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The invisible migration: How urban refugees are powering Uganda’s economy

May 6, 2026

Thousands of refugees in Uganda are leaving rural settlements for Kampala's urban areas, where they are establishing businesses and becoming active economic contributors rather than aid recipients. Entrepreneurs like tailor John Babish Makando from the DRC and vegetable vendor Amina have built successful enterprises in Makindye suburb, paying taxes, creating jobs, and fostering cultural integration with host communities. Organizations like the Bondeko Refugee Livelihoods Center provide crucial vocational training, financial literacy, and entrepreneurship support to help refugees achieve self-reliance.

Who is affected

  • 1,961,518 refugees and asylum seekers in Uganda (as of October 31, 2025), particularly the nine percent residing in urban areas
  • Refugees from Democratic Republic of Congo, Somalia, South Sudan, Eritrea, Sudan, Ethiopia, Rwanda, and Burundi
  • John Babish Makando (tailor from Eastern DRC)
  • Amina (Congolese vegetable vendor)
  • Ugandan nationals and host communities in Kampala's Makindye and Zana suburbs
  • Over 3,500 people assisted by Bondeko in the previous year
  • 1,110 individuals participating in 37 savings groups through Bondeko
  • Refugee families using Bondeko's law clinic services

What action is being taken

  • Refugees are operating businesses including tailoring, food vending, and cosmetic services in Kampala
  • Urban refugee entrepreneurs are paying taxes (KCCA Trading Licenses, Local Service Tax, and market dues)
  • Bondeko Refugee Livelihoods Center is training refugees in hairdressing, tailoring, ICT, and makeup
  • The center is operating 37 savings groups and providing entrepreneurship and financial literacy training
  • Bondeko is helping refugees register as Community Based Organizations (CBOs) to access financial institutions
  • John Babish Makando is training fellow refugees and host community members in tailoring skills
  • The center is running a bakery, mushroom farms, a law clinic, and a youth center

Why it matters

  • This transformation matters because it challenges the traditional aid-dependency model of refugee assistance and demonstrates that refugees can become significant economic contributors when given appropriate support and opportunities. The entrepreneurial activities generate tax revenue for urban development, create employment opportunities, and promote social cohesion between refugee and host communities through cultural and economic exchange. With humanitarian funding cuts reducing settlement rations to near-zero in 2026, this model of self-reliance represents a critical pathway for refugee survival and integration. The success of these urban refugee entrepreneurs validates Uganda's progressive refugee policy and provides a replicable model for other nations hosting displaced populations, showing that investment in skills training and financial literacy can transform refugees from aid recipients into taxpayers and job creators.

What's next

  • No explicit next steps stated in the article

Read full article from source: Global Voices