Rising dollar demand from oil-sector companies and fuel importers is putting renewed pressure on the Uganda shilling, with the currency vulnerable around UGX3,740-3,750 to the dollar as demand for hard currency outpaces available supply.

The pressure is part of a broader divergence across African foreign-exchange markets, where currencies are increasingly being shaped by the strength, timing and reliability of dollar inflows rather than by a common regional trend.

London-based market intelligence and news platform Allen Dreyfus says Uganda is experiencing a familiar mismatch between demand for dollars and available foreign-currency supply, with fuel importers and commercial banks among those competing for hard currency.

The demand comes as Uganda continues to prepare for oil production, creating additional foreign-exchange requirements for companies involved in the sector, while the wider import bill adds to pressure on the local currency.

“The bigger message? Africa’s currencies are increasingly separating into those supported by dependable dollar inflows and those scrambling to ration scarce ones,” Dreyfus said.

For Uganda, the immediate concern is whether dollar supply can keep pace with corporate and import-related demand without placing further pressure on the shilling.

The currency is therefore approaching the UGX3,740-3,750 per dollar range identified by Dreyfus as a key pressure point.

Ghana faces corporate FX backlog

Dr. Johnson Pandit Asiama Governort Bank of Ghana

Ghana is confronting a similar imbalance, although the sources of pressure differ. The cedi has weakened from about 11.05 to around 11.15 to the dollar amid a growing backlog of corporate foreign-exchange orders.

According to Dreyfus, energy-sector demand, coupon and dividend repatriation are colliding with insufficient inflows from the extractive sector.

Heavy bidding at Bank of Ghana foreign-exchange auctions is another indication that demand for dollars remains strong.

The relatively modest movement in the cedi therefore masks a potentially more significant problem beneath the surface; of persistent demand for foreign currency that is not being fully met through normal market supply.

Nigeria gets support from oil flows and foreign investors

Nigeria offers a contrasting picture to Uganda and Ghana, with stronger dollar inflows helping support the naira, which was trading at about 1,344 to the dollar officially.

The country’s oil sector has received an unexpected boost from the disruption to global fuel markets following the Gulf crisis, particularly through the rapid expansion of Dangote Refinery’s exports of refined products.

European buyers have increasingly turned to Nigeria for aviation fuel as disruptions to traditional Middle Eastern supply routes forced refiners and traders to seek alternative sources. Dangote Refinery has emerged as one of the main beneficiaries, becoming Europe’s largest jet-fuel supplier in June and July.

Yemi Cardoso, Governor Centrl Bank of Nigeria

The shift has helped strengthen Nigeria’s position in the international refined-products market. Nigerian seaborne petroleum-product exports have increased seven-fold since 2023, according to the US Energy Information Administration, with the Dangote refinery accounting for much of the increase.

For the naira, the stronger oil and refined-product flows are being reinforced by foreign investors buying high-yielding domestic securities. The currency was trading at around 1,344 to the dollar officially, with further gains possible as long as elevated interest rates continue to attract foreign capital.

Dreyfus sees room for further gains, but cautions that the naira’s strength remains dependent not only on oil-related dollar inflows but also on the continued willingness of foreign investors to hold high-yielding Nigerian assets, making the rally potentially expensive to sustain if the interest-rate advantage narrows.

Nigeria illustrates the other side of Africa’s FX divide. While Uganda and Ghana are dealing with periods in which dollar demand is outstripping supply, Nigeria is benefiting from stronger foreign-exchange inflows generated by its expanding role in the global refined-fuel trade.

Remittances offer Kenya support, Kwacha faces political headwinds

Kamau Thugge Governor Central Bank of Kenya

Kenya’s shilling could also strengthen modestly as diaspora remittances increase dollar supply and month-end demand for foreign currency eases.

The Kenyan case again highlights the importance of predictable inflows. Remittances have become a significant source of foreign exchange for the country, providing support when corporate and import demand increases.

Zambia, meanwhile, is showing a different pattern. Political tensions surrounding President Hakainde Hichilema’s disputed re-election have interrupted the kwacha’s recent appreciation, but the copper-producing economy has not yet entered a significant currency retreat.

Dreyfus expects the kwacha to consolidate around 19.18 to the dollar rather than resume a sharp decline.

Flows matter more than headline rates

The divergent performances across Uganda, Ghana, Nigeria, Kenya and Zambia point to a broader shift in how African currencies are being driven.

