Equity Bank Uganda and Unilever Uganda have entered into a financing partnership with the aim of providing credit facilities to different suppliers in a move that should ease both liquidity constraints and operational challenges.
This collaboration was unveiled during a breakfast engagement last week under the theme Unlocking Financing Opportunities for Distributors.
At the heart of this partnership is the introduction of the Eazzystock Financing product, a tailored working capital loan solution designed specifically for distributors, retailers, and stockists within Unilever’s supply chain.
The initiative seeks to provide easier access to affordable funds, enabling distribution partners to maintain sufficient inventory levels, improve cash flow management, and ultimately boost the entire supply chain across Uganda.
The program is a clear response to the critical need for flexible financing options to support small and medium sized enterprises that form the backbone of Uganda’s economy.
Christine Mukasa Mugerwa, the acting head of Corporate Banking at Equity Bank Uganda, emphasized the social impact of this initiative, stating that Equity’s mission in Uganda is driving social and economic transformation.
“That bar of soap matters. So, how do we ensure it reaches the people who need it, while transforming the shop attendant’s life in the process?” Mugerwa asked.
She added: “You need funds that move as fast as your business. Equity’s working capital solutions tailored for real-world businesses like those in the Unilever ecosystem, are quick, convenient, and require just a one-time sign-up. She highlighted the flexibility of the loan options, which range from Shs 1 million to Shs 3 billion, and the streamlined application process that includes a single sign-up and auto-sweep functionality for seamless access to funds.
Loans up to Shs 1 billion are unsecured, making them accessible to a wide range of distributors. Barbara Aseera, the head of manufacturing and logistics at Equity Bank Uganda, highlighted the strategic importance of the partnership, stating that the partnership facilitates easier access to affordable working capital, enabling Unilever’s distribution partners to maintain inventory levels, improve cash flow management, and ultimately strengthen the supply chain across Uganda.”
Aseera also noted that the stock financing model was developed in response to the Covid-19 pandemic, recognizing the urgent need to support distributors whose working capital had been wiped out during the crisis.
Luck Ochieng, the managing director of Unilever Kenya & Uganda, praised the collaborative effort, stating that Unilever’s success in Uganda is built on the strength of partnerships like the one with Equity Bank, which is not only aimed at moving products but creating opportunities for shared growth.
