Over the years, the bank has made tremendous efforts towards the realization of development outcomes that include:
(a) cumulative value of loans approved from 2015 to 2018 at UGX611Billion, and
(b) loans disbursed at UGX364.4Billion.
This has resulted in increased turnover of UGX1.2Trillion, profitability of UGX183.9Billion, tax contribution of UGX495Billion, and forex exchange earned of UGX228.5Billion. This also resulted in 39,582 student’s enrolments in schools funded (including BTVET) and 710,577 patients served by hospitals funded by UDB.
Additionally, initiatives such as the signing an MoU with the European Organisation for Sustainable Development in July 2018, and admission amongst the four pioneer financial institutions in the world to undertake the sustainability standards certification initiative (SSCI) are hallmarks of our commitment.
- From 2015 to 2018, the bank created and maintained a total of 54,034 jobs (52% males, 48% females, 43% of which are youth.
- The Bank’s investment in private sector is a drive towards dealing with the unemployment challenges facing the country, more specifically the youth unemployment.
- Important to note is the narrowed gap in the gender disparity in employment which is a deliberate approach by the Bank.
Tax revenue contribution between 2015 to 2018 was UGX495Billion. Taxes play two important roles; one is for financing economic devel¬opment and the other is in reducing the burden of over reliance on external debt. UDB through its investment operations emphasizes the need for compliance with statutory obligations such as taxes in raising resources for financing economic development in Uganda.
Between 2017 and 2018 alone, turnover/revenues generated by companies supported by UDB increased from UGX 1Trillion to UGX1.2Trillion. This is the monetary value of outputs converted into cash within the period under consideration. The increase in turnover, coupled with improvement in social welfare of the people employed by the firm shall have a multiplier effect on economic growth and development. This is an effort by the Bank to contribute to Uganda achieving the middle-income status by 2020.
Average Profitability of firms supported rose from UGX55Billion to UGX183.9Billion between 2017 to 2018. This is a 70% growth in profitability and shows a positive trend towards efficient operations of the entities financed. The profitability position is significant because it creates a basis for collection of Corporation tax (tax on profits). It also translates into the ability of companies to grow and at the same time meet their loan obligations. The profit position also enables firms to offer better pay to workers, improve welfare and subsequently improve their household income.
In a bid to improve the foreign currency position of the country and its balance of trade, UDB contributed to forex earnings of UGX228.5Billion between 2017 and 2018 through export financing. This was greatly contributed to by exporters in the Manufacturing and Agro-industrialisation sectors. It is critical to support imports substitution and exports drive, which are necessary to save and stabilize foreign exchange.
Sectoral Distribution of Socio-Economic Impact
- Agriculture and agro-industrialisation
- Human Capital Development (Education & Health)
- Tourism and hospitality