Agricultural Business Initiative (aBi) is building a green and inclusive economy by launching two groundbreaking programs that renew our commitment to accessible and inclusive financing for smallholder farmers. It announced a five-year business plan to drive change and combat the climate crisis.
aBi Development Ltd’s Green Agri-Food Systems Program (GRASP) and aBi Finance Ltd’s Accelerated Implementation of Green Inclusive Finance (AAGIF) were launched on Thursday 2nd May at Speke Resort Munyonyo.
Moses Nyabira, CEO of aBi Development Ltd., said the five-year program will help farmers and agribusinesses build their capacity to adapt to climate change and continue production operations. The company said it will invest US$55.8 billion in
Over the strategic period from 2019 to 2023, aBi extended its support to more than 50 private organizations, reaching 790,000 farmers. This concerted effort resulted in 12,088 jobs and an impressive net profit of over Sh138 billion.
“Our support for GRASP finds its roots in the direct relevance of the world we share, addressing the climate crisis by empowering farmers to adapt. This strengthens his aBi's role as a strong partner for private sector agribusiness development, bridging the gap between producers and markets. Furthermore, it is seamlessly aligned with the Uganda National Strategic Framework 2023-2027 and is focused on fostering comprehensive green economic transformation, a shared goal with the Government of Uganda and the European Union,” Nyabira said. .
Mona Muguma-Ssebuliba, Chief Executive Officer of aBi Finance Ltd. He added that the lack of funding remains acute. Only 10% of Ugandan companies receive loans, which remains significantly high.
“This new program (Accelerating the Adoption of Green Inclusive Finance) will empower often overlooked sections of society, such as youth, women and refugees, to enable them to thrive in agribusiness and improve their livelihoods. , an additional investment of Sh11 billion. aBi Finance's intervention will create over 300,000 jobs, generate additional income of US$154 million for beneficiaries, and support 2.2 million farmers (of which 70%). women) and contributed a value of US$5 million through green loans,” said Mguma Sebuliba.
Mr. Felix Okoboye, Chairman of the Board of Directors of aBi Development & Finance, appreciates the value of public-private partnerships in strengthening Uganda’s agricultural value chain and thanks the Government of Uganda, the European Union and the Royal Danish Embassy for their unwavering support and commitment. did. and to support green, inclusive, private sector-led agriculture in Uganda.
“During the UPSIDE period, aBi Finance will transition from a company limited by guarantee to a company limited by shares, and in 2022 will welcome two shareholders, the Investment Fund for Developing Countries and the European Union, along with the Royal Danish Embassy to facilitate increased access. Providing green finance for small-scale farmers and agribusinesses.
“We are very proud and pleased that the EU and Denmark have chosen to demonstrate confidence in aBi’s ability to deliver on climate and agriculture. This long-term commitment will help Uganda meet the challenges of climate change. , which is necessary to promote the agricultural sector,” he added.
The guest of honor at the presentation, His Royal Highness. The Minister of Agriculture, Animal Industry and Fisheries (MAAIF) Frank Tumwebaze, who was attended at the launch by the Director-General of Extension and Skills Management Services, Dr. Henry Nakarate Oporoto, said aBi directly supports government priorities and policies, and that He reiterated that he is cooperating with the Strategic direction of the country based on Vision 2040 and National Development Plan III.
Dr Opoloto said that while the agricultural sector is a key driver of transformation in Uganda and a solution to youth unemployment, without significant investment in climate resilience and adaptation strategies for small and large scale farmers. He said the expected results were not achieved.
The start of two new programs heralded the end of yet another successful project. It is the Uganda Program for Sustainable and Inclusive Economic Development (UPSIDE), which was launched in 2019 and supports over 200,000 farmers, 50% of whom are women. , achieving resilience to climate change through expanded and inclusive green agricultural systems.
Signe Winding Albjerg, Ambassador of Denmark to Uganda, said there is a strong and urgent need to support Ugandan agriculture to improve productivity and adapt and respond to climate change. “Denmark is proud to continue our support to Ugandan agriculture through aBi Finance and aBi Development for more than 10 years. We are very happy to be able to do this in cooperation with the EU delegation and as a Team Europe initiative. think.”
“Many farmers and processors already benefit from support from aBi Development, but the need for it will only increase. We are particularly pleased that this is necessary for farmers and forests alike,” adds Jan Sadek, EU Ambassador to Uganda.
