FSD UgandaMSE Recovery Fund Annual Report 2025
The 2025 MSE Recovery Fund Annual Report looks at what four years of working through Uganda’s grassroots financial institutions are teaching us about expanding finance to micro and small enterprises.
Between 2022 and 2025, participating financial institutions provided 334,318 loans to 146,009 MSEs, with UGX 381.24 billion reaching enterprises. More than 70% of borrowers were women-owned enterprises, while youth-led businesses accounted for about 44%.
But scale is only part of the story. The experience points to a more important lesson: credit can help businesses stay afloat, but finance alone is not enough to unlock sustained growth and employment. Business development support, stronger data and digital systems, more appropriate products, and deliberate approaches to reaching underserved groups all matter.
The report examines these lessons, the gaps that remain, and what they mean for building a more inclusive and resilient financial ecosystem for Uganda’s MSEs.
