Uganda has maintained its fourth-place ranking in the Absa Africa Financial Markets Index (AFMI) 2024, a position it has held since 2023, according to the AFMI 2024 report released at the 2025 Economic Outlook Forum held in Kampala.
According to the Absa Bank Index, Uganda’s score has increased to 63, driven by strong macroeconomic performance and transparency, and the country has made significant strides in improving its financial markets, rising from the ninth position in 2017.
To enhance market depth, the report proposes linking the Bank of Uganda’s (central bank) Central Securities Depositories with the securities exchange depositories. This would boost liquidity by streamlining the settlement proposals and making it easier for investors to buy and sell bonds.
A more liquid bond market would not only increase investor participation but also create opportunities for raising capital and financial market growth.
David Wandera, the interim Managing Director of Absa Bank Uganda, said Uganda’s rise to the fourth position from ninth in 2017 is a testament to the strong progress the country has made.
Uganda is also making strides in sustainable green financing with several key initiatives already put in place. The country is implementing an ESG banking framework that will guide financial institutions on how to incorporate ESG factors into investment decisions, risk management, and reporting.
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