UNCDF and Richblack Communications Unveil Device Financing Initiative to Empower Young Entrepreneurs in Uganda

The United Nations Capital Development Fund (UNCDF), in partnership with the Mastercard Foundation, has unveiled a new device financing initiative through Richblack Communications Limited, aimed at expanding access to affordable digital technology for approximately 18,000 micro, small and medium enterprises (MSMEs) across Uganda.

The initiative was announced during the 8th Annual Fintech Conference held at Sheraton Kampala Hotel, bringing together policymakers, financial institutions, technology innovators, development partners and private sector stakeholders to explore opportunities for advancing financial inclusion and accelerating Uganda’s digital transformation.

Through the partnership, approximately 22,000 smartphones, laptops and tablets are expected to be financed, with a particular focus on young entrepreneurs, women-led businesses, refugees, persons with disabilities and other underserved groups. The intervention seeks to address the high upfront cost of digital devices, which continues to limit the ability of small businesses to adopt technology and participate meaningfully in the digital economy.

Under the financing arrangement, Richblack Communications Limited will procure digital devices in bulk and make them available to eligible entrepreneurs through structured payment plans. This approach is designed to ease the financial burden associated with purchasing technology while enabling small businesses to access essential digital tools for financial transactions, business management and market expansion.

The initiative comes at a time when access to digital technology remains uneven across Uganda. According to the GSMA Consumer Survey 2024, cited in UNCDF’s research on device financing, smartphone ownership among Ugandan adults stands at approximately 33% in urban areas compared with 20% in rural areas. This disparity underscores the importance of targeted interventions that address affordability and extend access to underserved communities.

Speaking at the conference, Harriet Asiimwe, Director of Richblack Communications Limited, highlighted the importance of affordable technology in enabling entrepreneurs to strengthen their businesses and access new economic opportunities.

“Access to digital devices is essential for entrepreneurs seeking to grow their businesses and participate in the digital economy. Through this partnership, we aim to make device ownership more accessible to young people, women entrepreneurs and small businesses, particularly those in underserved communities, enabling them to embrace digital solutions and unlock new opportunities for growth,” said Asiimwe.

For small businesses, access to digital devices offers opportunities to improve operational efficiency, strengthen financial inclusion and expand market reach. Digital payments can enable entrepreneurs to establish transaction histories and build financial profiles, while online platforms can connect businesses to new customers, markets and services beyond their immediate communities.

The initiative is being implemented under the 10X: Enabling the Growth of MSMEs through the Digital Economy Programme, delivered by UNCDF, Outbox, Women in Technology Uganda and Refactory, in partnership with the Mastercard Foundation. The programme seeks to expand economic opportunities for young women and strengthen women-led enterprises through improved access to markets, finance, digital skills and efficient business operations.

Through the partnership, UNCDF is leveraging concessional financing to address investment risks that have historically limited the availability of affordable device financing for underserved businesses. The intervention will enable Richblack Communications Limited to develop and test a financing model tailored to the needs of entrepreneurs who may face difficulties accessing conventional credit facilities.

Beyond expanding access to technology, the initiative seeks to demonstrate the commercial viability of financing productive digital assets in underserved markets. Evidence generated through its implementation, including market demand and repayment performance, is expected to inform future investment decisions and encourage greater participation by financial institutions and private sector investors.

The announcement also reinforces the role of partnerships in advancing Uganda’s digital economy, a key focus of discussions at the 8th Annual Fintech Conference. By bringing together development finance and private sector distribution capabilities, the initiative demonstrates how innovative financing approaches can help overcome barriers to technology adoption and strengthen economic participation.

For young women entrepreneurs and businesses operating in underserved communities, access to affordable digital devices can support greater financial independence, improved productivity and stronger business resilience. The ability to conduct digital transactions, maintain financial records and access online markets can create opportunities for enterprise growth and more sustainable livelihoods.

UNCDF’s broader objective is to contribute to the development of a sustainable market for productive digital assets by demonstrating how concessional financing can stimulate commercial investment in underserved markets. The initiative is expected to generate practical lessons that can support the expansion of similar financing models and attract additional capital into the sector.

UNCDF has called upon financial institutions, device distributors and other private sector stakeholders to build on the lessons generated through the initiative and explore opportunities to expand affordable device financing for MSMEs. The long-term ambition is to establish a more inclusive financing ecosystem in which young entrepreneurs can readily access the technology and financial solutions needed to start, strengthen and grow their businesses.

The partnership represents an important step towards bridging Uganda’s digital access gap and ensuring that more entrepreneurs can benefit from the opportunities presented by digital transformation. By addressing device affordability, UNCDF and its partners aim to strengthen enterprise productivity, advance financial inclusion and contribute to sustainable economic growth.