President Museveni has urged Italian investors to establish industries in Uganda, particularly in coffee processing, mineral beneficiation, electric vehicle battery manufacturing and agricultural production, saying the country is seeking partnerships that create jobs, transfer technology and accelerate industrialisation.
Museveni made the appeal on Saturday, November 7, 2026, while meeting a delegation of more than 80 Italian government officials, investors, business representatives and development partners at State House, Entebbe.
The President said Uganda and Italy had significant opportunities to strengthen their economic and diplomatic relations, calling on European investors to support Africa’s industrial transformation by investing in local production and processing instead of concentrating on the export of raw materials.
“Why would you want to do business with a poor man if you really understand that prosperity comes from business, from trade? Why do you want to trade with a poor man? I want my trading partner to be rich,” Museveni said.
He explained that sustainable prosperity depended on producing goods and services with economic value and trading them in domestic and international markets.
“Prosperity comes from business. If you want prosperity, you must do business. Business means producing a good or a service of economic value and selling it. The more you sell, the more prosperous you become,” he said.
Museveni argued that Africa continued to lose substantial economic opportunities by exporting raw and semi-processed products, particularly agricultural commodities and minerals, instead of processing them locally.
Using coffee as an example, he said Uganda earns slightly more than $2 per kilogramme from exported coffee, while processed coffee products can fetch considerably higher prices in European markets.
“This kilo in Europe is like $40 or more,” he said, arguing that establishing processing facilities in Uganda would enable the country to retain a greater share of the value generated from its agricultural products.
“I am sure if we add value here, we will get more from a kilo than $2, and that will give us more money and jobs,” he added.
The President invited Italian companies to establish coffee processing factories in Uganda, assuring potential investors of the Government’s willingness to facilitate partnerships.
“For coffee, we are going to build factories here. I welcome you,” he said.
He also pointed to Africa’s growing population, natural resource base and geographical proximity to Europe as factors that could support stronger economic cooperation between the two continents.
“In the next 30 years, Africans will account for 25 per cent of the world’s population. This represents a huge market that European leaders and investors should not ignore,” Museveni noted.
The President also called on Italian companies to partner with Uganda in mineral processing and the manufacture of lithium batteries for electric vehicles.
He said Africa needed investments that would transform its mineral resources into finished products, strengthen industrial capacity and generate employment.
“Africa has abundant minerals, agricultural resources and a growing pool of human skills and talents needed for industrialisation. What we need are investments that transform these resources into finished products, create jobs and expand trade,” he said.
Museveni noted that Uganda had lithium deposits and was already pursuing electric vehicle manufacturing, making battery production an important area for technology transfer and industrial collaboration.
“I am making my electric vehicles now, but I want a partnership in making batteries. We have lithium here, but I want a partnership. If you could get me people to share with me, because an electric battery is a bigger part of the electric car,” he said.
He urged Italian investors to pursue partnerships that benefit both countries, citing the operations of Chinese and Indian-owned factories in Uganda as examples of foreign investment contributing to local industrial activity.
“I am very happy to talk to you, but we need a partnership of win-win. I can assure you these factories of the Chinese and of my Indian tribe here are very active. It is being short-sighted to have a win-lose strategy; a win-win is better,” he said.
Museveni further observed that industrialisation in major economies such as China had created opportunities for producers worldwide through increased demand for commodities such as steel.
He said Uganda could similarly benefit from expanding global trade by investing in its mineral resources, agricultural production, freshwater resources and human capital.
“The opportunities are very clear: investments using abundant raw materials; raw materials from minerals, agriculture, fresh water and human skills,” he said.
Prime Minister Robinah Nabbanja highlighted the growing cooperation between Uganda and Italy, particularly in agriculture, coffee development, healthcare, waste management and agricultural mechanisation.
She said bilateral relations had strengthened following her 2024 visit to Rimini, Italy, where she held discussions with Italian Deputy Prime Minister Antonio Tajani on Uganda’s development priorities.
Nabbanja noted that Italy had since reopened its development cooperation office in Uganda, which also serves Rwanda and Burundi, providing an institutional framework for implementing development programmes and supporting initiatives through grants, particularly in the health sector.
