Uganda backs new Africa finance push

KAMPALA — Uganda has joined other African countries in calling for stronger financial systems, increased private investment and greater control over the continent’s development financing during the African Development Bank Annual Meetings, according to a May 27 official statement from the Ministry of Finance. 

The discussions took place during the first and second sittings of the African Development Bank’s Board of Governors, where leaders considered governance matters inside the bank and held a wider policy dialogue on Africa’s economic future.

Uganda was represented by Temporary Governor Mustapha Achidri, an Assistant Commissioner at the Ministry of Finance.

The meetings brought together finance leaders from across the continent at a time when African economies are facing pressure from rising borrowing costs, growing debt obligations, climate financing needs and increased competition for global investment.

At the centre of the second sitting was a dialogue with African Development Bank President Dr Sidi Ould Tah under the theme: “Rebuilding Africa’s Agency in a Fragmented World – The Four Cardinal Action Points.”

The message from the meeting was broader than institutional policy.

It focused on a long-running question facing many African economies, including Uganda: how can countries finance growth, infrastructure and jobs more sustainably while relying less on expensive borrowing and external shocks?

That matters directly for Uganda.

Government borrowing costs, access to affordable capital and investment decisions shape public spending on roads, electricity, healthcare, schools and economic projects.
When financing becomes more expensive, governments often face harder choices on spending priorities.

When access to capital improves, countries have more room to invest in infrastructure and business growth.

During the discussions, governors reaffirmed what the ministry described as Africa’s collective interests in global governance, trade, finance, climate negotiations, peace and security.

They also discussed long-term priorities linked to Agenda 2063, the African Union’s development framework, and the African Development Bank’s Ten-Year Strategic Plan covering 2024 to 2033.

In his opening remarks, Dr Tah said Africa must strengthen efforts to mobilise resources for development.

He said the African Development Bank would continue playing what the ministry described as a coordinating role in mobilising resources from within Africa as well as from bilateral and multilateral partners.

He also called for stronger African financial institutions and deeper financial markets as part of what he described as a new financing architecture for the continent.

In simpler terms, leaders discussed how African countries can strengthen their own banks, capital markets and financial systems so development projects depend less on costly outside financing.

That debate is especially important as many countries continue balancing debt repayments with pressure to fund infrastructure and create jobs.

Governors also urged the bank to place stronger emphasis on mobilising private capital.
That includes encouraging investment from businesses and financial institutions into sectors seen as critical for growth.

Among the areas discussed were resilient infrastructure, competitive regional value chains, financial sovereignty, reducing Africa’s cost of capital, risk-sharing mechanisms, youth employment, debt management, domestic revenue mobilisation and large-scale green transition planning.

For ordinary Ugandans, those policy discussions may feel distant.
But they often shape practical realities.

A lower cost of capital can make borrowing for infrastructure more manageable.
Private investment can influence job creation.

Debt management affects how much public revenue goes to repayments versus services.
And regional financing partnerships often determine how quickly major projects move.
The emphasis on youth employment was also significant.

Uganda has one of Africa’s youngest populations, and financing decisions made through regional institutions increasingly affect sectors where job creation is expected.