Pearl Capital Partners launches UGX23.9bn Dairy-Horticulture Credit Fund

Pearl Capital Partners(PCP) is delighted to announce and launch aUGX23.9 billion (€6 million) Fund with support from The Embassy of the Kingdom of the Netherlands (EKN). The Agro-SACCO-focused credit facility fund will support smallholder farmers in the dairy and horticulture value chains through various access to finance initiatives. The Dairy-Horticulture Credit Limited (‘DHCL Fund’), managed by PCP Uganda Ltd, is a UGX23.9 billion credit facility for wholesale lending to SACCOs, other Cooperatives and SMEs working with and supporting smallholder farmers in the dairy and horticulture value chains. The DHCL fund has two separate credit lines - the Uganda Dairy Credit Facility(UDCF) and Horticulture Credit Line; each capitalized with UGX11.9 billion (€3million).

The credit fund will lend efficient medium-term loans to SACCOs and Cooperatives in Uganda’s central, Eastern, Western and Southern regions for onward lending tot he dairy and horticulture smallholder farmers and farmer groups. The objective of the Fund is to provide affordable and accessible capital to SACCOs and cooperatives that work with and support smallholder farmers in the dairy and horticulture value chains, with a focus on promoting inclusive and sustainable development in the dairy and horticulture sectors. The product is designed to enable SACCOs to offer loans to their members that are tailored to the needs of smallholder farmers, with a range of loan products that cater to different requirements such as animal feeds, quality agro-inputs, quality breeding, water harvesting systems, pre and post harvesting systems among others.


The DHCL fund impact and focus areas will include increased inclusion of women and youth in access to credit, improved technical and governance capabilities of SACCOs to deliver affordable credit to farmers, growth in SACCO membership and supporting SACCOs in the development of products that minimize the impact of climate change. The DHCL fund will also seek co-investment opportunities and partnerships with existing similar funds.


In implementing this Fund, PCP Uganda collaborates with the SNV Netherlands Development Organization to provide technical support to the dairy sub-sector under the Integrated Smallholder Dairy Development Program(ISDAP). ISDAP is an integral component of The Inclusive Dairy Enterprise(TIDE-II) project implemented by SNV. On the side of horticulture, PCP Uganda has a collaborative working relationship with TechnoServe Uganda, which provides technical support under the Horticulture Market Acceleration Project(HortiMAP). The major role of TIDE-II and HortiMAP in the implementation of this fund is the provision of technical assistance to SACCOs, cooperatives, farmers and local value chain actors to strengthen their management and entrepreneurial capacities. The two partners also playing the role of technical advisor, and monitoring the use of the facility by SACCOs and farmers.

Hans Raadschilders, First Secretary Food Security & Nutrition Netherlands Embassy said “Lack of access to credit is one of the major hurdles for smallholder agricultural development. If credit is available, then it often does not align with the needs of smallholder households. The embassy is happy to be part of this project that links the access to credit with the development of appropriate credit products that align with the needs and priorities of smallholder and thereby stimulate the needed investment and development.

Edward Isingoma Matsiko, a Managing Partner at PCP, said: Securing EKN’s support is a significant milestone and an endorsement of PCP’s strategy regarding solving the access to finance issues for the less privileged smallholder farmers in Uganda’s key Agri-sectors. Dairy and Horticulture credit fund presents an opportunity for small-scale farmers to improve production and productivity for economic growth in the two sub-sectors. Uganda has a favorable climate with evenly distributed rainfall and a moderate climate that allows dairy, tropical fruits, and vegetables to flourish. While the natural conditions are favorable, the potential of the two sub-sectors has not been maximized. Some of the key limiting factors, such as low productivity, quality, food safety, and access to relevant lines of credit, will be addressed by this Fund.

Phomolo Maphosa, the Country Director of SNV in Uganda, said: We are proud to partner with PCP Uganda and EKN in this innovative Fund that will enhance financial inclusion for smallholder farmers in the dairy sectors. This Fund aligns with SNV’s overall goal of creating sustainable and more equitable lives for millions of people living in poverty. By providing access to affordable finance, we enable smallholder farmers to invest in quality inputs, technologies, and practices to improve their productivity, incomes, and resilience.

Annette Kawooya Bogere-Project Director HortiMAP said. Technoserve with support from EKN is addressing critical needs innovatively through personalized services key to integrating more smallholder farmers into larger supply chains, fostering confidence, and expanding access. The Horticulture Credit Line is specifically designed to cater to the unique needs of smallholder farmers to foster their growth and adoption of efficient and climate resilient technologies. It is the perfect response to the needs of many smallholder farmers, who should have the opportunity to access it, leading to amore vibrant and sustainable agricultural sector.

Peter Tumuhimbise General Manager Butuuro Financial Services said: It’s a great honor to be chosen among many SACCOs in the country for our Dairy farmers, supporting small holder farmers is a means of fostering growth and development plan to increase household income of our members, developing our farmers is developing our SACCO and our nation. In Bushenyi – Western Uganda most people have small pieces of land and relay on subsistence farming and as a SACCO, we continue to support zeal grazing to perfect utilization of small land through capacity building and value addition of farming products for commercialization purposes”.  

Kigenyi Richard General Manager Nazigo Sacco said: Nazigo Sacco with support from Dairy Horticulture Credit Limited through Pearl Capital Partners, is committed to serving its members with affordable and accessible loans specifically to Horticulture farmers across the entire value chain through its Ebibala Bugaaga loan product. Horticulture credit will greatly improve farmers’ production and productivity, improve farmer household income and increase food security. Smallholder farmers will be economically empowered to improve their savings with the SACCO”.

About DHCL Partners.


The Embassy of the Kingdom of the Netherlands in Kampala represents, promotes, and protects the interests of the Government of the Netherlands.


SNV is a mission-driven global development partner focusing on revolutionizing agri-food, energy, and water systems for sustainable livelihoods. With 34years in Uganda and a decentralized presence across 100+ districts, SNV collaborates closely with communities, offering services like advisory and stakeholder influencing. By providing technical assistance, SNV aims to drive growth, job creation, enhanced access to essential services, and increased income making a meaningful impact and catalyzing system-wide change.


Techno Serve is an international non profit organization that promotes business solutions to poverty in developing countries. It is headquartered in Washington, DC, and operates in 29countries worldwide. TechnoServe’s mission is to work with enterprising men and women in the developing world to build competitive farms, businesses, and industries. It does this by linking people to information, capital, and markets.


PCP Uganda Ltd, a Kampala-based agriculture investment firm, is licensed by the Capital Markets Authority of Uganda. Its decade-long focus on small and medium-sized East African agribusinesses has generated robust financial returns and significant social impact. Over 18 years, it has managed four agriculture impact funds with combined assets of US$70 million and invested in over 50 agribusinesses. Its active portfolio includes 16 companies under the Yield Fund, primarily in Uganda, and partnerships with two large horticulture SMEs. Through strategic investments, PCP continues to drive transformative change in the agricultural


For more information about the DHCL, contact: PCP Uganda, Plot M697, Equata Building 2nd floor UMA Show Grounds, Lugogo. P.O Box 15373 Kampala Uganda. Telephone 256 393264983/4, email: