Equity Bank backs Uganda on mining potential

Equity bank has reaffirmed its commitment to Uganda’s mining and extractive sector, with a particular focus on expanding financial inclusion among artisanal and small-scale miners.

Christine Mukasa Mugerwa, the senior sector head, Energy, Mining and Extractives at Equity Bank Uganda, said the bank is focusing on bringing financial services closer to miners while supporting the transition towards safer and more productive mining practices.

“At least 80 per cent of Uganda’s miners are artisanal workers using basic sticks and basins, facing major barriers to traditional financing because they move with the mines and lack formal paperwork,” Mugerwa said.

She said the bank is working with miner associations and refineries to provide financial literacy, asset financing and access to modern equipment, including mini-excavators.

“Our goal goes beyond lifting mining’s GDP contribution from two per cent to 10 per cent We are championing socio-economic prosperity, safety and dignity for every Ugandan miner,” she said.

Mugerwa was speaking at the 15th Annual Mineral Wealth Conference and Expo, held from September 29 to 30 at Speke Resort Munyonyo. The conference, organised by the Uganda Chamber of Energy and Minerals in partnership with the ministry of Energy and Mineral Development, delegates, was held under the theme Beneath the Surface: Unlocking Africa’s Next Mining Powerhouse.

Uganda is seeking to increase the contribution of mining to the economy from about two per cent of GDP to 10 per cent, a target that will require greater investment, value addition and access to finance across the mining value chain.

Access to formal financing remains a major challenge for many of them. The mobile nature of mining operations, limited formal documentation, lack of fixed addresses, and informal cash-flow records can make it difficult for miners to meet the requirements of conventional lending.

This financing gap can leave small-scale miners dependent on middlemen and limit their ability to invest in safer and more productive equipment. Equity bank is seeking to address some of these challenges through partnerships with miner associations, off-takers and refineries, alongside financial literacy and asset-financing initiatives.

Beyond access to credit, the bank is positioning financial literacy as an important part of building a more sustainable mining sector. Working through miner associations provides an avenue for reaching workers who may otherwise remain outside the formal financial system.

The focus on Uganda’s extractive sector also forms part of Equity Group’s wider Africa Recovery and Resilience Plan (ARRP), which identifies natural resources and extractives as important drivers of industrialisation and economic transformation across the continent.

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