Countries with dependable sources of dollar earnings—whether from oil, minerals or remittances—have greater capacity to absorb periods of strong demand for foreign currency.

Those with weaker or less predictable inflows are more exposed when importers, corporates and investors simultaneously increase their demand for dollars.

For Uganda, the immediate test will be whether oil-related and other foreign-exchange inflows can eventually provide sufficient supply to offset the growing demand generated by the country’s investment and import requirements.

For investors, Dreyfus argues, exchange-rate movements alone may not tell the full story.

“Watch the flows — they may tell you more than the exchange rate itself,” he said.

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MTN’s decision to return R6 billion ($375 million) to shareholders underscores the strength of its African operations, even as the telecoms group continues to carry the financial and geopolitical cost of its long-running exposure to Iran, according to London-based market intelligence and news platform Allen Dreyfus.

MTN owns a 49pc stake in Irancell, a joint venture between South Africa’s MTN and an Iranian government-controlled consortium. But US sanctions, coupled with the sharp depreciation of the Iranian rial, have trapped significant shareholder value in the volatile market, limiting MTN’s ability to exercise its exit option.

Dreyfus reports that the continent’s largest mobile operator has approved the share buyback after reporting a 21.3pc increase in adjusted half-year profit, with adjusted headline earnings per share rising to 793 cents from 654 cents.

Investors responded positively, pushing MTN’s share price 4.61pc higher to R201 as the buyback reinforced confidence in the group’s cash-generating capacity.

For MTN, however, the headline numbers conceal a more complicated picture according to Dereyfus.

Reported headline earnings per share fell 5.8pc after the group recognised a R3.9 billion non-cash impairment on its 49pc stake in Irancell, its Iranian associate. The impairment reflects the impact of hyperinflation and the sharp depreciation of the Iranian rial.

Currency weakness elsewhere in MTN’s footprint also continued to weigh on performance, with foreign-exchange losses in South Sudan highlighting the broader risks of operating across volatile frontier markets.

But Iran remains the more difficult problem to resolve. MTN has been working to complete its withdrawal from the Middle East and focus its portfolio increasingly on Africa. Its exit from Iran, however, has been complicated by US sanctions, leaving approximately R880 million in dividends trapped in the country since 2018, according to Dreyfus.

That creates an unusual contrast in MTN’s capital allocation story – while the group is sufficiently confident in its African cash flows to commit R6 billion to buying back its own shares, a substantial pool of money generated by an overseas investment remains inaccessible.

“The distinction is important for investors assessing MTN’s longer-term strategy,” says Dreyfus.

“With more than 317 million subscribers across 19 markets, the group remains deeply exposed to the growth of Africa’s consumer economy, particularly through mobile data, digital services and financial technology. Its African operations provide the underlying growth story supporting shareholder returns.”

The Iran exposure, by contrast, represents a legacy investment whose strategic value has diminished as MTN has sought to simplify its portfolio and concentrate on markets where it can exercise greater operational and financial control.

“The buyback is a strong vote of confidence in MTN’s ability to generate cash from its core African operations, but it also highlights the unfinished business around Iran,” said Dreyfuss.

For investors, the next question may therefore be less about whether MTN can return capital and more about how quickly it can remove the remaining obstacles to a cleaner, Africa-focused balance sheet.

The R6 billion buyback signals that MTN can absorb the financial strain associated with its legacy exposures. Closing the Iran chapter, however, could give investors a clearer view of the African growth story the group increasingly wants to present.

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Uganda’s public procurement system must move beyond compliance with tendering rules and become a deliberate instrument for creating local wealth, developing domestic businesses and advancing sustainable economic growth, Benson Turamye, the Executive Director of the Public Procurement and Disposal of Public Assets Authority (PPDA) has said.

Turamye argues that the scale of public spending alone will not deliver Uganda’s ambition of growing the economy tenfold to USD500 billion by 2040 unless procurement creates meaningful opportunities for Ugandan businesses, workers and communities.

Turamye was speaking at a Suppliers’ Forum organised by Uganda Development Bank (UDB) in Kampala under the theme “Enhancing Supplier Engagement in Public Procurement for Sustainable Development.”

He argued that procurement should be viewed as an economic development tool rather than an administrative process centred on tender notices, bid documents and compliance.

“Sustainable development is the destination, supplier engagement is the bridge, and procurement is the vehicle that gets you there,” Turamye said.

