Source: UDB
In a landmark move to bolster Uganda’s development finance landscape, the Uganda Development Bank (UDB) has signed loan agreements totaling $150 million with the Arab Bank for Economic Development in Africa (BADEA). The signing took place on the sidelines of the TDB Group’s Annual General Meetings in Kigali, Rwanda.
Of the total amount, $100 million will be channeled through UDB under BADEA’s private sector window, targeting priority sectors such as agro-processing, infrastructure, manufacturing, health, and education. The remaining $50 million, secured under BADEA’s public sector window, is earmarked for financing micro, small, and medium-sized enterprises (MSMEs).
Responding to the conversation with African Business Magazine, on the sidelines of the TDB Group Annual Meetings in Rwanda, UDB Managing Director Patricia Ojangole, who also serves as the Chairperson of AADFI, emphasized the strategic importance of partnerships with multilateral development banks. “National development banks on their part understand national priorities and can be a vehicle that MDBs can use to extend their mandate.”
This financing agreement reflects UDB’s commitment to mobilizing affordable, long-term capital to support Uganda’s private sector-led growth strategy and enhance access to finance for SMEs.