Uganda Development Bank Limited

UDBL began operating in 1972 and was the first development finance institution established by the government of Uganda. The main objective of UDBL is to promote and finance development in various sectors of the economy with particular emphasis on agriculture, industry, tourism, housing, and commerce.[2] As of December 2019, UDBL's total assets were valued at UGX:486.37 billion (US$130 million).[1] At that time, shareholders' equity was approximately US$91 million.[3]

In June 2018, the government negotiated for a $20 million (UShs76 billion) loan from the African Development Bank to capitalize UDBL, primarily to lend to the agricultural sector for mechanization and value addition.[4]

UBDL was established in 1972. The political leadership in Uganda changed in 1979, and UDBL was then able to obtain large credits from external financiers, like the African Development Bank, the International Development Association, the European Investment Bank, the European Economic Community, the Organization of Petroleum Exporting Countries, and the Arab Bank for Economic Development in Africa (Banque Arabe pour le Développement Economique en Afrique) (BADEA).[5] With these funds, UDBL's focus shifted to financing medium and long term projects in agriculture,[6] manufacturing, and tourism.[1] Between 1997 and 2001, the bank was restructured, recapitalized, and re-organized as a limited liability company, wholly owned by the government of Uganda.[7]

As of September 2013, the bank had re-organized and repositioned itself to play a larger and more visible role in Uganda's development finance. It has developed a medium-term recapitalization plan (2013-2017) that will increase shareholder's equity from the current UGX:100 billion (US$40 million), to UGX:500 billion (US$200 million).[8][9]

Its growth plan has been streamlined to harmonize with Uganda's National Development Plan (NDP) and with Vision 2040. Vision 2040 aims to transform Ugandan society from a peasant population to a modern and prosperous country by the year 2040. Some of the development partners that UDBL is working with include the Kuwait Fund, the African Export-Import Bank, BADEA, and the Islamic Development Bank.[5]

UDB's services include short term loans, medium term loans, long term loans, equity investments, trade finance loans, and bank guarantees.[10]

In February 2019, Fitch Ratings assigned UDB a rating of B+ (stable outlook).[11]

As of August 2018, UDBL's board of directors consisted of:[1]

• Felix Okoboi: Chairman[12]
• John Byaruhanga
• Frank Tumuheirwe:[12]
• Nimrod Waniala
• Henry Balwanyi Magino
• Silvia Angey Ufoyuru
• Patricia Ojangole - Managing Director

As of August 2017, UDB's management team was:[13]

• Patricia Ojangole - Managing Director
• Joshua Allan Mwesiga - Director, Strategy & Corporate Affairs
• Denis Owens Ochieng - Director of Finance & Business Operations
• Mahamoud Andama - Director Investment
• Stephen Hamya - Chief Internal Auditor
• Sophie Nakandi - Bank Secretary/Head Legal

According to a 2013 published report, an audit by Uganda's auditor general revealed financial impropriety by board members and senior managers at UDBL, leading to financial loss. Both the board and management team involved in the fraud have been terminated and the investigation continued as of June 2014.[14][15][16][17]

• Banking in Uganda
• Economy of Uganda
• List of banks in Uganda
• Trade and Development Bank
• East African Development Bank
• World Bank

• Uganda Development Bank Website
• UDB Unveils 5-Year Plans As of 3 June 2020.
• What do development banks really do?