Landmark USD 30 Million Disbursement to Uganda Development Bank Limited to Boost Economic Growth
This landmark transaction paves the way for future collaborations between ICD and local financial institutions in Uganda
The Islamic Corporation for the Development of the Private Sector (ICD) (https://ICD-ps.org/), a member of the Islamic Development Bank (IsDB) Group, has successfully disbursed a USD 30 Mn financing facility to Uganda Development Bank Limited (UDBL) in Uganda.
This strategic facility marks ICD’s first Line of Finance transaction in Uganda and the broader East Africa region, representing a significant milestone in its efforts to support private sector development across its member countries in Sub Saharan Africa.
ICD’s funding, structured under a long-term Commodity Murabaha, is expected to empower local Small and Medium Enterprises (SMEs) by enabling access to medium- and long-term resources for productive investments.
Uganda's agribusiness, education, investment in fixed assets (including land, building, machinery, equipment) manufacturing, and healthcare sectors are set to receive a major financial boost with this disbursement, driving tangible progress in economic growth, job creation, and sustainable development
This landmark transaction paves the way for future collaborations between ICD and local financial institutions in Uganda, reinforcing ICD’s commitment to fostering inclusive and resilient private sector ecosystems in its member countries.
Distributed by APO Group on behalf of Islamic Corporation for the Development of the Private Sector (ICD).
For further details, please contact:
Nabil El-Alami
Communications & Corporate Marketing Division Manager at ICD
Nalami@isdb.org
About Uganda Development Bank Limited (UDBL):
Uganda Development Bank Limited (UDBL) is a State-Owned Enterprise (SOE) wholly owned by the Government of Uganda and operates as a Development Finance Institution (DFI). The bank, a successor company to Uganda Development Bank, which was established in 1972, was incorporated as a limited liability company in 2000 under the Companies Act Cap 106, Laws of Uganda and is mandated to finance enterprises in key growth sectors of the economy.
UDBL re-positioned itself as a key partner to the Government of Uganda in delivering its National Development Plan (NDP) by providing financial services to priority sectors, as identified by Uganda’s development plans, in the form of concessional loans. UDBL’s funding mainly targets SMEs in five priority sectors: agriculture (primary agriculture and processing), infrastructure, tourism, manufacturing and human capital development (i.e. education and health services). The bank does not aim to maximize profits but considers financial sustainability a key objective.
For more information, visit: https://UDBL.co.ug/
About ICD:
The Islamic Corporation for the Development of the Private Sector (ICD) is a multilateral development financial institution that supports the economic development of its member countries. Based in Jeddah, ICD is a part of the Islamic Development Bank (IsDB) Group and was established in November 1999. With an authorized capital of $4 billion, ICD’s shareholders include the IsDB, 56 Islamic countries, and five public financial institutions.
ICD’s mandate is to provide financing for private sector projects in member countries, promote competition and entrepreneurship, and encourage cross border investments. ICD also brings additional resources to projects, encouraging the development of Islamic finance, attracting co-financiers and enhancing the role of the market economy. ICD focuses on financing projects that contribute to economic development, including job creation, the development of Islamic finance, and export growth. Additionally, ICD works to foster sustainable economic growth by mobilizing capital in the international financial markets. ICD operates to complement the activities of the IsDB in member countries and also that of national financial institutions. ICD is rated ‘A2’ by Moody’s, ‘A+’ by Fitch, and ‘A’ by S&P.
For More Information, visit: https://ICD-ps.org/