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Inspirational Email
I'd like to share an inspiring email I received from Zameer, whom I recently met....

Incremental or not, what Africa needs is Entrepreneurial Infrastructure
Andrew Mack, Founder and Principal of AMGlobal Consulting, blogs about how "Entrepreneurial Infrastructure" more than "Incremental Infrastructure" is what Africa needs and has shown it wants.

5.9 Applying lessons learned from Uganda in South Africa: Enterprise solutions to poverty
Based on what we learned in Uganda through UEF (including the convening power that the Shell brand had with local banks) we established ETEF, our South African fund, with new financial products and an independent intermediary in the form of an independent fund manager with particular expertise in the small-scale energy sector in place from the start.

5.8 So far so good in Uganda: Enterprise solutions to poverty
While both SME energy funds are still young, the pace of capitalisation in Uganda has been very rapid, indicating interest in the market and an encouraging depth of demand. UEF will be fully committed before the end of 2005 – well before the original close-out date.

5.6 Deciding on the right approach: Enterprise solutions to poverty
We took explicit account of this reality in adapting our model (viability, scaleability, business DNA and Shell Group assets) to develop a ‘market entry’ strategy into the Ugandan and South African energy SME sector. This strategy had four components:

5.6 Deciding on the right approach: Enterprise solutions to poverty
We took explicit account of this reality in adapting our model (viability, scaleability, business DNA and Shell Group assets) to develop a ‘market entry’ strategy into the Ugandan and South African energy SME sector. This strategy had four components:

9.0 Conclusions: Entrepreneurship and Small Business Enterprise Growth in Uganda
As the world turns global, many countries are emerging out of the abject poverty into wealth. South Korea and Singapore are classical examples. In the 1960's, South Korea's per capital GDP was similar to that of Uganda. South Korea is now among the developed countries. Uganda is still characterised by massive poverty. The only way to transform Uganda and many African countries is to fuel growth through business development. Given the global competition, Africa may not be able to position herself competitively as a world class competition but must foster the growth of businesses through micro and small enterprises. Many donor funding agencies have identified this and have focused their attention to this sector.

6.0 Constraints to small business growth: Entrepreneurship and Small Business Enterprise Growth in Uganda
We recognise that small business has an important role to play in many economies. We must therefore understand what constrains them to be able to support them. Various studies (Kibera and Kibera, 1997; Thembe et al, 1997; Alila and McCormick, 1994) have enumerated the factors that are generally agreed on as the constraints to the growth of small business especially in the African setting. These include lack of market opportunity, access to finance, enabling environment, market information, and managerial skills. We have submitted that these are important, but probably not the only ones. We think entrepreneurship and culture are more important. We discuss some below.

6.0 Constraints to small business growth: Entrepreneurship and Small Business Enterprise Growth in Uganda
We recognise that small business has an important role to play in many economies. We must therefore understand what constrains them to be able to support them. Various studies (Kibera and Kibera, 1997; Thembe et al, 1997; Alila and McCormick, 1994) have enumerated the factors that are generally agreed on as the constraints to the growth of small business especially in the African setting. These include lack of market opportunity, access to finance, enabling environment, market information, and managerial skills. We have submitted that these are important, but probably not the only ones. We think entrepreneurship and culture are more important. We discuss some below.

4.0 What are Small Scale Enterprises?: Entrepreneurship and Small Business Enterprise Growth in Uganda
To be able to understand the problem at hand, it is important that we articulate the issue we are discussing. SSEs are defined differently in different countries. It is true that a SSE in the United States may be a large enterprise in India and a very large enterprise in Uganda. While the absolute figures involved in the definition of these enterprises may differ, there are some underlying similarities in the concept used in the definitions. The following are common measures of defining SSE.

3.0 The Growth of Small Enterprises - the Problem: Entrepreneurship and Small Business Enterprise Growth in Uganda
Because of the importance that has been attached to these enterprises, there has been a lot of effort directed towards promoting these units. In many countries especially India, there has been affirmative and positive action towards promoting SSEs. A lot of literature is available on the success and failures of these enterprises. Many countries and indeed multilateral institutions have set up agendas and strategies for the development of these units. In Kenya, for instance, the Jua Kalis have been supported by the Kenyan government (Alila and McCormick, 1994) as avenues of industrialising and developing the country.

3.0 The Growth of Small Enterprises - the Problem: Entrepreneurship and Small Business Enterprise Growth in Uganda
Because of the importance that has been attached to these enterprises, there has been a lot of effort directed towards promoting these units. In many countries especially India, there has been affirmative and positive action towards promoting SSEs. A lot of literature is available on the success and failures of these enterprises. Many countries and indeed multilateral institutions have set up agendas and strategies for the development of these units. In Kenya, for instance, the Jua Kalis have been supported by the Kenyan government (Alila and McCormick, 1994) as avenues of industrialising and developing the country.

