Our History

Formation & establishment of UDB

UDB established by presidential decree; funding from GOU and ADB,IDA,EIB,EEC,BADEA,OPEC Fund, Kuwait Fund) Purpose: Finance projects - Technically feasible, commercially & economically viable, and socially desirable.

1973 - 1985
691 Projects funded this period, Loan Portfolio at US$170M by 1985

Period of relative growth of UDB – with major investments in industry, livestock, fish processing, tea, coffee, cotton, sugar and cement

Period marred by gradual decline in health of the bank/portfolio quality

Civil unrest adversely impacts the bank - slow project implementation, project supervision interrupted - repayments became challenged thus a distressed investment portfolio

High NPLs linked to poor collections of the time (civil unrest)

UDB suffers huge accumulated losses –servicing external credit was a burden to GOU

Government implements deliberate efforts to revamp UDB operations

GOU places UDB under restructuring (till 2000) – Intent: to turn round the bank (efficient, self-sustaining institution, well-capitalized & with adequate reserves); new lending frozen at the time; UDBL incorporated for autonomy (2001)

2013 – Todate
Government vests UDB mandate into UDBL

Renewed growth trajectory year-on-year. Growth in institutional capacity (financial, human, technology, etc); Bank profitable & Asset growth - enhanced funding (capital, lines of credit & investment of reflows); mandate clarity & image