Overview:
Bank of Baroda's Managing Director details a holistic strategy for supporting Ugandan SMEs, highlighting billions in financing for agriculture, manufacturing, and real estate.
KAMPALA — The Bank of Baroda is positioning itself as a key partner for Uganda’s Small and Medium Enterprises, a sector it considers vital to the country’s economic transformation. In an interview with the Daily Monitor, the bank’s managing director, Shasshi Dhar, detailed a strategy to support SMEs through a holistic approach that extends beyond loans to include advisory services and capacity building.
Dhar said the bank’s loan portfolio as of December 2024 reflects this commitment. The agriculture sector received more than 458 billion shillings in financing, while the manufacturing sector received close to 652 billion shillings. The bank also invested over 161 billion shillings in real estate and infrastructure.
“We do not channel resources into just one or two sectors; we deliberately empower all critical areas of the economy,” Dhar said.
He highlighted several success stories, citing companies like Bamicko Holdings Ltd and Wamico Motors Uganda Ltd, which began with modest loans and have grown into thriving transport businesses. He also named manufacturers such as Nile Agro and Crown Packaging, which have become regional leaders, creating jobs and contributing to the country’s gross domestic product.
To help SMEs access markets, Dhar said the bank leverages its global network and trade finance instruments to connect Ugandan businesses with international partners. Locally, it works with trade associations and business symposiums to provide platforms for networking and partnerships.
Dhar also noted that the bank encourages SMEs to adopt sustainable business models focused on environmental responsibility, social impact and sound governance. He said the bank guides manufacturing firms toward cleaner production and trains SMEs on proper record-keeping and risk management.
Dhar said an upcoming symposium will serve as a platform for knowledge-sharing and networking, offering SMEs data-driven insights and opportunities to connect with other entrepreneurs and corporate partners. He said the bank’s goal is for every participant to leave with “knowledge and tangible connections.”