Uganda’s energy transition and infrastructure ambitions will require stronger partnerships and access to patient capital if the country is to unlock long-term financing for transformative projects, dfcu Bank has said.
Speaking at the 2nd Annual Energy Convention 2026 in Kampala, Moses Malinga, dfcu Bank’s Sector Head for Infrastructure and Energy, said collaboration between commercial banks, government and development partners is critical in bridging existing financing gaps.
Malinga pointed out that one of the key challenges facing commercial banks is the mismatch between short-term funding and the long-term financing required for infrastructure and energy projects.
“Access to long-term financing remains one of the biggest constraints for commercial banks. Infrastructure projects require patient capital, sophisticated risk assessment and financing structures that extend beyond traditional lending tenors,” he said.
The convention, held at Four Points by Sheraton, brought together stakeholders to discuss domestic bank capacity, blended finance instruments and Uganda’s growing green finance ecosystem. The panel session was moderated by Samuel Ocanya.
Despite the constraints, Malinga said dfcu Bank has continued to support complex projects through partnerships with Development Finance Institutions (DFIs), which provide longer-term funding and technical expertise.
He explained that co-financing and co-underwriting arrangements allow banks to participate in large-scale projects that would otherwise exceed their lending capacity, while also improving project evaluation through shared knowledge.
“Blended financing structures are becoming increasingly important. They allow us to mobilise larger pools of capital while managing risk responsibly,” he said.
Malinga also highlighted the role of portfolio guarantees in attracting private sector investment, noting that such mechanisms help mitigate risks associated with construction, operations and regulation.
“Risk-sharing instruments are essential if we are to unlock the level of investment required to support Uganda’s energy transition,” he added.
He stressed that successful financing depends on well-structured, bankable projects with clear revenue streams and strong commercial viability.
Beyond the banking sector, Malinga called for government action to strengthen the policy and regulatory environment, including the use of infrastructure bonds and innovative financing instruments to deepen capital markets.
The convention also reviewed Uganda’s broader blended finance agenda, including plans to expand the Green Energy Facility and Guarantee Fund to $800 million by 2030.
Participants further discussed the proposed Green Bond Framework and the potential of carbon finance under Uganda’s Energy Compact, with carbon revenues expected to support clean energy programmes from 2029.
The discussions highlighted the need for coordinated efforts across government, financial institutions and the private sector to mobilise capital and accelerate Uganda’s transition to a low-carbon economy.
