Exports receipts grew due to an increase in earnings from coffee. Photo / File
‘If Uganda is to thrive, policy must be our compass,” says Catherine Poran, CEO of the Stanbic Business Incubator, leaning forward, as if her posture alone could underscore the weight of her words. We are deep into a discussion about the kind of policy framework Uganda needs to foster not just theoretical support for start-ups, but real, competitive enterprises. Her response comes with conviction: “Our competitive advantage as a country will always be agriculture. Let’s start there.” Poran is steadfast in her belief that agriculture, particularly coffee, holds Uganda’s key to standing out on the global stage—if only the policy landscape would catch up. She points to countries like Vietnam and Brazil, where government-led policies, rather than market forces alone, have spurred industry growth. “In Vietnam, coffee marketing isn’t a solo endeavour,” she explains. “It’s a government-driven initiative. Cooperatives aggregate the coffee, and a centralised marketing company handles exports. Brazil takes it a step further—they don’t just export raw beans; they process it into Nescafé and sell that in bulk.” Then she contrasts this with Uganda’s situation. Despite being labelled a “specialty coffee” country—meaning our beans are used to flavour blends around the world—there’s no coordinated policy to aggregate or process coffee on a large scale. “Can you imagine if Uganda started aggregating all this coffee and selling it in bulk?” Poran asks, her eyes lighting up. “The value we could unlock!”
Not just about policy
Poran is quick to point out that policies in Uganda often function in silos. “We say we want small and medium enterprises (SMEs) to grow, but the trade, agriculture, and finance ministries are singing from different hymn sheets. How can we talk about the Africa Continental Free Trade Area (AfCFTA) when customs policies prevent Ugandan milk from entering Kenya?” She’s also not shy about holding institutions accountable. “We often blame the Uganda Revenue Authority (URA) for the bottlenecks, but they’re just implementing what’s been set by the policymakers. The real work lies with the Ministry of Finance, Ministry of Trade, and Ministry of Agriculture. These ministries need to align.” The conversation takes a sharp turn as Poran questions why foreign investors receive more favourable treatment than local entrepreneurs. “An external investor gets land, tax holidays of up to 10 years, and export zone access. But a Ugandan SME can’t even get into those zones,” she says, her voice tinged with frustration. “Why not give the same incentives to a local entrepreneur who is employing people, building value chains, and staying here?” She’s advocating for a level playing field: “Give local SMEs the same tax holiday. After 10 years, tax us like them. But give us room to grow.”
Cost barrier and others
As the discussion shifts, Poran emphasises the high costs of research and intellectual property protection for SMEs. “Research is expensive. Protecting intellectual property is even more so,” she says. “Many SMEs can’t afford it.” She recalls a conversation with the Uganda Registration Services Bureau (URSB). “They say it’s the lawyers setting the fees. Then why not cap them? Let them earn on commission once the product succeeds.” With irony in her tone, she adds: “The Chinese own the IP for a cow horn. A horn! And we don’t even have IP for Kikooyi, a local product. What are we doing?” Another challenge Poran highlights is the tension between formalising businesses and the burdens it brings. “Government encouraged SMEs to register with the National Supplier Database, especially with the expectation of oil and gas contracts. They got their TINs and registered with URSB but never got the contracts. Now URA is hounding them. That’s unfair.” She adds, “Formalisation should be a pathway to growth, not a punishment. Let’s make the process safer. SMEs need to feel confident declaring profit without fearing that URA will crush them.”
Time to tax?
Not really When asked about proposed changes, such as reducing the tax exemption period for star-tups, Poran urges a reconsideration. “SMEs need time to embed their products. Look at what we offer external investors—10 years tax-free. Why can’t local businesses get the same?” Stanbic’s own impact assessment backs this, showing that SMEs are pleading for more breathing space. “They’re asking us to talk to URA, but it’s not just about URA. It’s Finance. Policy needs to recognise that time is critical for entrepreneurship.” Poran pulls no punches when it comes to access to capital. “Money is expensive in Uganda. That’s a systemic issue. If we don’t find ways to lower the cost of funding—through policy, partnerships, or innovation—we’re asking SMEs to run marathons with stones tied to their feet.” Small is expensive.
