Museveni Orders Govt Bailout for Late Aponye’s Business Empire

President Museveni has directed Prime Minister Robinah Nabbanja to spearhead a government-led intervention to rescue the ailing business empire of the late tycoon Apollo Nyegamehe, widely known as Aponye, whose death in 2023 left his companies facing severe financial distress.

In a letter dated April 28, 2025, and issued from State House, Entebbe, the President responded to an appeal from Ms Vangi Nyegamehe, a shareholder in Aponye (U) Ltd, who detailed the debt crisis and operational difficulties facing the once-thriving enterprise.

“I have received your letter dated the 3rd of April, 2025, regarding the indebtedness of your companies. By the copy of this letter, I direct the Rt. Hon. Prime Minister to coordinate the Ministries of Finance and Science Innovation in the effort to rescue Aponye’s businesses,” Museveni wrote.

Aponye (U) Ltd was a major indigenous enterprise with deep roots in food importation and distribution, transport, agro-processing, and real estate.

It played a critical role in Uganda’s food security, especially during humanitarian crises, by supplying maize and beans to government relief programs.

It also provided employment to hundreds of Ugandans across various sectors.

However, the death of Aponye in a fatal road accident along the Kabale-Katuna highway in July 2023 plunged the company into turmoil.

Since then, the business has faced ballooning debts, disrupted operations, and internal instability, prompting fears of collapse from the Nyegamehe family.

President Museveni’s directive calls for urgent, coordinated action involving key ministries to design a financial recovery plan.

The letter was also copied to the Vice President, the Ministries of Finance and Trade, the Permanent Secretary to the Treasury, the Ministry of Science, Technology and Innovation, and the Attorney General.

The intervention reflects the government’s policy stance of extending lifelines to private sector actors deemed strategically important to national development.

Aponye (U) Ltd’s extensive involvement in Uganda’s agricultural supply chain and its local ownership make it a strong candidate for state support, according to officials familiar with the case.

This would not be the first time the Ugandan government has stepped in to rescue distressed private entities.

In 2022, ROKO Construction Company received a Shs202 billion bailout to ease liquidity pressures and continue delivering key infrastructure projects.

Similarly, Atiak Sugar Factory, partly owned by businesswoman Amina Hersi, benefited from state support to stabilize its operations in northern Uganda.

But these interventions have not been without controversy.

Critics point to what they call the government’s selective and opaque bailout criteria.

The collapse of the Sembule Group—once a cornerstone of Uganda’s electronics and manufacturing industry—despite repeated pleas from its founder, the late James Mulwana Ssembusi, is often cited as an example of inconsistency and favoritism.

“Why save some companies while letting others with equal or greater national value fall?” asked one Kampala-based economist, who requested anonymity.

“We need a transparent bailout policy grounded in objective economic criteria, not personal or political considerations.”

Still, for the Nyegamehe family and employees of Aponye (U) Ltd, the President’s directive offers a ray of hope.

With the Prime Minister now tasked with coordinating the rescue plan, attention will shift to the nature of the proposed measures—whether through capital infusion, loan restructuring, tax waivers, government guarantees, or even partial state ownership.

What remains clear is that the fate of Aponye’s empire will serve as a major test case in Uganda’s evolving industrial policy, as the government balances economic pragmatism with political loyalty and public accountability.