Finance Minister Henry Musasizi has urged Absa Bank Uganda to work towards providing cheaper financing to both the public and private sectors to help drive Uganda’s Tenfold Growth Strategy.
Musasizi made the remarks during a meeting with Absa Bank’s leadership, led by Board Chairman Keith Kalyegira and Managing Director David Wandera, to discuss how the bank can support the country’s long-term economic development agenda.
The minister commended Absa Bank for its contribution to Uganda’s economy but said reducing lending rates should become one of its priorities.
He said affordable financing would attract more government business while helping to expand economic activity across the country.
According to Musasizi, Uganda needs cheaper capital to support key growth sectors, including agro-industrialisation and tourism. He said the country also requires affordable financing for infrastructure projects such as roads and railways, as well as industrial parks that support manufacturing and agro-processing.
Kalyegira said Absa Bank shares the government’s ambition of building a $500 billion economy. He said the bank is ready to support the country’s anchor sectors under the ATMS strategy and help mobilise funding through alternative financing options such as Sukuk.
He added that Uganda should maintain a predictable investment climate and stable tax regime to achieve its development targets.
Wandera said Absa is the country’s third-largest bank and remains committed to attracting international investors into Uganda. He said the bank will continue supporting the government’s Tenfold Growth Strategy by financing priority sectors and mobilising investment.
The meeting focused on strengthening cooperation between the government and the banking sector to increase investment and accelerate economic growth.