need practical systems and information to participate effectively.

Nile Post also reported that the framework builds on existing policy work, including the National Green Taxonomy, the National Climate Finance Strategy 2025–2030 and Bank of Uganda guidance on climate-related financial risk management. If launched, the bond would give Uganda another way to raise money for environmentally sustainable projects and deepen its role in sustainable capital markets.