The Government of Uganda (GoU), in collaboration with the World Bank, is actively pursuing a transformative initiative aimed at boosting women’s economic participation through the GROW project—Generating Growth Opportunities & Productivity for Women Enterprises. This ambitious five-year project, launched in January 2023, is designed to provide financial and technical support to women entrepreneurs who are already engaged in business activities but face challenges accessing affordable credit. With a funding allocation of $217 million (approximately Shs 850 billion), GROW is focused on empowering women to scale their businesses and become more competitive in the marketplace.
Unlike the Parish Development Model (PDM), which targets the poorest households by providing financial aid for transitioning from subsistence to market-based activities, the GROW project targets women who are already active in trade or small businesses but require additional capital to grow. The aim is to provide them with the necessary resources—affordable credit, business training, and mentorship—to help them expand their businesses and improve productivity. The project specifically targets women-owned businesses in 136 districts, 11 cities, and 13 refugee-hosting districts across Uganda.
The core goal of the GROW project is to bridge the gap in access to finance, particularly for women entrepreneurs who often struggle to secure loans from traditional banks due to a lack of collateral and financial history. Through the GROW initiative, loans are offered across three levels, ranging from Shs 4 million to Shs 200 million, at a relatively low-interest rate of 10%. Beyond financial support, GROW offers comprehensive training in business management, sector-specific skills, and capacity-building programs, all designed to equip women with the tools they need to manage and grow their businesses effectively. Beneficiaries also receive certification upon completion of training, further validating their skills.
While the primary focus of the project is on women, it also indirectly benefits men, particularly those employed in or co-owning businesses with women entrepreneurs. The initiative is inclusive of marginalized groups, including female refugees and women with disabilities, with specific quotas set aside for these populations. Women from traditionally male-dominated industries, such as construction, manufacturing, and ICT, are also prioritized, with the aim of breaking gender barriers and encouraging greater participation in sectors that have been historically less accessible to women.
The project envisions creating over 295,000 direct jobs and 1.18 million indirect jobs over its five-year lifespan. By mid-2025, GROW had already disbursed significant amounts of funding, impacting over 2,900 women entrepreneurs. Most of these loans were provided to women in the first borrowing level (Shs 4 million to Shs 20 million), which has proven to be the most impactful in helping women establish or expand their businesses. The project has not only increased access to credit but has also made it easier for women to enter the formal financial system, with many borrowers accessing loans from commercial banks for the first time.
However, the initial stages of the project revealed some challenges. A significant portion of the loan disbursements was concentrated in the Greater Kampala Metropolitan Area, where financial institutions found it easier to recover loans due to the higher financial literacy of borrowers. President Museveni, dissatisfied with this trend, directed that efforts be made to decentralize the loan distribution process. This led to the inclusion of Savings and Credit Cooperative Organizations (SACCOs), which are more accessible and less intimidating to rural women entrepreneurs. These SACCOs now play a critical role in ensuring that the GROW project reaches women in remote areas, and the President has instructed that group guarantees replace the need for collateral for loans up to Shs 30 million, making the borrowing process more inclusive.
The GROW project also provides women with opportunities for apprenticeships, hands-on training, and industry-specific placements. For example, women interested in the hospitality industry may have the chance to intern at large hotels for several months, gaining practical experience while receiving a stipend. These placements, combined with formal training, empower women entrepreneurs with the knowledge and skills needed to run their businesses successfully. Additionally, the project offers business proposal-writing competitions and grants for women who demonstrate exceptional potential and creativity.
By June 2025, the GROW project had disbursed loans across various sectors, including trade, agriculture, construction, and business services. The initiative’s impact has been particularly noticeable in increasing the financial inclusion of women, with many borrowers accessing loans from banks for the first time. The project also has a special focus on supporting marginalized communities, such as refugees and women with disabilities, providing them with the financial tools to start or expand businesses.
In conclusion, the GROW project is a significant step forward in Uganda’s efforts to empower women economically and break down the barriers that have historically hindered their access to finance and business opportunities. By combining access to credit with training, mentorship, and hands-on experience, the project aims to create a thriving ecosystem where women entrepreneurs can flourish. With its wide-reaching impact, GROW is poised to not only improve the livelihoods of thousands of women but also contribute to the overall economic growth of Uganda. As the project continues to roll out, it holds the promise of creating a more inclusive and prosperous future for women across the country.
