The East African Development Bank (EADB) has announced the establishment of a $13 million (about Shs50 billion) fund dedicated to supporting youth and women-led enterprises across East Africa, in a move aimed at strengthening inclusive financing and accelerating socio-economic development in the region.
The announcement was made during the Bank’s Governing Council meeting held in Kampala on Friday, May 8, 2026, where regional finance ministers also reviewed the institution’s performance and approved key leadership transitions.
The new fund is anchored in EADB’s 2024–2028 Strategic Plan and aligns with the Bank’s mandate to promote sustainable and inclusive development among its member states, which include Uganda, Kenya, Tanzania, and Rwanda.
According to the Bank, the initiative is designed to scale up enterprises led by youth and women through targeted financing, delivered in partnership with selected financial institutions across the region.
The outgoing Governing Council Chairperson and Uganda’s Minister of Finance, Planning and Economic Development, Matia Kasaija, said the initiative reflects EADB’s commitment to inclusive growth and innovation-driven financing.
“We recognise that youth and women are critical drivers of economic growth and innovation across East Africa. The establishment of this Fund is a strategic step towards scaling enterprises led by these groups through prudent and targeted financing,” Kasaija said.
He added that part of the fund will be financed from the Bank’s profits, while additional resources will be mobilised from development partners to expand its impact and ensure long-term sustainability.
The announcement comes alongside strong financial performance by the Bank, which recorded a 51 percent increase in profitability.
Profit before tax rose to $16.93 million for the year ended December 2025, up from $11.20 million the previous year.
EADB also reported a sharp rise in lending activity, with disbursements increasing by 140 percent and outstanding loans growing by 52 percent, reflecting improved portfolio performance and operational efficiency.
During the same meeting, leadership transitions were confirmed in line with the Bank’s Charter. Rwanda’s Minister of Finance and Economic Planning, Yusuf Murangwa, was appointed Chairperson of the Governing Council, replacing Uganda’s Matia Kasaija.
Uganda’s Permanent Secretary at the Ministry of Finance, Planning and Economic Development, Dr Ramathan Ggoobi, was also appointed Chairperson of the Board of Directors for a two-year term, succeeding Tanzania’s Dr Natu Mwamba.
Speaking after the meeting, Kasaija said EADB’s improved performance demonstrates its strengthened capacity to mobilise capital and support development across key sectors in member states.
“This strong performance is a testament to EADB’s enhanced capacity to mobilize resources and deploy innovative financing solutions. We remain committed to delivering on our five-year Strategic Plan as we grow our investment portfolio and deepen our developmental impact in the region,” he said.
Other members of the Governing Council present included Kenya’s Cabinet Secretary for the National Treasury and Planning, John Mbadi Ng’ongo, and Tanzania’s Minister of Finance, Amb. Khamis Mussa Omar.
The Bank said the new fund marks a significant step in its efforts to deepen regional integration by supporting entrepreneurship, job creation, and inclusive economic growth across East Africa.