What happened during the Kampala Innovation Week 2019?

The Global Entrepreneurship Monitor (GEM) 2015 report ranked Uganda the most entrepreneurial country in the world, with over 28% of the adult population owning or co-owning a business. The paradox, however, is that an equally high number of the said enterprises do not really survive to thrive. A study done by Makerere University Business School (MUBS) reveals that the business failure rate is 50%; meaning one in every two Ugandan enterprises that is started fails – usually within three years.

Surviving the business failure trap is partly why over 100 start-ups, 800 visitors, policy makers, investors and development partners convened in Kampala to collectively explore opportunities for sustainable growth of start-ups in Uganda. Now in its third year, the event organised by UNCDF in partnership with Startup Uganda and the Ministry of Science, Innovation and Technology under the theme – Taking Uganda’s startup ecosystem to the Next Level – took place from 16th to 18th October 2019.

Here are the six key highlights of the three-day event.

Launch of Startup Uganda

Startup Uganda is an association of key players in the Ugandan start-up ecosystem and innovation community. Its aim to consolidate and connect the activities of all its stakeholders, was unveiled at the Kampala Innovation Week 2019 edition. With support from UNCDF, Startup Uganda brings together all stakeholders in the start-up ecosystem to raise Uganda’s profile in the start-up space, provide visibility to its entrepreneurs and attract investors and global partnerships. This coalition consists of Uganda’s leading start-up hubs such as Outbox, Innovation Village, Design Hub and Makerere University Incubation Centre, among others.

Commitment from Government of Uganda to support innovation

Discussions during the event revealed a sharp imbalance between the speed at which innovation is growing vis-à-vis an enabling policy and regulatory environment which includes how policy makers are drafting, creating and enforcing policies that govern the innovation ecosystem.

In his speech, the Minister of Science, Technology and Innovation, Hon Dr Elioda Tumwesigye revealed that the Ugandan Government has committed to set up a national science and engineering centre to support innovations across the country. He further revealed that a National Research and Innovative Fund framework is being completed to ensure that Uganda becomes conducive for research and innovation.

In a related development, Hon Frank Tumwebaze, the Minister of Information, Technology and Communication, noted that government is cognizant of the need to ensure a conducive regulatory environment for the knowledge products coming out of the start-up ecosystem.

“The government’s plan of enacting a law that supports start-up hubs is in its final stages. This law shall require public organizations to give local start-ups first priority,” he said. He also mentioned that government is working towards ensuring accessible and affordable internet across the country.

The contribution of Ugandan innovators in achieving the SDGs

“Achieving the 2030 Agenda for Sustainable Development requires new modalities for development, including bringing innovation to the forefront of development initiatives,” said Ms. Rosa Malango, the UN Resident Coordinator in Uganda, in the keynote address delivered on her behalf by Dr. Doreen Mulenga, the UNICEF Representative in Uganda.

In her remarks, she observed that UN agencies are using technology and innovation in the delivery of core mandates. Notably, she highlighted UNCDF’s role in driving the adoption of digital financial services which has accelerated the growth of technology-driven services like mobile money and, more recently agent banking.
Following the keynote address, a panel of diverse experts discussed the role that innovators can play in achieving the agenda 2030.

“The agenda 2030 is a universal call to action to end poverty, protect the planet and ensure that all people enjoy peace and prosperity by 2030. To achieve this, innovators should focus on finding solutions to society’s problems,” said Mr. Chris Lukolyo, the Digital Country Lead at UNCDF who was one of the panellists during this session.

Speaker after speaker, it was agreed that it is important for all stakeholders to work together if we want to achieve the SDGs by 2030.

The Financing challenges for Ugandan start-ups

Start-ups need money to raise money. Often, start-up founders break the bank to keep their hubs running or for their products to reach the market because financing is hard to come by. The question ‘Where is the money?’ was discussed in day two of the Kampala Innovation Week 2019.
While access to finance is usually mentioned as the biggest challenge for start-ups, beyond financing, start-ups need to concentrate on building social capital – the relationships that eventually make it easier to access know-how and financial capital. The need for innovators to keep the customers at the centre of their design was also emphasized. The questions “Who buys?” and “Who pays”? are important for every innovator to ask.

Creating a conducive space for women entrepreneurs

Entrepreneurship is challenging. For women entrepreneurs, the challenges are often more intensive. “One of the major challenges that women entrepreneurs face is lack of access to fellow women entrepreneurships networks,” said Ms Rowena Lubowa, the founder of Pearls for Her.

“We have to choose between all there is for women: motherhood, single motherhood, wifehood, entrepreneurship and the list is endless,” said Ms Karungi founder of Kweli Skin Organics.

“Gatekeepers of the different avenues in business are men. It’s a male dominated world. The status quo puts men at the controlling end of the trade” observed Ms Gloria Wavamuno, the brain behind Kampala Fashion Week.
The panellists agreed that despite the enormous challenges, women entrepreneurs are thriving. “Make a choice and live by it. Culture doesn’t make us, we make culture,” Ms Karungi said.

Pitch competition to participate in Seedstars Africa Summit

The three-minute pitch competition that crowned the week featured eight start-ups that showcased ground breaking innovations. The start-ups were vying for the top prize of the Seedstars Regional competitions in South Africa; the chance to participate in a three-months growth programme; and the chance to win a spot at the Seedstars Global Summit in Switzerland where the winner will take home a US $ 500,000 investment prize. The winners also received a UGX 10,000,000 prize worth of advertisement at all Jumia online shop platforms.
The winner in the category “Best Start-up in Uganda” for its innovative sustainable solution is Teheca Limited. The start-up is a platform for personalised and convenient access to post birth care services. It also supports mothers by connecting them to nurses for in-home check-up.

While there could only be one winner, all the innovators exhibited amazing solutions that solve day to day challenges for Ugandans.

UNCDF intends to continue partnering with Start-up Uganda throughout its programme on “Leaving No One Behind in the Digital Era”. UNCDF will continue to invite companies with innovative digital service offerings to contribute to the SDGs by addressing challenges in the agriculture, health, education, finance and energy sectors.