The Skills Development Facility is part of the Uganda Skills Development Project (USDP) under Component 3 and is implemented by Private Sector Foundation Uganda (PSFU) on behalf of Ministry of Finance, Planning and Economic Development. It is a facility for support to employer-led short-term training and recognition of prior learning as well as increased access to internships for TVET students. The economic benefit of this type of training has proved to be substantial in terms of wage growth and labor productivity. The training, which is co-financed by the private sector through a matching grant contribution, will stimulate partnerships between firms, industry associations and training institutions.

The focus is on short-term, practical and technical training of employees (including business skills for the informal sector) ranging from few days to not more than six months. The actual executing of the training must not exceed one year. The Skills Development Facility mainly finance costs associated with development and delivery of the supported training activities. Acquisition of equipment will only be financed in rare cases where this is vital for the implementation of the approved activities. The Facility, initially focus on four sectors; Agriculture, Construction, Manufacturing and Auto mechanics, but other sectors may also be eligible for support. The Grants committee has evaluated & awarded various groups; companies across the Country grants to-date.

WINDOW ONE – Skills shortages in the formal sector with focus on medium and large firms, including increased access to internships;

• Seventy Eight (78) companies have been awarded grants to skill more than 10,000 employees & suppliers.
• Over 1,900 students have accessed internship with 20% of these are women & majority have been retained by host companies.

WINDOW TWO – Skills shortages experienced by self-employed, workers and apprentices in the informal (jua khali) sector, master craftsmen, micro and small enterprises and members of cooperatives;

• Over Three hundred and Fifty (353) organizations have been awarded grants to skill over 40,000 member organizations under the Manufacturing, construction and agriculture sectors

WINDOW THREE: Support to development of new innovative skills training programs;

• Over 7.1 billion Uganda Shillings has been awarded to learning institutions to support; skills training, innovative training, skills for production entrepreneurial production
• Over $170,000 has been awarded to create accreditation centres for certification in Manufacturing, construction and auto mechanics