Overview:
A new collaborative effort sees Absa Bank and key partners unite to bolster Ugandan SMEs, seeking to transform informal businesses into resilient enterprises and unlock their global potential
KAMPALA, Uganda – In a nation where small and medium-sized enterprises (SMEs) are the lifeblood of the economy, Absa Bank Uganda has relaunched its flagship Business Club, an ambitious initiative designed to empower these vital businesses and navigate them toward growth, even as challenges persist.
Unveiled on Wednesday, the revitalized Absa Business Club moves beyond traditional banking, forging strategic alliances with key players like Uganda Airlines, Grant Thornton Uganda, Prudential Uganda, DHL and Enterprise Uganda. This collaborative model aims to create a comprehensive support system for SMEs, addressing critical needs from market access to expert guidance and building resilience.
“SMEs are the very backbone of Uganda’s economy, contributing 90 percent of the private sector’s activity and more than 80 percent of our GDP, directly impacting countless livelihoods,” stated David Wandera, Absa Bank Uganda’s managing director. “From opening doors to regional and global markets, offering vital financial and legal advisory, to providing crucial resilience services like insurance and logistics, this revamped club is engineered to help our entrepreneurs build sustainable, future-ready businesses.”
First launched in 2004, the Absa Business Club has already supported over 500 Ugandan SMEs. The 2025 relaunch introduces a refined structure built on four pillars: Access to Markets, Knowledge and Capacity Building, Networking and Growth, and tailored Financial and Non-Financial Services.
Unlocking Global Markets
For Ugandan businesses yearning for a wider reach, the club promises significant opportunities. Members can now participate in international trade missions, including the upcoming U.K.–Africa Business Forum, bolstered by discounted travel through Uganda Airlines, exclusive access to Business Credit Cards with lounge benefits, and crucial cross-border logistics advisory from DHL. This comes as Uganda’s merchandise export receipts saw a robust 26 percent increase to $9.3 billion in the 12 months leading up to March 2025, according to the Ministry of Finance.
Jennifer Bamuturaki, chief executive officer of Uganda Airlines, emphasized the national carrier’s role in this broader vision. “Our partnership with the Absa Business Club is part of Uganda Airlines’ strategic commitment to driving regional integration and expanding Uganda’s footprint in global trade,” she explained. “By offering discounted travel and logistical support to SMEs, we are actively helping local entrepreneurs take their products, ideas, and services beyond borders.”
Building Resilience in Uncertain Times
Despite their economic importance, a staggering statistic from the Insurance Regulatory Authority of Uganda’s 2022 data reveals that less than 1 percent of Ugandan SMEs hold any form of business insurance. This glaring gap in risk management is a core focus for the revamped club.
“Many SMEs still view insurance as a luxury, yet it’s one of the most critical tools for building resilience and long-term growth,” highlighted Tetteh Ayitevie, chief executive officer of Prudential Uganda. “This partnership aims to make insurance more accessible and relevant, helping entrepreneurs protect what they’re building and plan confidently for the future.”
Addressing Informality and Fostering Growth
Another significant challenge facing Ugandan SMEs is informality. The World Bank’s Uganda Economic Update 2022 points out that more than 70 percent of these businesses operate outside formal structures, severely limiting their ability to scale, attract investment or access critical financing.
Anil Patel, chief executive officer of Grant Thornton Uganda, addressed this head-on. “Behind every successful business is sound advice, strong governance, and strategic planning,” he asserted. “Through this collaboration, we aim to close the advisory gap and help SMEs build resilient enterprises ready for local and global opportunities.”
With an accessible monthly membership fee of 40,000 Ugandan shillings (approximately $10.75), the Absa Business Club is positioned as an affordable pathway to enterprise development, combining vital resources, mentorship and growth-enabling networks.
“This club is more than just banking. It’s a powerful growth engine and a community meticulously designed to equip Uganda’s entrepreneurs with the essential tools and networks they need to truly thrive in a fast-changing economy,” said Moses Rutahigwa, retail and business banking director at Absa Uganda.