His argument places local content at the centre of the procurement-to-development chain, particularly as Government increases investment in infrastructure and productive sectors.

Turamye pointed to infrastructure projects that can undermine their own development objectives when social and environmental considerations are overlooked. Roads, for example, may be constructed without adequate consideration for surrounding communities, while poorly designed drainage can flood gardens and abandoned borrow pits can become health hazards.

The implication, he said, is that the quality of procurement must ultimately be judged by the development outcomes it produces, not simply by whether a contract was awarded in accordance with regulations.

Procurement as an economic multiplier

The scale of public procurement gives the sector considerable influence over Uganda’s domestic economy.

According to PPDA, at least 65pc of Uganda’s national budget is spent through procurement, equivalent to an estimated 15–20pc of GDP. This makes public purchasing one of the country’s largest potential channels for stimulating local enterprise, employment and value creation.

For UDB, strengthening this link is particularly important because the bank finances businesses and productive sectors that depend on functioning domestic supply chains.

UDB Managing Director Patricia Ojangole said the bank views its suppliers as strategic partners rather than simply contractors or vendors.

“Every project delivered, every system implemented, every facility maintained, every service rendered contributes to the bank’s ability to finance enterprise growth, strengthen the productive sectors that we support and improve livelihoods across Uganda,” she said.

Ojangole said effective procurement can help build resilient value chains, support local enterprises and encourage responsible private-sector participation in Uganda’s economic transformation.

That, however, requires a supplier base that is capable of competing on quality, integrity and performance.

The forum comes as procurement systems across Africa are being reshaped by several trends, including open contracting to improve transparency, professionalisation through training and certification, deliberate promotion of local content and the growing adoption of green and sustainable procurement.

For Ugandan suppliers, the changing environment means that winning public contracts increasingly requires more than submitting a bid.

Participants at the UDB forum were taken through the procurement regulatory framework, proactive engagement during the bidding process, self-assessment, compliance and submission discipline, as well as the rights and obligations of both bidders and procuring entities.

The discussions also brought together procurement professionals from institutions including Kampala Capital City Authority, Bank of Uganda, Electricity Regulatory Authority and PPDA.

The broader message from the forum was that Uganda’s procurement system sits at a critical intersection between public expenditure and economic transformation.

With a substantial share of national resources flowing through procurement, ensuring that more of that spending generates domestic enterprise, skills, jobs and sustainable value chains could make procurement an important multiplier of the country’s Tenfold Growth Strategy.

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Stanbic Bank Uganda is expanding access to unsecured credit, combining higher borrowing limits with faster digital loan processing as it seeks to reach households, entrepreneurs and farmers with financing needs.

The move, launched under a revamped Oli in Charge campaign, comes as households prepare for the third school term and businesses and farmers enter the final quarter of the year with financing needs ranging from working capital to agricultural investment.

Under the enhanced offering, salaried customers can access unsecured loans of up to UGX350 million, repayable over a period of up to 120 months. Non-salaried customers, including entrepreneurs and farmers, can access unsecured financing of up to UGX250 million.

The bank is also pushing digital channels as a key route to expanding access to credit. Customers can apply for loans through the Stanbic Mobile App and USSD platform, with loan decisions available in as little as two minutes, according to the bank.

Yvone Namutosi, Head of Digital and E-Commerce at Stanbic Bank Uganda, said the shift was intended to reduce the friction traditionally associated with borrowing.

“At Stanbic, we are reimagining how customers access credit. Through our digital platforms, customers can apply for a loan from wherever they are and receive a response in as little as two minutes,” Namutosi said.

The bank said digital lending reduces paperwork and the need for customers to visit branches, while allowing borrowers to manage their finances remotely.

The campaign also provides for Instant Cash loans of up to UGX5 million through Stanbic Mobile Banking, with eligible customers benefiting from interest-free access under the campaign terms.

The focus on smaller digital loans is significant for customers facing short-term liquidity requirements, while the larger unsecured facilities are positioned to support longer-term household and business financing needs.

Stanbic is also encouraging customers to use its digital platforms for school-fee payments and other essential transactions. Its mobile app, USSD platform, internet banking and agency network provide alternatives to cash-based payments and branch visits.

Sylvia Atuhairwe, Head of Distribution at Stanbic Bank Uganda, said the initiative was designed around the different financial pressures facing customers.

“Behind every loan application is a parent preparing for a school term, a business owner seeking to expand, a farmer investing in production, or a family planning for the future,” Atuhairwe said.