She revealed that Italy had mobilised €120 million to support Uganda’s coffee sector, with €60 million expected as the first instalment.
The European Union had separately pledged €44 million towards the same initiative.
According to the Prime Minister, the funding will support efforts to improve coffee production, processing and quality, with the United Nations Industrial Development Organization (UNIDO) also providing support to Uganda’s interventions.
Nabbanja further announced that construction of the Uganda-Italy Coffee Training Centre at Kyambogo University had been commissioned.
The facility is expected to equip Ugandans with practical skills in coffee processing, roasting and quality improvement, strengthening local expertise across the coffee value chain.
“Yesterday, I commissioned the commencement of construction of the factory at Kyambogo University, and this was a big milestone. The centre is going to help us in training our people. It is a grant from Italy which is going to train Ugandans in coffee processing, roasting and quality improvement. I want to thank the Government of Italy for this,” she said.
The Prime Minister also highlighted Italy’s support for urban development through a €70 million Green Cities initiative being implemented in partnership with the Food and Agriculture Organization (FAO).
The programme is expected to support cleaner and more resilient urban centres, improve food safety and market conditions, strengthen environmental sustainability and create economic opportunities in Kampala and Hoima.
Nabbanja said the initiative was funded through an Italian Government grant.
She also announced a €12.75 million grant towards the Prevention, Research and Integrated Services for Maternal, Child and Cancer Health Care project, known as PRISMA.
The project will be implemented by Italian organisation AVSI in collaboration with Uganda’s Ministry of Health.
In another area of cooperation, Nabbanja revealed that Greater Hoima, Greater Masaka and Mubende had jointly developed a €7 million pilot training programme in partnership with Italy’s Basilicata region.
The initiative will focus on food security and agricultural mechanisation and is expected to support local capacity development while attracting private investment.
She said the programme would complement Uganda’s Tenfold Growth Strategy by supporting productivity, value addition and investment in agricultural production.
The Prime Minister added that the growing partnership would also create opportunities for Ugandan businesses to access concessional financing and grants for processing agricultural and mineral products.
She thanked the Italian Government for its continued interest in Uganda and the increasing number of Italian investors exploring opportunities in the country.
Speaking on behalf of the Italian delegation, Riccardo Guariglia, Secretary-General of Italy’s Ministry of Foreign Affairs, reaffirmed his country’s commitment to strengthening bilateral relations.
He said the delegation comprised more than 80 representatives from development cooperation agencies, civil society organisations, universities, local authorities, financial institutions, healthcare, business and the defence industry.
Guariglia thanked Museveni for receiving the delegation, describing Uganda as an important partner in Italy’s international cooperation agenda.
“Uganda is a priority country for us. The composition of this big delegation shows the interest,” he said.
He explained that Italy’s development cooperation approach was based on equal partnerships, technology transfer and the sharing of expertise rather than charity or imposing development solutions on partner countries.
“Our philosophy of cooperation towards Uganda is very easy. We want to work among peers. We don’t want to impose anything. We don’t want to make any charity. We want to transfer technology and know-how, and we all support this approach,” Guariglia said.
He identified healthcare, agriculture, coffee development and environmental sustainability as priority areas for expanded cooperation.
The Italian official also announced that the visit would include the signing of an agreement establishing a legal framework for bilateral development cooperation, particularly programmes implemented through Italy’s cooperation office in Uganda.
Guariglia commended Uganda’s contribution to regional peace and stability, particularly its role in hosting and protecting refugees.
He said Italy recognised Uganda’s contribution to regional stability despite the geographical distance between the two countries.
The engagements culminated in the signing of a bilateral Development Cooperation Agreement between Uganda and Italy, witnessed by President Museveni.
The agreement provides a framework for strengthening cooperation and advancing joint development initiatives in areas of mutual interest.
The partnership is expected to support investment, agricultural development, coffee production, healthcare, environmental sustainability, industrialisation and technology transfer.
The agreement also provides an institutional basis for expanding cooperation between the two countries, as Uganda seeks to attract foreign investment into productive sectors, increase local processing and strengthen its manufacturing capacity.
With Italian investors expressing interest in Uganda’s economic opportunities, the partnership presents another avenue for advancing the country’s value-addition agenda and strengthening commercial relations with European markets.
