Ugandan Billionaire Bets on Private Education as Public System Struggles
KAMPALA, Uganda – As Uganda navigates a demographic boom and strives for economic diversification, billionaire Sudhir Ruparelia is making a significant, long-term investment in the nation’s future: private education. Through his Ruparelia Group, he’s rapidly expanding a portfolio of schools and Victoria University, positioning himself as a key player in a sector grappling with both immense opportunity and persistent challenges.
Uganda is one of the world’s youngest countries, with a median age of just 16.4 years, according to the United Nations Population Fund (UNFPA). This translates to a rapidly growing student population, placing immense strain on the public education system. Overcrowding, limited resources, and funding shortfalls are chronic issues, prompting many parents to seek alternatives.
“The public system is simply unable to cope with the sheer number of students,” explains Dr. Jane Nakabuye, an education policy analyst at Makerere University. “This creates a space for private institutions to fill the gap, but also raises concerns about equity.”
Ruparelia’s strategy isn’t simply about capitalizing on this gap. It reflects a broader investment philosophy focused on long-term assets and stable demand. Unlike volatile sectors like extractive industries, education offers predictable revenue streams and appreciates in value. School properties are prime real estate, and the demand for education remains consistently high.
“He’s looking at this as a generational investment,” says a source within the Ruparelia Group, speaking on condition of anonymity. “It’s not about quick profits; it’s about building a legacy and contributing to the development of Uganda’s human capital.”
Victoria University, in particular, is adapting to the country’s evolving needs. The university has recently expanded its programs to focus on fields critical to Uganda’s national development goals, including health sciences, business innovation, information technology, and artificial intelligence. This aligns with the Ugandan government’s emphasis on digital transformation and industrialization, outlined in the National Development Plan III.
The government acknowledges the crucial role of the private sector in expanding access to quality education. According to the Ministry of Education and Sports, private schools account for approximately 40% of all schools in Uganda, and enroll over 30% of the student population. Policies are increasingly geared towards fostering public-private partnerships to improve educational outcomes.
However, the rise of private education isn’t without its critics. Concerns remain about affordability and the potential to exacerbate existing inequalities. Fees at private schools can be prohibitive for many families, creating a two-tiered system.
“We need to ensure that quality education is accessible to all Ugandans, regardless of their socioeconomic background,” argues Moses Okello, a civil society advocate focusing on education rights. “Private investment is welcome, but it must be accompanied by policies that promote equity and inclusion.”
Ruparelia’s portfolio addresses this concern, to some extent, through a tiered approach. He caters to both affluent families seeking international curricula and middle-class households prioritizing structured learning environments. This diversified model mirrors his broader business strategy, characterized by calculated risk and a focus on longevity.
Beyond the financial and strategic benefits, investing in education carries significant reputational weight. Schools are deeply embedded in communities and operate under strict regulatory frameworks, fostering stability and accountability. This is particularly important for Ruparelia, who rebuilt his business empire after the 2017 closure of Crane Bank.
The expansion of Ruparelia’s education network reflects a broader trend in Uganda, where private capital is increasingly shaping the education landscape. As the country confronts youth unemployment and the need for a skilled workforce, private institutions are becoming central to workforce preparation.
The future of Uganda’s knowledge economy may well be shaped within the classrooms of these institutions, and Sudhir Ruparelia is betting heavily on that future.