The expansion of unsecured lending comes as banks increasingly use digital channels to widen access to financial services while lowering the time and administrative costs associated with conventional credit.

For entrepreneurs and farmers, the availability of unsecured financing can be particularly relevant where borrowers may have viable business or production opportunities but limited conventional collateral.

Stanbic is, however, pairing the expanded lending proposition with insurance protection, arguing that increased access to credit should be accompanied by measures to protect borrowers and their families against unforeseen risks.

Dogo Singh, Insurance Manager at Stanbic Bank Uganda, said financial protection should form part of the borrowing decision.

“A loan can help you acquire an asset, invest in a business, or achieve an important personal goal, but insurance helps ensure that those achievements are protected,” Singh said.

The campaign forms part of Stanbic’s wider 35th anniversary activities in Uganda, with the bank highlighting its focus on financial inclusion, enterprise development and digital banking.

The latest push illustrates how competition in Uganda’s banking sector is increasingly moving beyond the availability of credit to the speed, convenience and accessibility with which customers can obtain and manage it.

For the broader industry, the challenge will be to translate faster digital credit into productive borrowing while maintaining responsible lending and ensuring that expanded access contributes to household resilience, enterprise growth and agricultural production.

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UDB board approves UGX63bn recapitalisation after posting a 9.7pc rise in 2025 profit and disbursing UGX502.2bn to Uganda’s private sector.

Uganda Development Bank (UDB) is set to strengthen its lending capacity after its Board approved a UGX63 billion recapitalisation from the lender’s 2025 earnings, and 165pc increase in share capital to UGX5 trillion.

The decision followed a year of strong financial performance in which the national development finance institution posted a profit after tax of UGX63.4 billion for the year ended December 2025, a 9.7pc increase over 2024.

The results were presented at UDB’s Annual General Meeting held at the Ministry of Finance, Planning and Economic Development on Thursday.

The recapitalisation is expected to give the bank greater capacity to finance large-scale investments in sectors considered critical to Uganda’s economic transformation.

UDB Managing Director Dr Patricia Ojangole said the lender’s performance demonstrated the role of development finance in supporting investments that may not be adequately served by conventional commercial lending.

“Development finance delivers its greatest value when it unlocks opportunities that commercial markets alone cannot provide,” Ojangole said.

She said UDB’s investments were intended to strengthen productive enterprises, create jobs, expand value addition and improve incomes.

The bank’s total assets grew by 27pc to UGX2.26 trillion in 2025, from UGX1.78 trillion a year earlier, while total equity rose 24.8Pc to Shs1.89 trillion.

Net loans and advances increased by about 7pc to UGX1.63 trillion, reflecting continued expansion of UDB’s financing to productive sectors.

Ojangole attributed the performance to Uganda’s economic expansion, prudent management and the bank’s increased focus on agro-industrialisation, which now accounts for about 65pc of its loan book.

The bank’s loan-loss ratio stood at 6.7pc, which management said remained within its risk appetite and regulatory limits.

UGX502 billion disbursed

UDB approved UGX518.4 billion in new financing for 120 projects during the year and disbursed UGX502.2 billion, a 29pc increase from 2024.

Nearly two-thirds of its financing went to agriculture, agro-industrialisation and manufacturing, sectors identified as critical to raising productivity, expanding value addition and reducing reliance on imported manufactured goods.

The bank’s active customer base increased to 689 enterprises operating across 105 districts.

The financing translated into a significant reported economic impact. Enterprises supported by UDB created and sustained 69,202 jobs during the year, a 24.6pc increase and one of the strongest annual employment impacts recorded by the bank.

The enterprises generated production worth UGX6.26 trillion and profits exceeding UGX1.16 trillion.

Their tax contributions rose by 22.5pc to UGX387 billion, while foreign exchange earnings increased from the equivalent of UGX1.11 trillion to UGX1.84 trillion.

Finance Minister Henry Musasizi said the Government’s priority was now to make development finance cheaper and more accessible to businesses.

He said the target was to bring UDB’s lending rate down from the current 12pc to single digits, while shortening loan approval times and expanding the range of eligible borrowers, including small and medium enterprises.

The Government also intends to mobilise additional resources for the bank, including external borrowing backed by Government guarantees.

“Our aim is to have a strong bank that is able to provide cheap credit to investors in big projects in manufacturing, agro-industrialisation, hotels and tourism, among others,” Musasizi said.

