The Republic of Uganda is ranked 161st out of 187 countries ranked in the 2012 Human Development Index. The long-standing conflict that has pitted rebels and the government has caused widespread insecurity in the north as well as in neighboring countries. Although relatively peaceful today, Uganda continues to face a slow economic growth and fragile, with high rates of youth unemployment and poverty income in rural households. The country is also characterized by weak governance capacity at the local level, and a poor investment climate.
How We Are Helping?
UNCDF contributes to overcoming the challenges Uganda on the development plan focusing on strengthening decentralization and local capacity. The District Development Programme, jointly supported by UNCDF, UNDP and the Government of Uganda, aims to help the local government system to strengthen the capacity of local authorities to promote economic development and to coordinate the activities of service providers. The project will also work to strengthen the local business environment through targeted investments in economic infrastructure.
UNCDF is also working to strengthen the capacity of local government institutions and civil society in planning and budgeting taking into account gender issues. In the north, the area most affected by the conflict, UNCDF works to strengthen livelihoods and promote local economic recovery by strengthening an enabling environment for business and governance functions for local economic development , and supporting catalytic investments to revitalize the local economy.
Increasing access to energy is critical for sustainable development. UNCDF, through its global programme CleanStart, plans to invest US$1.3 million (secured funding) over a period of four years (2013-2017) to develop replicable business models for scaling up microfinance for cleaner and more efficient forms of energy for poor people. By end of programme, more than 40,000 low-income households and micro-entrepreneurs will have access to modern energy. CleanStart will be anchored in the Ministry of Energy and Mineral Development (MEMD) which is mandated to lead all energy programmes in Uganda. Implementation is subject to the agreement with the Government of Uganda.
UNCDF is also in the process of implementing two regional programs: Youthstart, which aims to improve access to financial services for youth and the International Joint Training program (international ICLD-UNCDF), which aims to strengthen capacity of local government to support local development, poverty reduction and the MDGs.
Moreover, UNCDF implements the Local Finance Initiative (LFI) which enables and promotes inclusive and sustainable local economic development (LED) and private sector development (PSD) in Uganda.