By Juliet Nalwooga
The Uganda Manufacturers Association (UMA) has signed a Memorandum of Understanding (MOU) with the Capital Markets Authority to enable manufacturers to attain long-term capital from non-bank, market-based financing to bolster their enterprises.
Speaking at the event in Kampala, Daniel Birungi the UMA Executive Director noted that the MOU with the authority is long overdue since the sector is a longtime investment venture that takes 10 – 15 years for considerable returns to be realized.
Birungi says it will help manufacturers with family-owned businesses to transition from one generation to the next through financing models that can allow them to divest part of their ownerships without essentially ceding control of their enterprises.
The Capital Markets Authority is a statutory body headed by a board of directors appointed by the finance minister to promote, develop and regulate the capital markets industry.