The Minister commended UDB for translating Government capital into investments that are expanding industry, supporting value addition and strengthening the private sector in line with the National Development Plan IV and the Ten-Fold Growth Strategy.

The bank also strengthened its funding base through partnerships with bilateral and multilateral development institutions and launched the Reshaping Industry for Sustainable Economy (RISE) initiative to turn development challenges into investment-ready projects.

UDB’s performance comes against a favourable macroeconomic backdrop, with Uganda’s economy growing by 6.3pc in 2025 while inflation declined to 3.3pc.

The bank also retained strong external recognition, including an A+ rating from the Association of African Development Finance Institutions and a AA+ (Uga) national rating from Fitch Ratings, described as the highest available on Uganda’s national scale.

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The Bank of Uganda has unveiled plans to introduce a Diaspora Bond and a National Switch for payments as part of a broader strategy to transform billions of shillings sent home annually by Ugandans abroad into long-term investment capital for national development.

Speaking during Equity Bank Uganda’s 2026 Diaspora Webinar on Saturday, Bank of Uganda Deputy Governor Prof. Augustus Nuwagaba said the central bank is developing a suite of investment and payments initiatives aimed at reducing the cost of remittances while creating secure opportunities for Ugandans abroad to invest directly in the country’s economy.

The proposals come as Uganda seeks to channel record diaspora remittances—estimated at about USD2.5 billion (approximately IUGX9.3 trillion) annually—from largely supporting household consumption towards financing infrastructure, enterprise development and other productive investments.

“Our objective is to move from remittances to investment capital,” Nuwagaba said during the webinar, which was hosted by Equity Bank Uganda under the theme, “From Remittances to Investment Capital: Unlocking Diaspora Wealth for Uganda’s Economic Transformation.”

The Deputy Governor disclosed that the proposed Diaspora Bond would allow Ugandans living abroad to invest safely in government-backed securities while contributing to national development.

He also revealed that the central bank is preparing a Sukuk Bond, structured in accordance with Islamic finance principles, alongside a Uganda Savings Bond that would lower the entry threshold for ordinary Ugandans seeking to invest in government securities.

Beyond investment products, Nuwagaba said the Bank of Uganda is strengthening the National Payments System through the planned introduction of a National Switch that will enable faster, more efficient and seamless movement of money across financial institutions.

The initiative is expected to reduce friction in domestic payments and contribute to lowering the cost of transferring money into Uganda—a longstanding concern among members of the diaspora.

Nuwagaba encouraged Ugandans abroad to invest in sectors that can be managed efficiently from overseas, including selected real estate projects, financial technology, digital infrastructure and payment systems, rather than relying solely on remittances to support household consumption.

Drawing lessons from countries such as Singapore, South Korea, Nigeria, Ethiopia and the Philippines, he said Uganda could similarly harness diaspora savings to finance economic transformation through disciplined investment and appropriate financial instruments.

He also proposed the establishment of a national Diaspora Day to recognise the contribution Ugandans abroad continue to make to the country’s economy.

Opening the webinar, Equity Bank Uganda Managing Director Gift Shoko said the bank was repositioning itself from being merely a remittance partner to becoming an investment partner for Ugandans living abroad.

“Our goal is to support you not only to send money home, but to invest in Uganda and contribute to the country’s long-term transformation,” Shoko said.

EBUL Ceo Gift Shoko

He said Equity Bank Uganda now serves more than 2.1 million customers through 50 branches, nearly 10,000 banking agents and thousands of merchants nationwide.

Shoko also highlighted progress made since the bank’s previous diaspora engagement in March 2025, including collaboration with the National Identification and Registration Authority (NIRA) to improve access to National Identity Cards for Ugandans abroad, expansion of financial inclusion services in the Middle East and a reduction in remittance costs from about 13 per cent to approximately 9 per cent.

Also addressing the webinar, Joseph Enyimu, Commissioner for Economic Development Policy and Research at the Ministry of Finance, Planning and Economic Development, said the diaspora would play a critical role in Uganda’s ambition to build a USD500 billion economy.

He identified investment opportunities under the government’s ATMS framework covering agro-industrialisation, tourism, minerals, oil and gas, as well as science, technology, innovation, ICT and the creative industries.

Enyimu urged Ugandans abroad to channel more of their savings into businesses, agriculture, real estate, government securities, small and medium enterprises and collective investment schemes instead of limiting remittances to household support.

