PSFU has launched the MGF – one of the components under the Competitiveness and Enterprise Development Project (CEDP). The Government of Uganda acquired a loan equivalent to USD 100 million from the World Bank to implement a five year CED project. The objective of the CEDP is to support enterprise capacity development by providing a supportive investment climate and development of priority productive and service sectors.
The Matching Grant Facility is a component under the CEDP, is a government of Uganda project funded by the World Bank and implemented by PSFU will take USD 8 million (UGX 25 billion). The funds shall be disbursed as grants to Ugandan entrepreneurs in the Small and Medium Enterprises (SMEs) under CEDP and will be implemented in 50% cost sharing manner towards use of specific Business Development Services.
The MGF launch was held at Hotel Africana and was presided over by the Minister of State for Finance in charge of Planning, Hon. David Bahati. He emphasized Government’s commitment towards developing the private sector and urged them to embrace the opportunity presented by the MGF to grow their businesses. He cited a live example of Mr. Patrick Bitature, one of the finest Uganda businessmen who started small, took advantage of grants to grow his businesses to respectable levels.
Mr. Bitature, the Chairman of the PSFU Board, in his remarks said “The funds are here but should be used well. I don’t want to hear of bureaucracies and delays. World Bank needs their money to be utilized in time and properly,” said Bitature a re-known entrepreneur. Bitature ordered Gideon Badagawa the PSFU executive director to act like a referee and bite. “Gideon, don’t listen to noise. Act like a ref. whoever misbehaves, please use a red card to show him or her exit,” he said.
The Executive Director, PSFU, Mr. Gideon Badagawa told participants that Badagawathe grants will be used to support the seven sectors of Agribusiness- (Coffee, Grains and Pulses, Horticulture, Edible oils) Fisheries, Tourism and ICT / Business Process Outsourcing (BPO). “It may be free money, but there is no free money in Africa. Business entities shall be required to write proposals that will be scrutinized by a panel of committee of experts before the grants can be given,” said Badagawa.