BY D SEBUNYA: A total of up to 60 enterprises have been passed out after successfully completing the requirements of the first-ever UDB Enterprise Development Program (EDP).
The 13-week training program was aimed at equipping entrepreneurs with the required business skills.The program attracted participation from a diverse group of businesses, mainly MSMEs, which are essentially women- and youth-led, reflecting the inclusive nature of the program and its potential to contribute to Uganda’s economic growth.
EDP is a cornerstone initiative of UDB’s Business Acceleration for Successful Entrepreneurship (BASE), designed to foster business growth and enhance investment readiness through an incubator model.
The incubation of the first cohort, which has graduated today, commenced in April 2024 and has been running for three months.While officiating at the pass-out day, Edith Nakalema, the team leader of the Statehouse Investors’ Protection Unit (SHIPU), commended the bank for taking its mandate of supporting businesses seriously, beyond only providing financial services but also non-financial ones.
“This is what will turn our economy around, because it is premised on MSMEs which are now being empowered for the better,” she stated. Nakalema explains that the country boasts of over 1.1 million registered MSMEs, which contribute up to 80 percent of the national GDP, adding that most of them operate informally, which risks their survival and threatens the economy.
Due to high levels of informality, MSMEs face a number of challenges, including limited access to financing. For this, Nakalema says UDB has to work a little harder. “My dear MD, you still need many other strategies to ensure that the level of informality is brought down. Today marks a significant milestone for the Bank and the participating businesses. We are delighted to see these enterprises reach this stage of readiness. The knowledge and skills gained through EDP will enable them to navigate market complexities and attract the investment necessary for their growth,” said Ms Patricia Ojangole, the Managing Director of UDB.
Conducted in partnership with the Uganda Management Institute (UMI) and Makerere University Business School’s Entrepreneurship, Innovation & Incubation Centre (MUBS-EIIC), the overall objective of EDP is to train, support, and incubate selected private businesses, enhancing their readiness for credit facilities from UDB and other financial institutions.
“Before joining EDP, I was operating my business in a jua kali manner. My business was not registered, nor did I have clear book records. I didn’t appreciate business concepts. After this training, things have changed. I am now running my business efficiently; I have drafted a business proposal, my records are getting into order, I remit my taxes, and I am starting to realize the benefits of running a business professionally,” said Katherine Nassali, the proprietor of Legacy Trust Limited.
EDP provides participants with essential skills in management best practices, corporate governance, record-keeping, risk management, and financial management, among others. This comprehensive approach establishes a robust foundation for their future success, ensuring that they are well-equipped to navigate the complexities of the market and attract the necessary investment for their growth.
“Today, we celebrate not only the completion of this program but the beginning of a new chapter for these enterprises. EDP has served as a beacon of opportunity and growth, equipping businesses with the skills and knowledge needed to excel in a competitive environment. Our commitment to supporting these businesses reflects our belief in their potential to drive economic transformation and create a lasting impact. We eagerly anticipate today’s graduates’ positive contributions to our economy. I commend UDB for undertaking this novel intervention that aligns with their mandate to spur the country’s socio-economic development,” said the Chief Guest Col. Edith Nakalema in her closing remarks.
This training is based on the Bank’s wider knowledge of the business, the operating environment, and experience gained from funding, implementing, and monitoring such projects. The program is implemented alongside the Bank’s partners, including the Uganda Registration Services Bureau (URSB), Uganda National Bureau of Standards (UNBS), Uganda Revenue Authority (URA), Uganda Investments Authority (UIA), National Social Security Fund (NSSF), and Uganda Women Entrepreneurs’ Association Limited (UWEAL).