The Ugandan government has decided to digitize key economic sectors to combat widespread poverty.  In that bid, it is supported by various partners. 

The Uganda Development Bank (UDB), fintech company Ensibuuko, the European Union, the United Nations Capital Development Fund (UNCDF), and the Food and Agriculture Organization of the United Nations (FAO) recently launched "AgriConnect," a fintech solution aimed at facilitating access to digital finance for smallholder farmers in Uganda.

“The world is fast evolving, a result of the advancements in technology, and it is key that as a development finance partner, we recognize such changes and make a deliberate effort to back inventions that influence the growth of key sectors of the economy like Agriculture, which employs 68% of the country’s population,” said Patricia Ojangole, managing director of the Uganda Development Bank. 

According to the UN Food and Agriculture Organization, Uganda's fertile agricultural land has the potential to feed 200 million people. Eighty percent of Uganda's land is arable, but only 35 percent is under cultivation. This is due to several reasons, including a lack of funding for farmers. 

AgriConnect is set up to address the funding issue. It will provide both savings and loan options for Ugandan smallholder farmers. The platform will allow Village Savings and Loan Associations (VSLAs) to digitally access short-term seasonal loans and savings products at affordable prices.  

For Evelyn Anite, Minister of State for Investment and Privatization, AgriConnect will reinvigorate and reshape Uganda. "With services like this, Uganda is indeed on a good trajectory to achieve its goals as stipulated in the National Development Plan and Vision 2040," she said.

Samira Njoya