The Government of Uganda, under the National Development Plan (NDP) III, identified Private Sector Development (PSD) as a cornerstone for achieving sustained economic growth, job creation, increased household incomes and poverty reduction. The PSD Programme was thus structured to address systemic constraints affecting the private sector, such as; limited access to affordable financing, low firm-level productivity and innovation, poor business regulatory environment and a generally low level of enterprise formalization, especially among micro, small, and medium-sized enterprises (MSMEs).

The PSD Programme under the Secretariat for PSD/DPI Programmes, being a core component of Uganda’s socio-economic transformation agenda, carried out an assessment. This was to establish the level of awareness of PSD interventions in Local Governments, alignment of Local Government implementation of PSD interventions with the PSD PIAP, evaluate the effectiveness of funding mechanisms, document challenges and best practices, so as to generate practical recommendations for improved implementation.