Uganda Development Bank (UDB) held its Annual General Meeting (AGM) on 7th May 2021. The Financial performance for the year ended December 31st, 2020 was shared with the shareholders of the bank, Minister for Finance Hon. Matia Kasaija and State Minister for Finance for Investment and Privatization Hon. Evelyn Anite.
The performance figures of the development bank are presented as follows:
- The Bank realized a post-tax profit of Ugx22.1Billion in 2020, more-than doubling from Ugx10.1Billion in 2019.
- Gross loans grew by a 54% from Ugx354Billion in 2019 to Ugx557Billion at the end of 2020.
- The bank’s interest income improved to Ugx72.1 Billion, up by 72% from Ugx42.0 Billion in 2019.
- Balance sheet grew by 124% from Ugx486.4Billion to Ugx1,089.8Billion on the back of improved Government of Uganda funding contributions totaling Ugx510Billion in 2020.
- The bank also drew down on the lines of credit held with its funding partners, deploying additional Ugx68Billion in 2020, and therefore giving rise to a 65%% uplift in total borrowings to Ugx143. 49Billionfrom Ugx87.22Billionin 2019.
The bank will continue to leverage its equity to diversify its sources for funding required to finance its investments whilst undertaking interventions to optimize its financial, human, technology, and other resources, with the view to bolster operational efficiency.
Similarly, to protect shareholder value, UDB will continue to exercise prudence at business sourcing to proactively manage its credit risk and undertake any feasible supportive interventions that aim to resuscitate distressed customers’ businesses.