Ugandan entrepreneur Simpson Birungi’s Movit to receive $20 million backing for expansion

World Bank Group, through its private sector arm, International Finance Corporation, is weighing a financing package of up to $20 million for Movit Products Limited, as the company pushes ahead with regional expansion into Tanzania and scales up operations in Uganda.

The proposed funding will support the establishment of a greenfield manufacturing plant in Tanzania, alongside upgrades and working capital for Movit’s existing Ugandan operations, reinforcing its footprint across East and Southern Africa.

Expanding regional manufacturing capacity

The Tanzanian facility, to be developed under Movit Products (Tanzania) Limited, will produce a wide range of personal care and hygiene products for the domestic market and neighboring countries.

The investment is expected to deepen regional manufacturing capacity, improve access to affordable hygiene products, and reduce reliance on imports, an enduring challenge across many African consumer goods markets.

Movit currently manufactures from its Ugandan base and distributes its products across 10 African countries, positioning itself as one of the region’s leading players in the fast-moving consumer goods segment.

Investment structure and funding mix

The total project cost is estimated at approximately $21.5 million, with IFC expected to provide up to $12 million through an A-loan, alongside up to $8 million mobilized via its Managed Co-Lending Portfolio Program.

The balance of about $1.5 million will be funded through the company’s internally generated cash, reflecting a blended financing structure aimed at supporting long-term expansion.

The Tanzanian plant will be located in Kibaha, while new equipment financed under the project will be installed at Movit’s existing facility in Wakiso District, Uganda.

Job creation and market impact

The project is expected to generate about 349 direct jobs, with additional indirect employment through supply chain linkages and increased consumer spending.

Beyond employment, the investment is positioned to enhance competitiveness in Tanzania’s personal care and hygiene sector by demonstrating the viability of large-scale manufacturing in the FMCG segment, potentially attracting further regional and international investment.

Ownership and strategic support

Movit Products Limited is majority owned by Simpson Birungi, who holds a 96.5% stake, alongside minority shareholders Jackson Turyatunga and Grace Katushabe. The Tanzanian subsidiary has a slightly diversified ownership structure, with Simpson Birungi retaining a controlling stake, alongside Jimson Birungi and Jackson Turyatunga.

In addition to financing, IFC is expected to provide operational and strategic support, including industry expertise, corporate governance strengthening, and improvements in environmental and social standards.

Strengthening Africa’s FMCG ecosystem

If approved, the investment will underscore IFC’s role in supporting Africa’s industrialization through local manufacturing, particularly in essential consumer goods such as hygiene and personal care products.

With demand rising across fast-growing urban populations, expanding local production capacity remains critical to improving product accessibility while driving value addition within the continent.