Economy & Trade, Green Economy, TerraViva United Nations

GGGI signs a Contribution Agreement with the European Union to provide support in accelerating Greening Uganda’s Urbanization and Industrialization Agenda

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KAMPALA, Uganda, Jul 8 2020 - The European Union (EU) represented by the European Commission in Uganda and the Government of Uganda through the Global Green Growth Institute (GGGI) have signed a contract today to cooperate on advancing the Greening Uganda’s Urbanization and Industrialization agenda. This project is part of the European Union’s Inclusive Green Economy Uptake Programme (GreenUP) financed under the 11th European Development Fund (EDF) and will be implemented for a 36 months period with a total cost estimated of just under EUR 5mln. The MoU was signed by European Union in Uganda and Ms. Dagmar Zwebe, Country Representative of the GGGI Uganda office.

The overall objective of the GreenUp action is to contribute to the Ugandan transition toward an inclusive, green and competitive low carbon economy with the creation of decent green jobs. Within the framework of this intervention this Project has been designed to support the Government of Uganda (GOU) with their National Development Plan III (NDPIII) commitments for 2020/21-2024/25, and the long term commitments as expressed in the Uganda Green Growth Development Strategy (UGGDS) and Uganda’s Vision 2040. It will directly contribute to greener growth paths to becoming a middle-income country, through the acceleration of investments in green growth pathways.

The Projects impact objective is therefore “Uganda achieves strong, inclusive and sustainable economic growth”. The Uganda Vision 2040 specifically highlights industrialization and urbanization as key focal are as it envisions that 60% of Ugandans will live in urban areas by 2040 and therefore, actions of designing, servicing and attracting investments into greening secondary cities will help Uganda to benefit from the economic and social dividends that come with urbanization.

Through a multistakeholder process guided by the National Planning Authority (NPA) as the project coordinator the industrial zones of Gulu, Entebbe, Pakwach and Soroti have been identified to receive support from the Project in the development of their Masterplans in a green manner and the identification of potential investment projects. The Project is committed to attract investment commitments for at least 6 projects for these industrial areas to accelerate and green the industrialization process in Uganda. This process will be guided by specific guidelines setting out what a green industrial could look like.

With a similar process the cities of Arua, Gulu, Jinja and Mbarara have been identified by the stakeholders, led by the Ministry of Lands, Housing and Urban Development in close coordination with the NPA, to receive similar support as the industrial zones in the development of their Masterplans and the acceleration of financing in potential (public and private) projects. For the Arua-Pakwach corridor, and for Gulu there will be a joined focus combining both elements to ensure inclusive green growth is accomplished. Overall, the aim is to set the country on a low carbon development pathway, generating green jobs, to reduce the environmental burden and the use of natural resources and to contribute substantially to increasing green investment flows into Uganda.

Increased waste collection and sorting in the Greater Kampala Metropolitan Area (GKMA) is another element of the Project. Guided by the GKMA Waste Management Strategy 2021-2030, two waste sorting and diversion centers will be designed, and investment commitment will be sought for at least one of these sites to support the GKMA commitment of 30% recycling by 2030. Furthermore, business development support will be provided to multiple small and medium enterprises in the waste sector to strengthen their operations and be able to widen their scope and increase their waste recycling or treatment.

All stakeholders involved within this Project including -but not limited to- the Government of Uganda, the EU and GGGI and are strongly committed to support Uganda’s transition toward an inclusive, green and competitive low carbon economy, and especially the sectors as elaborated upon in the UGGDS. This includes making Uganda’s business environment more conducive to inclusive and green investments and improving the environment for investing in Uganda’s economic green transformation and the urbanization and industrialization agenda.

Learn more about GGGI’s work in Uganda by clicking here.


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