By KT Reporter
The electric motorcycle market in Uganda is poised for rapid growth as asset financing companies step in to address the cost and financing challenges that have slowed the industry’s expansion. Uganda’s e-mobility sector started slowly, and by 2018, when Zembo launched production, there were fewer than 10 electric motorcycles in the country.
The number grew to 750 units by the end of 2022 and to about 4,200 by the end of 2024. When the first electric cycles were introduced, public skepticism threatened the market’s growth. Many people doubted their durability, performance, and ability to handle Uganda’s rough terrain, which seemed to outweigh the potential benefits of the new technology.
Those doubts now appear to have been overcome. Zembo Chief Executive Officer James Obarowski says the company currently has a production backlog due to high demand.
Obarowski was speaking at the launch of a financing partnership between Zembo and Tugende, an asset financing company in Uganda, that will enable prospective riders to acquire electric motorcycles on credit.
The growing adoption of e-mobility has attracted more producers, and companies project that by the end of 2025, Uganda will have at least 50,000 electric motorcycles, rising to 140,000 by 2028. Other companies in the electric motorcycle space include Spiro, GOGO, and the University of East Africa.
The price of an ordinary electric bike has dropped from about UGX 7 million to UGX 5 million, a reduction Obarowski attributes to increased research, local experience, and technological improvement. He says the partnership with Tugende will further ease access to electric motorcycles.
To demonstrate their durability, he noted that some customers who bought Zembo cycles in 2018 are still using them — thanks to readily available spare parts, low maintenance costs, and performance comparable to fuel-powered motorcycles. Regarding charging infrastructure, Obarowski said the company is expanding its battery swap and charging network at a rate of 10 new stations per month, with 50 already operational in and around Kampala.
Tugende Limited is a profit-driven social enterprise that uses asset finance, technology, and a customer-centric model to help informal sector entrepreneurs (MSMEs) increase their economic stability and growth. The partnership establishes Zembo as Tugende’s official electric motorcycle partner, aiming to “dramatically” expand access to affordable, zero-emission transport for boda boda riders in urban and peri-urban centers across Uganda.
“This collaboration moves beyond simply swapping fuel for batteries. It represents a coordinated effort to address high operating costs and environmental impact, directly empowering riders essential to the economy so they can earn and keep more money for their families and futures,” said Patrick Asiimwe, Tugende Uganda Country Manager. He added that Tugende chose Zembo because of its proven reliability under Ugandan conditions, and as part of Tugende’s commitment to environmental protection and energy transition.
Under the new arrangement, the two companies plan to finance and deploy a large number of Zembo electric motorcycles in the coming months. Tugende will provide flexible financing plans and value-added services, while Zembo ensures reliable access to its growing network of battery swap stations — maximizing riders’ time on the road and reducing operational costs.
Asiimwe said Tugende’s entry into the e-mobility space will also improve the reliability of hire-purchase arrangements, noting that some riders currently acquire motorcycles on credit under uncertain or exploitative conditions.
Tumwine Elly, one of Zembo’s earliest customers who bought his motorcycle in 2018, praised the bike for being easy to maintain, requiring no engine servicing, and having significantly lower running costs compared to fuel-powered motorcycles. He added that the challenges of charging and spare parts have largely been addressed, and that electric motorcycles are safer to operate even at night since they are less attractive to thieves.
Tugende’s Chief Executive Officer, Michael Wilkerson, said they expect a rapid increase in the adoption of electric motorcycles due to the new financing options, which include low upfront costs, quick approvals, and reliable bikes. “This is a clear win for the riders’ finances, the air quality, and the communities we serve,” Wilkerson said.
The rollout begins immediately in major economic hubs — starting with Kampala, and later expanding to Masaka, Jinja, and Entebbe — with a goal of nationwide coverage by mid-2026. With Uganda’s boda boda industry estimated at 400,000 motorcycles, the Ministry of Science, Technology and Innovation says there remains a large gap to fill if the 100% motorcycle electrification target by 2030 is to be achieved.
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