Uganda has unveiled an ambitious $5.5 billion digital infrastructure project that aims to use blockchain technology to link its entire economy, including farms, factories, power plants, and financial systems.
The initiative is being led by the Global Settlement Network (GSN), a U.S.-based blockchain infrastructure firm, in partnership with Uganda’s Diacente Group, the Karamoja Green Industrial and Special Economic Zone (GISEZ) developer.
In a statement released on Wednesday, both companies say the goal is to build the world’s most advanced tokenised economy to turn the nation’s physical assets into digital ones that can be traded, financed, and monitored in real time.
Uganda $5.5 billion to power a new digital economy
According to a joint statement from GSN and Diacente, the project will be backed by $5.5 billion worth of real-world assets, including agricultural processing hubs, mining operations, and renewable energy plants.
This funding will come from tokenised loans and foreign investors, particularly from Korea and the Middle East.
Uganda’s first Central Bank Digital Currency (CBDC), the digital shilling, is at the initiative’s core. Currently in the pilot phase, the currency will be backed by Ugandan treasury bonds and deployed on GSN’s permissioned blockchain.
It will operate in a regulated environment that complies with local and international standards, including full Know-Your-Customer (KYC) and Anti-Money Laundering (AML) protocols.
Importantly, the CBDC will be accessible through smartphones and even USSD codes, so anyone with a basic phone can use it.
This design choice could bring secure, digital transactions to over 40 million Ugandans, many of whom rely on cash and informal trade.
“This is how we close the gap between digital finance and real-world impact,” said Ryan Kirkley, Co-Founder of GSN. “We’re building infrastructure that goes beyond theory; a programmable economy grounded in real assets, regulatory collaboration, and mass accessibility.”
What farmers and small businesses should expect
The new digital network will make it easier for farmers, traders, and small businesses to receive instant payments, access loans, and participate in formal trade systems.
For example, a farmer supplying crops to an agro-processing hub in Karamoja could be paid instantly through the digital shilling. Small businesses can also build credit histories and secure loans through verified digital records.
“By integrating tokenisation and CBDCs into Uganda’s development roadmap, we’re creating transparent, tech-driven ecosystems that attract new capital, empower local industries, and scale sustainable growth from the ground up,” said Edgar Agaba, Chairman of Diacente Group.
Uganda’s government has designated the Karamoja Green Industrial and Special Economic Zone as a national flagship project under its Vision 2040 development plan.
The zone is expected to create over one million jobs and generate up to $10 billion in annual exports. It also supports the African Union’s Agenda 2063 and aligns with the African Continental Free Trade Area (AfCFTA) goals.
Peter Turyasingura, Diacente’s Chief Investment Officer, added that job creation will extend beyond the industrial zones: “The jobs are projected to be created through the entire ecosystem—agriculture, mining, industries, and logistics. This includes all the value chains and supporting infrastructure.”
Building the rails for Africa’s digital economy
The Global Settlement Network’s proprietary blockchain, GSX Protocol, will be the system’s backbone, enabling asset tokenisation and secure transaction settlement.
The design allows Uganda to maintain control of its digital infrastructure while connecting to international financial systems.
According to GSN, this model avoids the pitfalls of earlier digital currency experiments like Nigeria’s eNaira, which struggled with adoption due to limited real-world utility.
“Previous systems failed because they were not linked to real use,” Kirkley noted. “We are starting with industries, jobs, and production—so people have a reason to use it.”
Lastly, the initiative represents a notable step toward a fully integrated, digitally powered economy for Uganda and the East African region. It aims to make trade faster, cheaper, and more transparent, while reducing reliance on foreign financial intermediaries.