The Uganda Development Bank (UDB) is being lauded for its pivotal role in driving Uganda’s socio-economic transformation, significantly contributing to the nation’s economic growth and the realisation of the government’s development goals.
Through strategic investments in key sectors, such as agriculture and industrialisation, UDB is empowering the private sector, creating jobs, and fostering sustainable development.
During the Annual General Meeting held on Wednesday, June 18, 2025, Hon. Matia Kasaija, the Minister for Finance, Development and Economic Planning, emphatically hailed UDB’s contributions, highlighting its alignment with Uganda’s National Development Plan and Vision 2040.
“An efficient national development financing institution, such as UDB, is critical in realising our development goals as a country,” Minister Kasaija stated.
He emphasised the Bank’s crucial role in providing long-term, patient capital to support private businesses.
Dr. Patricia Ojangole, the Managing Director of UDB, reiterated the Bank’s unwavering commitment to the government’s economic development agenda.
She underscored UDB’s success in facilitating private sector growth through targeted financial support and enabling productive investments across priority sectors.
“UDB has made strides in facilitating private sector growth across many dimensions. The Bank has made investments in boosting agriculture and manufacturing, whilst also unlocking and improving opportunities in the services sector,” Dr. Ojangole explained.
Tangible Growth and Job Creation
UDB’s impact is evident in its robust financial performance and significant contribution to employment.
Dr.Ojangole noted that in 2024, the Bank’s total assets grew by a commendable 7%, reaching Shs1.78 trillion, up from Shs1.67 trillion in 2023.
This growth, according to Dr. Ojangole, reflects the Bank’s ongoing transformation and strong investment in development projects, bolstered by additional capital from the Government of Uganda and retained earnings.
She also revealed that UDB-supported enterprises created and maintained a total of 55,553 jobs in 2024, marking a 7.2% increase from 51,841 jobs in 2023.
“This impressive growth was fueled by an increase in funded businesses, facilitated by enhanced capital support and heightened economic activity,” Dr. Ojangole noted.
She highlighted the inclusive nature of this job creation, noting that “59.9% of these jobs were taken up by youth, while 31.3% were held by women, reflecting UDB’s continued commitment to inclusive and youth-focused development.”
Powering Industrial Transformation
A cornerstone of UDB’s strategy is its dedication to Uganda’s industrial transformation.
Dr. Ojangole highlighted that in 2024, the industrial sector received a substantial 50% of UDB’s total financing, demonstrating the Bank’s unwavering commitment to agro-industrialisation, manufacturing, and value addition.
With an investment of Shs822 billion, UDB is actively “powering sustainable growth for a better tomorrow,” as Dr. Ojangole stated.
The impact of these investments is clear: enterprises supported by UDB posted profits exceeding Shs1 trillion in 2024, a significant jump from Shs869 billion in 2023.
Furthermore, these enterprises generated Shs1.1 trillion in foreign exchange, a 17% growth from the previous year.
Dr. Ojangole attributed this growth to key drivers such as the agro-processing and manufacturing sectors, reinforcing UDB’s crucial role in accelerating Uganda’s industrialisation and export potential.
Addressing Challenges and Fostering Resilience
Beyond direct financing, UDB is also making bold strides in addressing structural challenges that hinder enterprise growth.
Mr. Geoffrey T. Kihuguru, the Chairman of the Board of Directors at UDB, highlighted the Bank’s targeted institutional interventions, including the launch of its inaugural incubation program and various project preparation activities.
“These interventions are essential in de-risking enterprise financing, enhancing bankability, and driving entrepreneurial resilience, particularly among SMEs,” Mr. Kihuguru noted.
He further emphasised the Bank’s commitment to long-term sustainability through prudent stewardship in asset creation and deployment, as well as maintaining operational efficiency.
In essence, the Uganda Development Bank stands as a critical engine for socio-economic transformation in Uganda.
Through strategic financial support, job creation, and a steadfast commitment to industrialisation, UDB is not only driving economic growth but also laying the foundation for a more prosperous and inclusive future for all Ugandans.