UDB's investment portfolio up by 15% in third quarter

Business

Uganda Development Bank Ltd (UDB) put in a solid performance in the third quarter of the year improving its investment by 15% to close at Sh1.18 trillion according to financial results released by the bank

Compared to the same period in the previous year, the annual growth registered was in the highs of 57%.

During the quarter, the Bank approved funding amounting Shs 333 billion and disbursed Shs 237 billion.

"The funding was allocated to 72 projects across the country and operating within UDB’s priority sectors. In line with its strategy, the bulk (80%) of these approvals were towards projects engaged in primary agriculture (UGX83 billion); Agro-processing (Shs 48 billion) and manufacturing (Shs 180billion)," said Patricia Ojangole, the managing director of UDB said during the release of the results.

The investments approved in Q3 improved the Bank’s 2022 approvals (since January 2022), to Shs 797 billion, registering a 66% increase versus the Shs 479 billion approved in the same period last year. This funding will support 201 projects across the country.

The total disbursements for January to September 2022 amounted to Shs 556 billion, more than doubling the Shs 273 billion deployed during the same period in 2021.

"The Bank will continue to focus on these segments to holistically address the issues that systemically challenge their access to credit, including but not limited to building enterprise capacity,"Ojangole said.

The projects approved for funding are projected to generate various development outcomes, including 33,060 jobs. Upon full implementation, these projects are also expected to generate additional output value of Shs 8.9 trillion, from which Shs 365 billion in taxes will be paid to the government.

 

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