Patricia Adongo the Managing Director Uganda Development Bank (UDB) Ltd has revealed that they have scaled up different packages to support struggling Small and Medium Enterprises (SMEs).
Adongo said that, as part of the response to the challenges affecting most of the SMEs in the country, UDB took a decision of launching specific segments and products for SMEs to make sure they survive to see their first anniversary.
“When the SMEs capacity is built and we provide them with finding they should be able to survive hence more survival rates,” she said
“SMEs are key drivers in fostering innovation, job creation and wealth creation, with our partners we are proud that we are part of their progress,” she added.
According to Adongo, UDB currently has financial interventions that address issues of funding availability at affordable terms and un financial interventions that address the building of SMEs capacity.
She made these remarks while speaking to reporters at the sidelines of the 7th edition of Africa SME Champions Forum at Speke Resort Munyonyo on Thursday.
The 7th edition of the Africa SME Champions Forum is the main event entirely dedicated to the growth of African companies and the 2022 edition is held under the theme “Recovery and Growth”.
SMEs, which contribute 75% of the Country’s GDP, are some of the sectors that were hit hard by the covid-19 pandemic.
John Walugembe the ED of Federation of SMEs has on several occasions condemned government for doing nothing to support their recovery.
Despite of the launch of the Shs200Bn covid-19 Recovery package, most SMEs have failed to access it due to their informality and the criteria.
Adongo also noted that the interventions offered currently are holistic solutions around addressing every challenge that SMEs have and the main objective is to have many of them grow.
Speaking at the same presser, Jules Ngankam the Group Chief Executive Officer of African Guarantee Fund said that despite the fact that SMEs still have a small contribution to African states GDP, it’s still the sector that employs most of the populations and this calls for their empowerment.
“The main ideology of our coalition with partners like UDB is to see how we can we bring support to SMEs such that they can mobilize more capital to move from micro to and from small to medium and finally to large companies” Ngankam added.
Ngankam also revealed that as African Guarantee Fund, they are currently working towards how they can move capital from investors to SMEs because it is also an important factor in generating capital.
Didier Acouetey the chairman of Africa SME Champions Forum thanked all participants, partners and stakeholders who have attended this year’s edition and encouraged them to network because it is the only assured way they will get opportunities.
“Friends, my call is that the SME Forum is your platform so use it to make business happen, make money and lets grow this continent by creating jobs for young people who come in to the job market every year” he added.
In his remarks H.E DR. Fahad Abdullah the chairman Arab Bank for Economic Development in Africa (BADEA) board of Directors kingdom of Saudi Arabia said that they remain committed to support the growth of SMEs as an agent for Africa’s economic empowerment and as Badea they are key to facilitate further opportunities for both exchange and access to both Africa and Arab markets.
This 2 day event that will end on October 7th will also encourage every private and public actor to share their approach and strategies in order to enable African SMEs to overcome their challenges.