2.0 Background: Entrepreneurship and Small Business Enterprise Growth in Uganda
Small scale enterprises worldwide have been recognized as engines of growth and development (Harper, 1984; et al, 1997; Ba-el and Felsenstein, 1990) and in many countries there has been some considerable effort to support them so as to create the necessary employment opportunities, incomes and productive capacity.

1.0 Abstract: Entrepreneurship and Small Business Enterprise Growth in Uganda
It is now generally agreed that small businesses are one of the key engines of growth in many developing countries by contributing to employment creation. In this paper, it is argued that micro and small businesses cannot grow or suceed unless they are entrepreneurial. It is with this view in mind that this paper proposed that effort must be placed on the development of entrepreneurial behaviour in small businesses if growth in Africa is to be achieved.

Uganda - Africa's Newest Investment Darling?
It is always good to have a positive role model. Especially one who has endured the occasional long and harsh roads and is still here to tell about it. Generally, this type of role model not only earns the respect of their peers; but also gains a stable of followers. In the African context, if we are talking about recent economic growth amidst large hurdles, it is difficult to disregard Uganda.

Other Uganda Related Articles

Uganda - Africa's Newest Investment Darling?
It is always good to have a positive role model. Especially one who has endured the occasional long and harsh roads and is still here to tell about it. Generally, this type of role model not only earns the respect of their peers; but also gains a stable of followers. In the African context, if we are talking about recent economic growth amidst large hurdles, it is difficult to disregard Uganda.

9.0 Conclusions: Entrepreneurship and Small Business Enterprise Growth in Uganda
As the world turns global, many countries are emerging out of the abject poverty into wealth. South Korea and Singapore are classical examples. In the 1960's, South Korea's per capital GDP was similar to that of Uganda. South Korea is now among the developed countries. Uganda is still characterised by massive poverty. The only way to transform Uganda and many African countries is to fuel growth through business development. Given the global competition, Africa may not be able to position herself competitively as a world class competition but must foster the growth of businesses through micro and small enterprises. Many donor funding agencies have identified this and have focused their attention to this sector.

5.8 So far so good in Uganda: Enterprise solutions to poverty
While both SME energy funds are still young, the pace of capitalisation in Uganda has been very rapid, indicating interest in the market and an encouraging depth of demand. UEF will be fully committed before the end of 2005 – well before the original close-out date.

5.9 Applying lessons learned from Uganda in South Africa: Enterprise solutions to poverty
Based on what we learned in Uganda through UEF (including the convening power that the Shell brand had with local banks) we established ETEF, our South African fund, with new financial products and an independent intermediary in the form of an independent fund manager with particular expertise in the small-scale energy sector in place from the start.

4.0 The Role of Governments: Microfinance in Africa - Experience and Lessons from Selected African Countries
In several African countries—for example, Ghana, Guinea, Tanzania and Uganda— governments have in the past relied on state-owned banks to extend rural credit and microfinance services.

Not Just Treasure in Heaven Alliance for Christians in Development ACID to Grant Micro Loans to Benefit Ugandan Schoolchildren
The Alliance for Christians in Development (ACID) Trust, a non-governmental development organization based in Uganda which, among other projects, provides microfinance services to rural women and youth, will be extending micro loans to parents who cannot afford to pay their children’s school fees. Typically, fees cost about USD 35 per term. A September 2006 report (pg 4) by Save the Children indicated that 1.1 million primary-aged children in Uganda are out of school, the majority because they cannot afford uniforms, books, and basic supplies. Under ACID Trust’s program, the plan is that parents will borrow from the trust interest-free, invest the money to make a profit, pay back the loan and save the remainder to put toward their children’s education.

Making Africa an Even Better Place to Do Business
Refreshingly, little time was wasted by Facilitator William Kalema, Chairman, Uganda Investment Authority; Commissioner, Commission for Africa, in getting discussions under way. Participants, he said, understood the issues.

Methodology: Constraints of growth-oriented enterprises in the southern and eastern African region
The study involved nine Focus Group Discussions with altogether forty participants in three countries - Uganda, Zambia and Zimbabwe.

Another Microfinance Institution (MFI) Closes in Uganda as Chaos Continues in the Sector
The Support Organisation for Micro Enterprises Development (SOMED), a microfinance firm in the Kibaale District of Uganda was shut down in December last year while police claim they are investigating allegations of extortion, embezzlement and fraud. The company had been offering low-interest loans since 2004.

Ugandan Government to Set up Laws for Regulating its Microfinance Sector
During the 2007 Citigroup Micro-entrepreneurship awards ceremony in Kampala on January 10, 2008, State Minister for Microfinance, Caleb Akandwanaho announced that a new law regulating the activities of microfinance institutions will take effect in June 2008. The law is meant to bring an end to corruption in Uganda’s savings and co-operative organizations (SACCOs) following dozens of complaints from customers claiming to have been fleeced of their savings, and police investigations in September 2007 of four savings and co-operative organizations (SACCOs) suspected of fraud, including the suspension of The Support Uganda Savings and Cooperative Society, and arrests of SACCO heads.

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