"In 2025, French companies will still be the leading investors in Uganda (accounting for more than half of foreign direct investment flows); their investments will amount to 4 billion dollars (nearly 15 trillion Ugandan shillings) over the next three years," says Ambassador Xavier Sticker.
The French Government has revealed plans to spend 4 Billion Dollars or about 15 Trillion Shillings in Uganda over the next three years.
This is part of the country's renewed economic, social and political partnerships starting this year, according to the Embassy of France in Kampala.
This will include investments in the private sector in terms of Foreign Direct Investments but also support small investments and the public sector.
This is a continuation of France's current position as the leading source of FDI in the country, mainly boosted by the oil and gas industry.
"In 2025, French companies will still be the leading investors in Uganda (accounting for more than half of foreign direct investment flows); their investments will amount to 4 billion dollars (nearly 15 trillion Ugandan shillings) over the next three years," says Ambassador Xavier Sticker.
France has more than 40 companies incorporated in Kampala and more with offshore operations, with a focus on areas that create an impact on the economy and society as a whole.
"The 40 French companies operating in Uganda have a real impact on employment and skills for Ugandan workers: thousands of direct jobs, tens of thousands of indirect jobs and 46,000 hours of training per year," he says.
With the largest investment being the oil and gas sector through TotalEnergies, the country has invested in water and sanitation, agriculture, education and mining, on top of supporting banks with funds for onward lending.
Sticker says specific opportunities between Uganda and France will be highlighted at the EU-Uganda Business Forum as well as investor delegates to visit the country starting next month.
Currently, France's loan portfolio in Uganda is about 1 Billion Dollars (close
"France, through the Agence Française de Développement (AFD) and its private sector investment subsidiary, has more than 1 billion euros (4 Trillion Shillings) invested in Uganda through highly concessional loans," Sticker says, with most going to the water sector, followed by energy.
Private sector cooperation between France and Uganda has so far attracted more than 70 companies united under the Franco-Ugandan Chamber of Commerce, launched in July last year.
New delegations of French companies are due in Uganda for the EU-Uganda Business Forum on February 13, to prospect for new business ventures in the mining sector.
Another 11 companies are expected on February 18 and 19 with interests in the water sector, according to the Chamber President, Thomas Pelletier.
This will be followed by the agribusiness sector investors in the last quarter of the year along with Business France, a French investment promotion agency and BPI France (Public Sector Investment Bank of France).
In the water sector, France is investing 92 Million Euros (400 billion Ugandan shillings) to support the National Water and Sewerage Corporation in its work starting in February. This will involve extending the water supply to half a million people in the north of Kampala.
They will also be launching projects like water treatment in Masaka, and the installation of drinking water networks in Lira, Fort Portal and Hoima towns, with the feasibility studies being finalised.
These projects are expected to impact another 1 million people, on top of the work-in-progress in southwestern Uganda.
"It is continuing: delivery of the water treatment plant on the Kagera river is expected in the second half of 2025, with funding of over 70 Million Euros (350 billion Ugandan Shillings) alongside National Water," says Ambassador Sticker.
Specifically on agriculture, France is supporting Mt Rwenzori Coffee Farmers' Cooperative Union an agricultural cooperative marketing Ugandan coffee, with an impact on 11,000 producers, providing lines of credit to Ugandan public banks.
There are also new cooperation areas being explored, including proposals for loans to the health sector, stepping up support for entrepreneurship, and affordable housing, and developing public policy dialogue with Uganda on climate.
The Ambassador also pledges his country's support to peace efforts for Uganda and the region, including funding and training of forces for Somalia and Democratic Republic of Congo missions.
