AFD to Provide €15M of Green Financing to PostBank Uganda to Support Innovative and Inclusive Agribusiness
On 3 October 2025, the Agence Francaise de Developpement (AFD) announced an agreement with Uganda’s PostBank to support sustainable agriculture. Based on the agreement, AFD will extend a green line of credit worth UGX 60 billion (€15M) over a 13-year period. As a sweetener, AFD will provide €1M in technical assistance grant.
The financing is targeted at smallholder farmers, Savings and Credit Cooperative Societies (#SACCO), #SME, as well as youth and women-owned agribusinesses in line with AFD’s global objectives. On the other hand, PostBank Managing Director Julius Kakeetoo underscored that the deal will contribute to foster prosperity for Ugandans by advancing rural agricultural development.
“This partnership with AFD reaffirms our commitment to creating an enabling environment for our people to participate in the agriculture value chain — from agro-input suppliers and irrigation providers to farmer cooperatives and regulatory institutions.”
PostBank MD Julius Kakeetoo
The agriculture sector employs nearly 70% of the Uganda workforce. Thus, it is no surprise that as part of the 4th National Development Plan (#NDP), the Ugandan government has singled out agriculture as a key pillar of the economy and agroprocessing as a key driver for growth.
The agreement will focus on four strategic objectives:
- Expand financial support in agricultural and rural communities
- Develop innovative and climate-resilient financing solutions
- Promote gender equality through tailored products for women and youth
- Build capacity for local actors in agribusiness
The French Ambassador in Uganda, Virginie Leroy, expressed her satisfaction that France can contribute to support Ugandan farmers, cooperatives, as well as young and women agribusiness entrepreneurs, which constitute the engines of the country’s economy.
AFD Uganda Country Director, Marc Touyet, added that the #GreenFinancing aims to unlock new investments across Uganda’s agribusiness sector while accompanying the sector to adapt to #ClimateChange.
PostBank is fully owned by the Government of Uganda and has 57 branches and more than 8,000 agents that serve 1.5 million customers across Uganda. It plans to rebrand as Pearl Bank in order to deliver innovative and inclusive finance solutions to uplift key sectors of the Ugandan economy.