By Mulengera Reporters
Equity Bank Uganda has reaffirmed its commitment to expanding financial inclusion in Uganda’s mining and extractive sector, with a particular focus on artisanal and small-scale miners as the country seeks to increase mining’s contribution to the economy from about two per cent to 10 per cent of GDP.
The bank says improving access to finance, modern equipment and financial literacy for small-scale miners will be critical to unlocking greater value from Uganda’s mineral resources while improving safety and productivity across the sector.
The commitment was highlighted during the 15th Annual Mineral Wealth Conference and Expo at Speke Resort Munyonyo, where more than 1,500 delegates gathered from September 29 to 30 under the theme, “Beneath the Surface: Unlocking Africa’s Next Mining Powerhouse.”
Organised by the Uganda Chamber of Energy and Minerals in partnership with the Ministry of Energy and Mineral Development, the conference brought together government officials, industry players, international and regional experts, financial institutions and other stakeholders to discuss investment, technology, regulation, value addition and the future of Uganda’s mining industry.
Christine Mukasa Mugerwa, Senior Sector Head, Energy, Mining and Extractives at Equity Bank Uganda, said the bank is seeking to bring financial services closer to miners while supporting the transition towards safer and more productive mining practices.
“Eighty 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 Equity 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.
Artisanal and small-scale miners make up an estimated 80 per cent of active miners in Uganda, making their participation increasingly important as the country seeks to expand the economic contribution of the sector.
Yet many of these miners remain outside the formal financial system. Their mobile operations, limited documentation, lack of fixed addresses and informal cash-flow records can make it difficult to meet the requirements of conventional lenders.
The financing gap can leave small-scale miners dependent on middlemen while limiting their ability to acquire equipment that could improve productivity and working conditions.
Equity Bank says its approach is intended to address some of these challenges by working with miner associations, off-takers and refineries, while combining access to finance with financial literacy and asset-financing initiatives.
The bank is also seeking to strengthen links between miners and markets by working with players further along the mineral value chain.
Through partnerships with major off-takers and refineries, including Wagagai, Equity Bank says it aims to support more structured cash flows and improve the ability of small-scale miners to receive transparent and fair payments for their output.
The focus on financial literacy is also intended to help miners better manage their income and participate more effectively in the formal financial system.
Beyond financing, the bank is promoting safer mining practices, including the use of appropriate personal protective equipment and modern equipment that can reduce reliance on rudimentary mining methods.
The push comes as Uganda seeks to move beyond the extraction and export of raw minerals and develop greater local value from its natural resources.
Jonard Asiimwe, the State Minister for Science, Technology and Innovation, said the country must increase its capacity to process minerals locally rather than exporting them in raw form.
“Exporting our minerals in their raw form is like exporting our future prosperity. A thriving mining sector requires more than extraction; it demands precision and foresight,” Asiimwe said.
He said Uganda needs accurate geological data, comprehensive value-chain mapping and greater local processing capacity to ensure that mineral resources generate industrial jobs, technology transfer and wider economic benefits.
Humphrey Asiimwe, Chief Executive Officer of the Uganda Chamber of Energy and Minerals, said the country’s mineral potential presents opportunities for both local and foreign investment.
“With over 1,000 delegates from 30 nations convening in Kampala and 58 identified minerals waiting to be unlocked, Uganda is proving that it is a premier destination for both local and foreign investment, paving the way for landmark operations like Wagagai Gold Mine to drive true mineral value addition,” he said.
For Uganda to raise mining’s contribution to GDP from about two per cent to 10 per cent, stakeholders say greater investment will be required across the entire mining value chain, including exploration, extraction, processing, infrastructure, technology and financing.
Equity Bank’s intervention forms part of Equity Group’s wider Africa Recovery and Resilience Plan, which identifies natural resources and extractives as important drivers of industrialisation and economic transformation across the continent.
The strategy places emphasis on mineral beneficiation, local value addition and stronger primary supply chains, with the aim of enabling African economies to capture more value from their natural resources instead of exporting largely unprocessed materials.
For Uganda, the challenge is therefore not only to attract large-scale mining investment but also to strengthen the thousands of small-scale operators who form the foundation of the sector.
As the country pursues its ambition of becoming a stronger mining and mineral-processing hub, stakeholders at the Mineral Wealth Conference are examining how financing, technology, infrastructure and regulation can work together to unlock the sector’s potential.
For Equity Bank, bringing artisanal miners into the formal financial system is part of that broader effort—one aimed at ensuring Uganda’s mineral wealth creates opportunities and value across the entire extraction and supply chain. (For comments on this story, get back to us on 0705579994 [WhatsApp line], 0779411734 & 041 4674611 or email us at mulengeranews@gmail.com).
