United States (U.S.) Government Agencies Development Finance Corporation (DFC) and United States Agency for International Development (USAID) Partner with Opportunity Bank to Launch the U.S. Lending Program to Refugees and Host Communities in Africa
U.S. government agencies DFC and USAID have partnered with Opportunity Bank to launch the first U.S. loan program for African refugees and host communities.
KAMPALA, Uganda – The U.S. International Development Finance Corporation (DFC), the U.S. government’s development finance arm, has signed an agreement with Uganda Opportunity Bank Limited that will increase lending to refugee businesses and Ugandan host communities by up to $9 million USD (33 billion UGX) over the next six years. This first-of-its-kind partnership in Africa aims to help 60,000 small businesses in Uganda create, grow and access financing.
Approximately 70% of these loans will be provided to refugees and 30% will be distributed to members of host communities in Uganda.
The United States Agency for International Development (USAID) supports this partnership by providing advisory services to potential borrowers and opportunity banks. With 18,000 loans specifically targeted at women, USAID is providing financial training to female borrowers and helping Opportunity Bank design and market loans targeted to women. USAID will provide borrowers with business skills and support refugee loans at Opportunity Bank branches.
Speaking at the launch, U.S. Ambassador to Uganda William W. Popp said: “Today, we are taking a giant step forward to connect more refugees and Ugandan host communities with access to life-changing financing opportunities. Full participation in the formal economy. The U.S. government’s partnership with Opportunity Bank demonstrates that when the public and private sectors work together to empower communities, we can achieve great things.”
Owen Amanya, CEO of Opportunity Bank Uganda Ltd, said: “For almost 30 years, Opportunity Bank has been transforming the lives of underserved people and communities in Uganda through tailor-made services to refugee businesses and shelters financial services, affirming this unwavering commitment to communities. We applaud this partnership with USAID, which is consistent with the Bank’s mission to reduce poverty levels and transform lives and communities. Unlocking opportunities to give many previously economically excluded refugees and Ugandans in host communities the chance to earn an income and live a life of dignity and purpose.”
Distributed by APO Group on behalf of the U.S. Embassy in Uganda.
