By Diana. N. Kintu.
The Islamic Development Bank (IsDB) has officially approved the second phase of Uganda’s Local Economic Growth Support (LEGS) Project, following a positive review of the initiative in Katakwi District on November 11, 2025. The Bank’s endorsement highlights the remarkable progress the project has made in improving local livelihoods and fostering sustainable development across the country since its launch in 2019.
The announcement was made by Dr. Issahaq Umar Iddrisu, Manager of the IsDB Regional Hub in Kampala, who led a team that visited project sites and engaged with district leaders to assess the impact of the initiative. During the visit, Dr. Umar praised the Ugandan government and it’s implementing partners for their dedication, coordination, and commitment to ensuring the project’s success. He singled out the Ministry of Local Government, the Millennium Promise Alliance, and the Microfinance Support Centre for their significant role in improving livelihoods in participating communities.
“Uganda stands out as a model among the countries supported by the Islamic Development Bank,” Dr. Umar stated. “Each time we share examples of successful project implementation, Uganda features prominently.” He attributed this success to strong leadership at the district level and the consistent support provided to project teams, which has directly translated into visible improvements in the lives of local residents.
The LEGS Project currently operates in 17 districts, including Katakwi, with a primary focus on boosting local economic development at the grassroots level. Over the first phase, the project has delivered several tangible outcomes, including the construction of community access roads that improve connectivity, the provision of reliable water sources for domestic and commercial use, and the establishment of bulking and agro-processing facilities that enable farmers to add value to their produce. These interventions have not only improved access to basic services but have also created opportunities for income generation and employment, particularly among rural populations.
The success of the initial phase played a pivotal role in the Bank’s decision to fund a second phase of the project, which is scheduled to begin in 2026. Dr. Umar emphasised that the new phase will build on previous achievements and expand initiatives aimed at sustainable local economic empowerment. “This approval is a direct result of the good work and successes registered under the first phase of the project,” he said, noting that the continued support of district leaders and local stakeholders will be critical to achieving further impact.
Implemented by the Ministry of Local Government with funding from the Islamic Development Bank and the Lives and Livelihoods Fund, the LEGS Project is designed to strengthen local economies by improving essential infrastructure, promoting community enterprises, and generating long-term employment opportunities in rural areas. By combining infrastructure development with enterprise support, the project seeks to create a lasting foundation for inclusive economic growth and community resilience.
The Bank’s positive evaluation of Uganda’s performance under the LEGS Project reinforces the country’s reputation as a leader in effective project implementation and development management. It also underscores the potential for strategic partnerships between international financiers and local governments to achieve sustainable development outcomes. As the project enters its next phase, officials and stakeholders remain optimistic that expanded interventions will further empower local communities, stimulate economic activity, and enhance living standards across Uganda’s rural districts.