The webinar attracted Ugandans living across Europe, North America, the Middle East, Asia, Australia and East Africa, underscoring the growing importance of the diaspora as one of Uganda’s largest sources of foreign exchange and an increasingly strategic source of investment capital.

The engagement formed part of Equity Bank’s, wider strategy of connecting Ugandans abroad with investment opportunities at home through dedicated banking products, financing solutions and advisory services. For policymakers, however, the discussions signalled a broader ambition to convert diaspora remittances, which now account for 2.8pc of Uganda’s GDP, into a pillar of Uganda’s long-term economic development.

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Bank of Uganda Deputy Governor Prof. Augustus Nuwagaba will return to the national conversation on diaspora investment this weekend, leading discussions on how Uganda can transform record remittance inflows into productive capital for economic growth.

Nuwagaba will headline Equity Bank Uganda’s latest Diaspora Investment Webinar on Saturday, August 1, marking his second appearance in the lender’s virtual engagement series that has become an increasingly influential platform for connecting Ugandans abroad with investment opportunities back home.

His second appearance in Equity Bank Uganda’s Diaspora Investment Webinar series comes as Uganda receives record remittance inflows, with citizens abroad sending home USD2.5 billion (about UGX9.3 trillion) in 2025—equivalent to 3.8pc of GDP and making diaspora capital one of the country’s largest sources of foreign exchange.

By bringing back the central bank’s deputy governor, Equity Bank appears to be signalling that the conversation has matured beyond encouraging money transfers to addressing how diaspora savings can finance businesses, commercial agriculture, manufacturing, real estate and other productive sectors capable of generating jobs and expanding the economy.

Nuwagaba is expected to share the Bank of Uganda’s perspective on the growing role of diaspora investment in Uganda’s economic transformation, while outlining the policy environment supporting greater participation by Ugandans living abroad.

For years, remittances have largely financed education, healthcare, housing and daily household consumption. While those social benefits remain significant, policymakers and financial institutions increasingly view the billions flowing into the country annually as patient capital that could unlock entrepreneurship and accelerate industrialisation if channelled into long-term investments.

Equity Bank says the webinar is designed to equip Ugandans abroad with practical investment knowledge, expert guidance and financial solutions that enable them to invest confidently from wherever they live.

The lender is also positioning itself beyond its traditional role of facilitating money transfers by offering investment advisory services, digital banking platforms and tailored financial products that allow diaspora customers to save, invest and manage assets remotely.

The strategy reflects a broader evolution within Uganda’s banking industry as lenders compete for a share of the growing diaspora market, whose financial contribution has steadily risen alongside increased migration and improved digital payment channels.

The participation of the central bank’s deputy governor is expected to reinforce confidence in Uganda’s macroeconomic outlook while highlighting how sound monetary policy, financial innovation and secure digital banking can work together to attract more diaspora capital into productive sectors.

For investors abroad, Nuwagaba’s participation also sends an important policy signal. As the official responsible for monetary stability alongside the Governor, his presence reinforces confidence in Uganda’s macroeconomic outlook and the financial system that underpins long-term investment decisions.

The webinar also builds on Equity Bank Uganda’s growing profile in diaspora banking. Earlier this year, the bank was recognised as Corporate Business of the Year at the African Business Chamber African Business Awards in London for its contribution to financial inclusion, cross-border banking, trade facilitation and diaspora investment.

With remittances now rivalling some of Uganda’s largest export earners, the national conversation is increasingly shifting from how much money Ugandans abroad send home to how effectively those billions can finance enterprises, create jobs and build lasting wealth. Nuwagaba’s return to the webinar reflects that broader shift—from remittances as family support to diaspora capital as an engine of economic transformation.

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The High Court in Kampala has dismissed an application by Dei Industries International Ltd, seeking to halt an independent audit in a long-running commercial dispute with Equity Bank Uganda Ltd and Equity Bank Kenya over disputed loan facilities.

In a ruling delivered by Justice Susan Abinyo, the court found that Dei Industries had not presented sufficient evidence to support claims that the independence of the audit process had been compromised.

The decision allows the court-ordered audit process to remain part of the proceedings as the main suit moves towards a full hearing scheduled for November 13, 2026.

The dispute dates back to August 2, 2024, when Dei Industries International Ltd, Dei Biopharma Ltd and Dr Magoola sued Equity Bank Uganda and Equity Bank Kenya over several loan facilities and current accounts.

