KAMPALA, Uganda – aBi Development, an impact investment catalyst organization, has articulated its strategic framework designed to advance climate-resilient, green, and inclusive agro-industrial growth in Uganda. The unveiling occurred during the organization’s inaugural annual partners meeting, held in Kampala.
Moses Nyabila, Chief Executive Officer of aBi Development reported that aBi Development has provided approximately 320 billion Ugandan shillings in grants and technical assistance to over 300 small and medium-sized enterprises (SMEs), farmer organizations, and non-governmental organizations (NGOs) operating within the agricultural sector.
This support, he asserted, has generated an estimated 1.1 trillion Ugandan shillings in additional income for farmers and agribusinesses across Uganda, directly benefiting approximately 11 million individuals.
Mr. Nyabila delineated the organization’s strategic pillars, which are centered on enhancing climate change resilience, fostering green and inclusive growth, and increasing the global competitiveness of Uganda’s agricultural products.
“We are committed to accelerating the transition to green and climate-smart agriculture, pioneering the establishment of agro-industrial zones, and leveraging resources with development partners,” he stated.
aBi Development’s flagship initiatives, as presented by Mr. Nyabila, include the Agricultural Business Centre (ABC), Climate-smart Farm Input Distribution & Services Hubs, Agri-Finance Accelerator/Fund, Off-taker-led Value Chain Hubs, and Digital Farmer Platforms. He further outlined the organization’s investment pipeline, which allocates 10 billion Ugandan shillings to the Tubers, Cereals, Oilseed & Pulses Cluster; 12 billion Ugandan shillings to Horticulture; and 16 billion Ugandan shillings to Coffee.
“Agriculture accounts for 24% of Uganda’s GDP, drives 33% of export earnings, and employs about 70% of the population,” Mr. Nyabila noted. “However, the sector remains largely untapped, with potential for more than three times its current contribution to GDP, export, and manufacturing.”
By 2028, aBi Development aims to reach 2 million farmers with quality inputs and services, double productivity and income levels of 500,000 smallholder farmers, and strengthen agribusinesses and market linkages. The organization has also set its sights on improving food security and rural livelihoods, while promoting climate resilience and environmental sustainability.
“Uganda is one of the most vulnerable countries to climate change, but also one of the least prepared,” Mr. Nyabila cautioned. “We must work together to address this challenge and ensure a sustainable future for our agriculture sector.”
aBi Development’s funding for the period 2024-2028 stands at 260 billion Ugandan shillings, with 90 billion allocated for the GRASP program and 170 billion for the EYE-C program. The organization has issued a call to its partners to co-create innovative solutions, co-invest in impactful initiatives, and collaborate for transformative outcomes.
Fred Bwino Kyakulaga, Minister of State for Agriculture, commended aBi Development and its partners for championing the clustering model in the agribusiness sector during the meeting. “We welcome this drive and are excited about its immense potential in transforming the agribusiness sector and the economy,” he stated— acknowledging aBi’s efforts in preparing the country to comply with the European Union Deforestation Regulation (EUDR), ensuring continued access to the European market for Uganda’s coffee.
The government has complemented aBi and the private sector in registering and mapping coffee farms as part of the EUDR campaign.
Additional initiatives, including a contract with PULA to register and map over 700,000 farms, are underway. Mr. Kyakulaga noted that these achievements were realized through a cluster approach, pulling together critical actors in the coffee value chain to address joint sector challenges. He called upon other partners to join in bringing the clustering initiative to fruition, and committed the government to continuing to facilitate the successful implementation of the clusters across various sectors.
The European Union reaffirmed its commitment to supporting Uganda’s agricultural transformation, with a focus on climate-resilient and sustainable practices.
Cristina Banuta, Programme Manager for Access to Finance Agri-business and Land at the European Union Delegation to Uganda, delivered a speech on behalf of Ambassador Jan Sadek, emphasizing the EU’s dedication to Uganda’s agricultural sector.
“Agriculture is not just the backbone of Uganda’s economy; it is the foundation on which millions of lives are built,” Ms. Banuta stated. “To fully capitalize on this potential, we must ensure that Uganda’s agricultural sector is competitive, resilient, and aligned with global market requirements.”
The EU’s collaboration with aBi Development has been instrumental in supporting sustainable agricultural practices, increasing financial inclusion, and fostering climate resilience, particularly regarding the European Union Deforestation Regulation (EUDR).
Ms. Banuta highlighted EUDR as an opportunity to enhance Uganda’s agricultural competitiveness and sustainability.
Signe Winding Albjerg, the Danish Ambassador to Uganda, emphasized the importance of sustainable economic development and global climate responsibility. The Royal Danish Embassy has funded aBi Development to create impact in the agribusiness sector, with a focus on increasing production and productivity through climate-smart solutions and innovations.
Samson Emong, Managing Director of Cafe Africa, addressed the challenges facing Uganda’s coffee sector in complying with the European Union’s Deforestation Regulation (EUDR) and Corporate Sustainability Due Diligence Directive (CS3D).
He clarified that initial findings have debunked the myth that coffee production in Uganda is a significant driver of deforestation. Instead, the sector’s primary challenge lies in complying with the EU’s record-keeping and reporting requirements, due to Uganda’s informal and fragmented supply chain. He called for collaborative efforts to address these challenges, including raising awareness, registering and mapping coffee plots, and establishing governance and finance for a data warehouse.
