UDB disburses 455 Billion Shillings to Key Sectors

As Uganda endeavors to recover from the effects of the Covid19, Uganda Development Bank (UDB) was tasked to spear-head the recovery.

So far out of the 589 billion Shillings, additional funding  extended to the bank 455 billion shillings has been deployed in key sectors which are now responding to their funding through expansion.

While at, TOTCO grains and seeds factory in Lira district, the Managing Director, UDB, Patricia Ojangole said that the disbursement represents the largest investment in the post –COVID recovery effort where they are prioritizing growth through localized value addition, production and import replacement in alignment to the National Development Plan III.

“There is evidence that indicates that the economy is responding well despite the conditions brought on by the pandemic, a trend that is likely to continue now that the economy is being fully opened” Ojangole, said.

“Other sectors where UDB invested during the period are human capital development (health and education services), infrastructure and tourism, accounting for 22% (130 billion) of the bank’s total disbursements”, she added.

Meanwhile, the Managing Director TOTCO Limited, Ogwang John said that with support from Uganda Development Bank, TOTCO grains and seeds limited has been building its capacity to sustain competitiveness in the seed and grain market demand in East Africa

“We have enhanced storage capacity, from 4000 to 10,000 metric tons, invested in a fully-fledged laboratory, and bought state of the art machinery to sort, dry clean and store seeds and grains”.Ogwang remarked.  

He added that they had intensified production, and each out grower scheme had attracted contract farmers, numbering 15,000 from 10,000 with an average each of 3 -5 acres also offering warehousing and marketing services coupled with export to Kenya, Burundi, Tanzania and South Sudan.

The Chairman of the Board, Tom Otile Otim, disclosed that they were given a loan of 10 billion shillings and that the processing plant was still a work in progress.

"We are still yet to harmonize standard prices that we charge our clients because we are a work in progress as we look towards meeting the growing cereal and market demand to become more competitive. We recently finished processing thousands of tons of chia seeds that one of our clients shipped to Turkey.

The operations of the company exist in Lira, Kole, Apac, Lamwor, Kitgum, Omoro and others. The agribusiness entity is currently focused on cereals and grain value chains including Maize, sorghum, barley, soybean, chia among others.

Others in attendance were the area legislator, Paul Otuke Omara who suggested that 1 trillion shillings be advanced to UDB, Woman MP, Zombo district , Esther Afoyachan and Lira Woman MP Auma Linda Agnes.