The companies contend that the banks improperly managed their loan accounts following a series of restructurings and consolidations. They are asking the court to establish the correct outstanding balances, if any, and to order the banks to reverse any sums allegedly debited unlawfully from their accounts.

They also sought orders restraining the banks from undertaking loan recovery or enforcement actions pending determination of the case.

As part of efforts to resolve the accounting questions at the centre of the dispute, both parties initially agreed that KPMG would conduct an independent audit of the loan facilities. The agreement was adopted by the court in December 2024, and KPMG subsequently completed its work and submitted a report.

However, the parties later disagreed over the process, prompting Dei Industries and Dr Magoola to successfully apply for the KPMG appointment to be set aside. The court subsequently directed the Institute of Certified Public Accountants of Uganda (ICPAU) to nominate another independent audit firm.

ICPAU appointed Clayton & Company of Jinja, which proceeded to issue terms of reference, receive documents from the parties and prepare an audit report that was filed before the court.

Before the report was submitted, Dei Industries and Dr Magoola filed another application seeking to revoke ICPAU’s role in the process. They argued that the institute’s independence had been compromised and also sought permission to amend their original plaint.

Equity Bank opposed the application, maintaining that the central issue before the court remains the determination of the actual amounts owed under the various loan facilities. The banks argued that an independent audit was necessary to establish the status of the accounts and resolve the competing claims.

In her ruling, Justice Abinyo rejected the applicants’ challenge to the affidavit filed by Equity Bank Uganda’s Head of Legal, Elizabeth Nayiga, holding that she was competent to swear the affidavit based on information available to her in the course of her duties.

The judge also found that ICPAU had fulfilled the court’s earlier directive by independently appointing Clayton & Company without requiring consultation with either party.

Justice Abinyo said no evidence had been presented to demonstrate that ICPAU had failed to act independently in carrying out its mandate.

The court further declined to revoke ICPAU’s appointment or permit amendments to the original plaint at this stage, noting that any subsequent developments relating to payments or account transactions could be addressed through evidence during the hearing of the main suit.

With the application dismissed, attention now shifts to the substantive hearing, where the court will consider the parties’ competing claims over the management of the loan facilities and determine the amounts, if any, outstanding between the parties.

The ruling marks another procedural milestone in a case that has attracted considerable attention within Uganda’s banking and business sectors because of the size of the lending relationship and the broader questions it raises about loan reconciliation, restructuring and independent financial audits in commercial disputes.

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In a paper published this week, Martin Schindler, Nikola Spatafora, and Andrew Tiffin think AI can boost productivity, create better jobs, and improve public services in sub-Saharan Africa, but realizing these gains will require reliable power, affordable internet, stronger skills, and rules people trust.

Titled Africa Can Grow Faster With AI—If It Moves Now, the paper from the onset states that AI will reshape the global economy, but questions whether Africa will ride the wave or gets left behind.

It states: ‘Our research shows AI’s promise, but it also points to significant risks and challenges. At current levels of preparedness, we estimate that AI will add just 0.2 percent to the region’s GDP over the next decade—little more than a rounding error.’

‘However, if countries can put the right foundations in place to accelerate adoption and extend the impact of AI beyond today’s digitally connected firms, the gains could rise to about 4 percent over the decade—nearly half a percentage point of additional growth a year’.

The authors are IMF advisor, Martin Schindler, Nikola Spatafora, a senior economist, and Andrew Tiffin, a deputy division chief, all in the IMF’s African Department.

According to the paper, this extra growth is critical given Africa’s vast jobs challenge. By 2030, sub-Saharan Africa will account for roughly half of new entrants into the global labor force. But the issue is not only the number of jobs needed—it is also their quality.

Most workers are still in informal microenterprises or smallholder agriculture, where productivity is far below that of formal firms.

For the region, AI’s main promise is not about replacing office workers, but boosting productivity across the economy—helping informal firms manage inventory, enabling farmers to increase yields, and supporting mid-sized firms to transition to formality and export readiness.

The risk is that the opposite happens. AI adoption in sub-Saharan Africa currently lags well behind every other region. If richer economies race ahead while African firms and governments lag, the productivity gap between the region and the rest of the world will only widen.

The authors go on to say the largest gains from AI may come in places people least expect. Much discussion today focuses on coders, consultants, and call centers. But, in Africa, the key question is whether AI can reach farms, schools, clinics, small businesses, and tax offices.

