Uganda Development Bank (UDB), the country’s Development Finance Institution (DFI), has officially launched a regional office in Mbale City to better serve the Eastern region of Uganda.
Located at Plot 1, Masaba Road in Mbale City, the Eastern Regional Office will act as a liaison point
for the sub-regions that constitute the Eastern region, including Elgon, Teso, Bukedi, Busoga and Karamoja.
The office will enhance UDB’s capabilities in addressing both the financial and non-financial needs of the local business community, thereby promoting financial inclusion and equitable economic development in the Eastern region.
“Establishing this regional presence reinforces the Bank’s mandate as Uganda’s National Development Finance Institution and improves our ability to unlock investment opportunities across the country,” said Dr. Patricia Ojangole, Managing Director of UDB, during the launch ceremony. “Eastern Uganda presents immense economic potential and UDB sees opportunities to enhance production and productivity in key agriculture value chains, development of rail transport to enhance connectivity and facilitate movement of cargo and goods, as well as diversifying tourism opportunities,” Dr. Ojangole added.
In line with the Bank’s mission to accelerate socio-economic development in Uganda through sustainable financial initiatives, the office will support projects within the private sector that have the potential to deliver significant socio-economic benefits in the areas of primary agriculture, industry (including agro-industrialization, manufacturing, knowledge-based industries, and extractives), services (such as health, tourism and hospitality, education, and technology), and infrastructure.
Speaking at the launch, Muhammad Mafabi, the Mbale District Chairperson, explained that UDB’s expansion to Eastern Uganda is a significant milestone towards enabling Mbale and other areas in the region to realize socioeconomic transformation.
“Eastern Uganda predominantly relies on agriculture for a livelihood, with coffee as the main cash crop. The region has a high density of organized farmer groups and cooperative societies that facilitate bulk marketing, input access, and technical support. However, limited access to modern pulping and washing stations results in inconsistent coffee bean quality, with much of the crop sold as low-value or semi-processed,” Mafabi noted.
“The establishment of UDB’s Eastern Regional Office presents an opportunity for farmer groups to access not just affordable capital affordable credit for inputs, mechanization, and expansion, but also non-financial services that can help them improve their farming techniques, business management, and acquire financial literacy.”
He also urged manufacturers, often inhibited by lack of affordable patient capital, to utilize UDB’s loan tenors of up to 15 years in order to boost their working capital, acquire machinery or even expand their operations. He also called upon the business community to ensure that funds secured from UDB are used productively and repaid promptly, so that other qualifying Ugandan enterprises can also benefit.
Previously, UDB operated with three offices located in Kampala, Gulu and Hoima. To enhance
efficiency and deepen financial inclusion nationwide, the Bank is establishing three additional regional
offices strategically placed in Mbale (Eastern Uganda), Arua (West Nile), and Mbarara (Western Uganda).
For the year 2025, UDB’s total assets grew by 24% to close at Ugx2.28 trillion from Ugx1.75 trillion at the end of 2024. This growth was supported by new funding to the bank amounting to Ugx438 billion, composed of drawdowns from various lines of credit and capital contributions from the Government of Uganda.
In 2025, the bank approved 120 projects that are projected to create 33,610 jobs – mainly for the youths – when fully implemented. These projects are projected to also generate an additional Ugx5.2 trillion in output value, Ugx2.76 trillion in profits, approx. Ugx 918.7 billion in corporation tax, and Ugx2.79 trillion in foreign exchange.