This is a line Poran repeats, with equal parts frustration and hope. She’s not just talking about cost structures, but about mindset. Why does Uganda, blessed with vast natural resources and entrepreneurial energy, keep missing out on golden opportunities? She points to coffee: “Ethiopians consume their coffee. They’re Africa’s top producers, but they drink it all. Uganda? Ours is so special that it’s used to flavour other blends. But instead of being 17th in the value chain, why can’t we move up? Why can’t we earn more from what we already have?” Her conclusion is simple: “We long-range. We go it alone. And small is expensive.” As a lawyer by training, banker by trade, and joint-enterprise advocate by conviction, Poran is clear-eyed about Uganda’s Achilles’ heel: a reluctance to collaborate. “Businesses here want the glory for themselves. But what if they started working together? What if pineapple and chicken farmers teamed up to deliver consistent supply?” She recalls how, in Uganda’s oil and gas camps, there’s daily demand for five types of protein—beef, pork, fish, chicken, beans. “Someone wins the supply contract, but after four months, they can’t deliver because they refused to partner.
Now oil companies are bringing in foreign suppliers.” The $5 billion that should have circulated locally? Gone, slipping through our fingers. But disunity isn’t Uganda’s only challenge. There’s also the issue of standards, she notes. “A tomato sauce processor used small tomatoes to create a niche product. Great! But is it safe? Would UNBS approve it?” Without clarity on domestic or export standards, many SMEs struggle to compete internationally. She also points to Uganda’s logistical issues. “Congested roads, limited rail, unreliable international shipping—it’s a nightmare,” she says. “You plan for 60 days; it takes 90. Your supply chain falls apart, and your business suffers.”
Pricing, trust, Indian business model
Another area of concern is Uganda’s business mindset around pricing and client retention. “An Indian trader can make two shillings per item and keep a customer for life. A Ugandan wants 180 percent in one go—and never sees the customer again.” This short-term thinking is what kills resilience, Poran argues. “We need ‘resilience capital.’ Entrepreneurs who know how to build long-term relationships, price sustainably, and think in cycles, not windfalls.” Poran is especially passionate about women and youth entrepreneurs, who face unique barriers to financing and market access. “Women carry family responsibilities. Youth lack collateral.” But the solution, she insists, is collaboration. She points to three women making wine in Uganda. “One has a market in Rwanda, another in South Sudan, and the third in the DRC. If they collaborated, they could dominate the regional market. But instead, they struggle alone.” Poran warns that donor support is drying up. “Donor countries are pulling back, and Uganda needs to look inward.” She envisions a joint enterprise fund—not just by one bank, but through an alliance of banks, telecoms, and corporations. “Imagine Stanbic, MTN, UDB, and others blending funds to empower SMEs. That would be game-changing.”
Who is Poran?
When asked about herself, Poran smiles shyly. “I’m a very private person,” she admits. But her career is an open book. With over two decades at Stanbic, she has held leadership roles across banking and investment sectors in Uganda and Mozambique. Now, she’s leading a high-impact initiative to grow Uganda’s enterprise ecosystem. What keeps her grounded? “My faith,” she says. “I am a born-again Christian. Faith teaches you to do the right thing—even when it’s hard. And this work is all about trust. Clients trust that you’ll do what’s right.” Her best advice? “Visibility matters. If your good work goes unseen, it won’t be appreciated. Make sure your work is visible.” Her mentor’s lesson? “You don’t have to be the smartest in the room. Hire smarter people. Let them shine. They make you look better.”
Uganda’s future?
For Poran, Uganda’s future doesn’t rest on big grants or perfect infrastructure. Instead, it hinges on partnerships, fair pricing, setting standards, and building trust. Uganda already has the ingredients; it just needs to cook together. She introduces me to Uganda’s entrepreneurial problem in an analogy. Visualise Uganda’s SMEs as canoes at the reef’s edge—hesitant to venture further. To thrive in today’s global economy, they need to form a ship, big enough to navigate global waters. And right now, there aren’t enough ships. Only canoes. “We need unity, collaboration, and a shift in mindset. Because the global stage is waiting, but Uganda’s canoes are not enough,” she says.
Grow and Trade.
“We say we want small and medium enterprises to grow, but the trade, agriculture, and finance ministries are singing from different hymn sheets. How can we talk about the Africa Continental Free Trade Area when customs policies prevent Ugandan milk from entering Kenya?’’ – Catherine Poran, CEO of the Stanbic Business Incubator.
