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Green Financing Landscape for Green Micro, Small and Medium Enterprises in Uganda

Author

Listed:
  • Archillies Kiwanuka

    (Makerere University Business School)

  • Athenia Bongani Sibindi

    (University of South Africa)

Abstract

In an era where climate change poses an existential threat, unlocking the potential of Uganda’s micro, small, and medium enterprises (MSMEs) offers hope for sustainable economic growth and resilience. This chapter examines the green financing landscape for MSMEs, emphasising their essential contribution to economic stability and climate resilience. In the wake of the 2015 Paris Agreement, the urgency for sustainable finance has become increasingly pronounced, particularly for nations like Uganda, which faces significant climate-related challenges despite its minimal role in global carbon emissions. The chapter articulates the pivotal role of MSMEs, which are vital to Uganda’s economic framework yet disproportionately contribute to environmental degradation. The chapter highlights the necessity of sustainable financing mechanisms to facilitate this transition by addressing the potential for these enterprises to adopt green business practices. It critically analyses the barriers MSMEs confront, including limited access to capital, insufficient technological support, and a lack of awareness regarding available financial instruments. This chapter argues for increased investment in green financing initiatives to empower MSMEs, bolster their capacity to adapt to climate impacts, and further Uganda’s commitment to the sustainable development goals outlined in the 2030 agenda.

Suggested Citation

  • Archillies Kiwanuka & Athenia Bongani Sibindi, 2025. "Green Financing Landscape for Green Micro, Small and Medium Enterprises in Uganda," Advances in African Economic, Social and Political Development,, Springer.
    • Handle: RePEc:spr:aaechp:978-3-031-86516-9_3
    DOI: 10.1007/978-3-031-86516-9_3
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