PostBank Uganda has signed a landmark partnership with the Agence Française de Développement (AFD) to extend affordable financing to farmers, SACCOs, and agricultural MSMEs.
The deal, sealed Thursday at the bank's Nansana branch, will see the French government’s development agency channel €15 million (shs60 billion) into agriculture-focused lending, alongside €1 million in technical assistance to strengthen the program.
Julius Kakeeto, Managing Director of PostBank, said the partnership aligns with Uganda’s “Tenfold Growth Strategy” and will expand credit access for smallholder farmers and agro-enterprises.
“Today, we are formalizing our partnership with the French Development Agency to promote agriculture, especially around SMEs, smallholder farmers, value creation, and support to SACCOs,” Kakeeto said.
“They are providing us with €15 million—about shs 60 billion—for lending to smallholder farmers, SMEs, and SACCOs, in addition to technical assistance of €1 million to make sure this program is a success.”
“Agriculture employs over 70% of Ugandans and SMEs employ more than 80% of adult Ugandans. Schemes like this directly speak to job creation because we are strengthening communities around employment and creating new jobs.”
“Any Ugandan in agriculture, SACCOs, or value addition should approach our 57 branches. The products are already formulated and our staff are waiting to receive you.”
Kakeeto also used the event to confirm the bank’s ongoing rebrand.
“We are in the middle of a rebrand from PostBank to Pearl Bank. Our purpose is fostering prosperity for Ugandans, and we chose a name that resonates with this mission.”
French Ambassador to Uganda, Virginie Leroy, described the partnership as a long-awaited dream that will deliver transformative social and economic outcomes.
“I dreamt about this partnership a few years ago, and I’m so happy to see that you managed to agree on the conditions. It is really going to produce impacts.”
“The first impact is to ensure that women and youth will have the same chances to access land, financing, and to grow in their activity. The second is that small farmers can improve their income, invest in their homes, land, and cooperatives, and grow to become bigger entrepreneurs.”
“The third impact we are looking for is about climate resilience. This program will help farmers deal with droughts, floods, and other risks of climate change while protecting the environment.”
“Uganda has something special—the green color, the natural resources, the identity of this country—and we want to make sure credit facilities respect and even improve the environment people live in.”
Leroy also hailed Uganda’s agricultural progress on the global stage.
“When we think about Uganda, we think about agriculture and food security. Beyond feeding yourselves, it’s about the ability to export to the region and to Europe. I learned recently that the trade balance between Uganda and Europe has become positive for Uganda—because of agriculture, because of coffee. Congratulations.”
Marc Trouyet, AFD’s Country Director, said the deal demonstrates France’s commitment to Uganda’s growth agenda.
“We wanted a partner that can reach farmers, SACCOs, women, and youth across the country. With Pearl Bank, we found exactly that partner.”
“This partnership is particularly important because we want to be a partner in Uganda’s growth strategy. With Pearl Bank, we share the same values of prosperity, of supporting smallholder farmers and women entrepreneurs.”
“Together, we are convinced that this will be a meaningful, impactful, and long-term partnership—one that truly supports the economic development of Uganda.”
The program is not time-bound and will run “as long as the funds are available,” according to PostBank. Beneficiaries must meet standard borrowing requirements but priority will be given to agriculture-related SMEs, SACCOs, and enterprises contributing to value addition.