Uganda Development Bank (UDB) has launched a groundbreaking initiative aimed at reshaping the financial sector to support sustainable and inclusive economic transformation.
The Reshaping Industries for a Sustainable Economy (RISE) initiative, which focuses on sustainability standards and certification, seeks to drive innovation, enhance value addition, and support Uganda’s Vision 2040 strategy for long-term growth.
Speaking at the event, Patricia Ojangole, Managing Director of UDB, said the RISE Platform is a transformative approach to financing that rethinks the traditional model where entrepreneurs and businesses seek out financial institutions in hopes of securing funding.
“Instead, RISE will bring together financial institutions to proactively generate demand for sustainable finance by transforming key societal, economic, and environmental challenges into world-changing business opportunities. Serving as a financing pool for critical industries such as technology, energy, agriculture and food ecosystems, finance, and policy frameworks, RISE aims to drive sustainable development by fostering innovation, resilience, and long-term impact,” she stated.
She emphasised the bank’s commitment to 21st-century solutions that address social, economic, and environmental challenges. “No organisation can create meaningful impact alone. We must work together to rethink financial strategies and public policies that foster sustainability,” she stated.
Ojangole noted that UDB is the first development finance institution in Africa to adopt this initiative, positioning Uganda as a leader in sustainable banking.
A Shift Towards Knowledge-Driven Growth
The event also featured Mr. Arshad Rab, CEO and Chairman of the International Sustainability Council, who highlighted the urgent need for Uganda to transition from a low-skilled economy to a knowledge and technology-driven industrial base.
“We are laying the foundation for a platform that empowers businesses, startups, and financial institutions to innovate and deliver solutions to economic and environmental challenges,” Rab said. He emphasised that sustainable finance should not just fund traditional industries, but also support emerging sectors that drive global competitiveness.
“Today marks the beginning of an opportunity to transform Uganda’s economy from a low- to a high-income economy, driven by a high-tech industrial base. It’s a chance to shift from a low-skilled economy to one fueled by knowledge, talent, and skilled development. It’s an opportunity to place high-value addition through science and technology at the core of public policy, investment, and business innovation. We are here to seize this moment by launching a new platform: Reshaping Industries for a Sustainable Economy, or RISE. RISE aims to empower anyone in Uganda with a breakthrough idea, a resolve to excel, and the ability to deliver solutions to socioeconomic, environmental, and climate challenges. It offers them the chance to build a sustainable future—for themselves, their communities, our country, and the world,” noted Rab.
He added: “Currently, financial institutions primarily operate under a “demand capture” model, where entrepreneurs and corporations present projects for funding. If deemed viable and backed by sufficient collateral, financing is provided. While effective in meeting existing market demand, this approach fails to fully leverage opportunities emerging from the industrial revolution and the transition to a sustainable economy. It does not foster groundbreaking industries with high returns, nor does it drive the creation of strategic export industries or innovations shaping a green global future. Without this shift, economies stagnate, societies miss out on technological advancements, and industries fail to generate new markets or solutions for emerging societal challenges.”
The new sustainability certification framework introduced by UDB will enable banks to identify and invest in high-value projects that align with climate resilience, social impact, and economic transformation.
Technology and Industrial Innovation Key to Economic Growth
Monica Musenero, Minister for Science, Technology, and Innovation, praised the initiative, emphasising its role in Uganda’s transition towards an innovation-led economy.
“For too long, we have relied on standardised models that limit growth. We must shift towards a financing model that fosters research, development, and industrial innovation,” she said.
Musenero challenged financial institutions to fund high-tech industries and support startups in areas like artificial intelligence, clean energy, and biotechnology.
“This is the vision I’ve been waiting for—it’s my rallying cry to shake up banking. Innovators shouldn’t be relegated to “social responsibility” crumbs; they deserve mainstream funding. Uganda’s economy is stagnant—new clients just shuffle between banks. But a knowledge economy is limitless, like an unfolding scroll of opportunities. The challenge is: Are we ready to seize them?”
A Bold Step for Uganda’s Future
Stephen Hamya, Chief Internal Auditor at UDB, hailed the initiative as a bold step towards sustainable finance. “This is not just about banking; it’s about shaping Uganda’s future. Sustainable financing will transform industries, create jobs, and improve the quality of life for Ugandans,” he said.
He highlighted UDB’s past successes, including the Climate Facility and Electricity Connection Programme, as examples of the bank’s commitment to social and economic transformation.
The launch of the sustainability initiative marks a turning point in Uganda’s financial landscape. With a strong focus on technology, sustainability, and economic inclusivity, the program is expected to redefine banking and support Uganda’s journey towards a high-income economy.