Agriculture is the biggest test. It employs a large share of the region’s workforce, but crop yields remain well below potential. AI tools can give farmers practical, low-cost advice—when to plant, how much fertilizer to use, how to spot pests, and how to cope with weather shocks. Kenya’s Agricultural Observatory Platform, for instance, shows how real-time weather and crop-management data can help inform farmers’ decisions.

Trials in Ghana, Nigeria, Rwanda, and Uganda suggest that digital advisories can lift yields, especially when paired with better inputs. Similar results with AI-enabled crop monitoring in South Africa shows that technology can boost yields while cutting waste.

They state: ‘The same potential extends beyond farming. In education, AI tutors and even simple SMS-based learning tools can support students where teachers are in short supply. Recent pilot programs in Nigeria show that well-designed chatbot tutoring can deliver sizable learning gains. In Rwanda, digital-skills initiatives and expanded school connectivity show how AI can support a broader skills agenda’.

In healthcare, AI will not replace Africa’s overstretched nurses and doctors, but it can help them do more by supporting triage, diagnosis, and follow-up care.

In public finance, AI-driven data analytics are already helping governments—from Kenya to South Africa—to strengthen tax compliance and mobilize revenue for development.

However, AI depends on reliable electricity, affordable broadband and data infrastructure, and workers with digital skills. That means investing in power and connectivity, supporting regional data infrastructure where viable, and strengthening digital and AI literacy through education and training.

Secondly, AI can widen inequality if its benefits are concentrated among large firms, skilled workers, and urban hubs. It also creates risks around privacy, cybersecurity, misinformation, and dependence on foreign providers.

Governments need clear and practical rules on data, competition, consumer protection, cybersecurity, and the public sector’s use of AI. Regional cooperation will also be essential. Many African economies are too small to build AI ecosystems alone. But together they can create the scale needed for infrastructure, data standards, regulation, and markets.

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Stanbic Bank Uganda has been named Uganda’s Best Investment Bank at the Euromoney Awards for Excellence 2026, a recognition that speaks to the lender’s expanding role in financing major infrastructure, industrial and corporate investments shaping Uganda’s economy.

The award, announced by the London-based financial publication on July 17, comes as Stanbic marks 35 years of operations in Uganda and reflects growing international recognition of the bank’s corporate and investment banking capabilities.

Stanbic said the accolade recognises its ability to structure complex financing solutions spanning strategic infrastructure projects, industrial development and large corporate transactions that have become central to Uganda’s economic transformation.

Chief Executive Mumba Kenneth Kalifungwa said the recognition affirms the bank’s long-standing commitment to supporting Uganda’s growth agenda.

“For us, Corporate and Investment Banking is where our purpose, ‘Uganda is our home; we drive her growth,’ most truly comes alive,” Kalifungwa said.

“It is the engine through which we empower our local corporates to expand their operations, create meaningful jobs and contribute significantly to domestic revenue. It is also where we partner most closely with the Government of Uganda to deliver the essential national growth projects that define our future.”

He said 2025 had been a landmark year for the bank’s investment banking business, adding that the Euromoney recognition validates Stanbic’s strategy of financing long-term economic development.

“As we celebrate 35 years of service, this international recognition from Euromoney could not be timelier. It serves as a powerful validation of our journey from our inception to becoming the institution that stands today as a bedrock of Uganda’s financial system,” Kalifungwa added.

The award comes at a time when Uganda is pursuing an ambitious pipeline of infrastructure and industrial investments requiring increasingly sophisticated financing structures involving banks, development finance institutions and capital markets.

Stanbic has positioned its Corporate and Investment Banking division at the centre of many of these transactions, providing advisory services, structured finance and capital mobilisation for both public and private sector clients.

Paul Muganwa, Executive Director and Head of Corporate and Investment Banking, attributed the recognition to the bank’s ability to develop tailored financing solutions for complex transactions.

“This accolade is a testament to the talent, resilience and technical sophistication of our Corporate and Investment Banking team,” Muganwa said.

“We work to turn complex financial challenges into sustainable opportunities for our clients, moving beyond transactions to create long-term prosperity through innovative financial solutions.”

The Euromoney Awards for Excellence are among the global banking industry’s most respected honours, recognising financial institutions for leadership, innovation and market performance across corporate, investment and retail banking.

For Stanbic, the award reinforces its position as one of Uganda’s leading arrangers of large-scale financing as demand grows for capital to support the country’s infrastructure, industrialisation and private sector expansion.

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