Wednesday, July 24News That Matters

UDB forecasts economic rebound in 2023 after posting strong growth in 2022.

Uganda Development Bank (UDB), the country’s national Development Finance Institution, has today announced excellent results for 2022 reflecting strong investment in various businesses across the country, improved livelihoods and heavy support towards the economic recovery and resilience of Uganda.
In 2022, UDB registered a 52% gross loan portfolio growth from Shs851 Billion in December 2021 to Shs1,298 Billion in December 2022. The Bank’s total assets currently stand at UGX1.44 Trillion, growing by 19% from UGX1.21 Trillion at the start of 2022.
This growth is on account of growth in funding, mainly through capital allocations from government and draw down of lines of credit from various our other funding partners. “This performance is anchored on the Bank’s deliberate efforts towards the revitalization and transformation of Uganda’s economy,” said UDB’s Managing Director, Patricia Ojangole.
“This gives us confidence that we are on track to achieve our strategic objectives.” Uganda has lived through major socio-economic shocks in the last three years including Covid-19, adverse climate and the impacts from geopolitical shocks. UDB remains consistent in supporting the government in the delivery of national objectives.
“Our product portfolio has been designed to support key priority sectors to achieve their full potential which aligns with the country’s strategic direction and National Development Plan III,” Ojangole said.
Approvals The value of new loan applications approved to receive fundings grew by 40% against the 2021 performance registering a total of Shs894 Billion from the Shs635 Billion registered in 2021.The Industry sector (comprising of manufacturing and agro industry) received the highest number of approvals worth Shs454.75 Billion with primary agriculture receiving Shs96.75 billion.
Disbursements The Bank disbursed a total of Shs776.6 billion during the year 2022, improving by 81% from Shs428 billion disbursed the previous year 2021. Of this sum, 76% was disbursed to projects engaged in agriculture, agro-processing and manufacturing.

Leave a Reply

Your email address will not be published. Required fields are marked *