In a move to bolster its economic transformation, Uganda has officially joined the Fund for Export Development in Africa (FEDA), the development impact investment arm of the African Export-Import Bank (Afreximbank). This accession positions Uganda as the 21st member state of FEDA, underscoring the nation’s commitment to industrialization and value-added export development across the continent.
Signing Ceremony in Kampala
The formal signing of FEDA’s Establishment Agreement took place in Kampala, attended by prominent figures including Ambassador Phillip Rukikaire, head of the Regional Peace and Security Department at Uganda’s Ministry of Foreign Affairs, Ms. Marlene Ngoyi, CEO of FEDA, and Mr. Kudakwashe Matereke, Afreximbank’s Regional Director for Eastern Africa.
Ms. Ngoyi highlighted the significance of Uganda’s membership, stating, “Uganda’s accession to FEDA is a testament to the country’s commitment to accelerating industrialisation, value-added export development, and economic transformation. We look forward to working closely with the Government of Uganda and its private sector to unlock the region’s immense potential.”
Ambassador Rukikaire echoed this sentiment, emphasizing Uganda’s dedication to a prosperous Africa through industrialization and intra-African trade. He remarked, “By joining FEDA, we reaffirm our commitment to driving industrialisation and intra-African trade. Africa needs more trade than aid, and through this partnership, Uganda’s manufacturing and export sectors will receive the investment needed to propel us forward.”
Afreximbank’s Ongoing Support to Uganda
Over the past four years, Afreximbank has demonstrated robust support for Uganda’s economic sectors, approving more than $813 million in financing for both public and private initiatives. Additionally, there is a pipeline of over $1 billion in pending approvals, indicating a strong and growing partnership between Uganda and the bank.
About FEDA
Established to provide equity and quasi-equity capital to companies involved in intra-African trade and export development, FEDA focuses on sectors critical to the continent’s economic growth. These sectors include financial services, technology, agribusiness, manufacturing, transport, logistics, and trade-enabling infrastructure such as industrial parks. FEDA’s mission aligns with the broader goals of industrialization and enhancing value-added exports across Africa.
Implications for Uganda
Uganda’s membership in FEDA is expected to unlock substantial investment opportunities, particularly in manufacturing and export sectors. This strategic move aims to propel the nation toward sustainable economic growth, reduce dependency on aid, and strengthen its position within intra-African trade networks.
As FEDA continues to expand its footprint across the continent, Uganda’s accession marks a pivotal step in the collective effort to drive economic transformation and industrialization in Africa.
