Uganda IFAD Agricultural Financing and Oil Palm Expansion Talks in Rome

Uganda IFAD agricultural financing and oil palm expansion discussions took center stage in Rome as Uganda deepened its partnership with the International Fund for Agricultural Development (IFAD).

Uganda’s Minister of Finance, Planning and Economic Development, Matia Kasaija, held high-level talks with Alvaro Lario, President of International Fund for Agricultural Development, in Rome, Italy. The meeting focused on strengthening development cooperation and accelerating agricultural transformation.

USD 100 Million Boost for Oil Palm Expansion

During the meeting, Kasaija expressed appreciation for IFAD’s continued financial and technical support. In particular, he welcomed the recently approved USD 100 million financing to expand the National Oil Palm Project into new districts in the Busoga sub-region of Eastern Uganda.

The IFAD Executive Board approved the funding in December 2025. As a result, more smallholder farmers are expected to benefit from improved access to inputs, markets, and extension services. In addition, the expansion aims to increase household incomes and reduce poverty in rural communities.

A Long-Standing Development Partnership

Uganda and IFAD have maintained a strong partnership since 1981. Over the years, they have implemented 19 projects valued at USD 659.3 million. These interventions have focused on raising rural incomes, strengthening food security, and building resilience among farming households.

Moreover, IFAD-supported projects have helped farmers improve productivity and access better market opportunities. Consequently, rural livelihoods have steadily improved in targeted regions.

2021–2027 Strategic Programme

Currently, the two parties are implementing the 2021–2027 Country Strategic Opportunities Programme (COSOP). This framework aligns with Uganda’s National Development Plans, IFAD’s corporate priorities, and the United Nations Sustainable Development Cooperation Framework.

Importantly, the programme emphasizes climate resilience, value chain development, and inclusive rural finance. Therefore, it supports both economic growth and social inclusion.

Ongoing Public Sector Projects

Several major projects are under implementation:

• National Oilseeds Project (NOSP) (2019–2028) — USD 99.56 million in IFAD financing.
• National Oil Palm Project (NOPP) (2018–2029) — USD 77 million in financing.
• Resilient Livestock Value Chain Project (ReLIV) (2024–2033) — USD 99.57 million in financing.

Together, these projects aim to modernize agriculture, strengthen value chains, and enhance rural incomes across Uganda.

Call for Faster Implementation

President Lario reaffirmed IFAD’s commitment to supporting Uganda’s agricultural transformation agenda. However, he urged the Ministry of Agriculture, Animal Industry and Fisheries to accelerate project implementation. Faster execution, he noted, will ensure timely benefits for rural households.

Overall, the Uganda IFAD agricultural financing and oil palm expansion partnership reflects a shared commitment to sustainable rural development. With new funding secured and strategic programmes aligned, Uganda is positioning its agricultural sector for long-term growth.