The Independent Uganda: You get the Truth we Pay the Price
The lender plans to driving corporate banking leadership through industry-specific initiatives, particularly asset finance, and invest in digital technologies
Kampala, Uganda | JULIUS BUSINGE | NCBA Bank Uganda is pushing 2025 with an ambitious outlook, positioning itself to deepen its leadership in corporate banking, scale up its digital transformation efforts, and promote sustainability through green finance initiatives.
As part of this vision, executives said on May 12 that the bank plans to expand its digital infrastructure, introduce improved corporate and retail internet banking platforms, and increase customer engagement through the MoKash Solution.
The executives said a major sustainability move is also on the horizon, with the bank preparing to roll out electric vehicles (EVs) and set up two public EV charging stations in partnership with customers and suppliers, as part of its broader goal to support a transition to low-carbon business models.
NCBA CEO Mark Muyobo emphasized that the Bank remains committed to delivering sustainable value for all stakeholders. He noted that the bank will also continue to serve as a key financial partner for retail and SME clients, while also driving industry-specific initiatives such as asset finance to bolster corporate banking leadership.
This forward-looking strategy, Muyobo said, is grounded in the bank’s strong financial performance in 2024. NCBA Bank Uganda reported a net profit of Shs38.9 billion for the year ended 31 December 2024, up from Shs26.9 billion in 2023. This growth was underpinned by strategic initiatives and improved operational efficiencies. Profit Before Tax rose by 40% to Shs46 billion, while Operating Income increased by 13% to Shs95 billion.
Total Income climbed to Shs127.4 billion, propelled by higher earnings from loans and advances, government securities, and foreign exchange. Customer deposits rose by 15% to Shs654 billion, and Net Loans and Advances increased by 18% to Shs298 billion. These gains supported a 9% rise in Total Assets, bringing the total to Shs963 billion.
NPL declines
The bank also strengthened its risk management practices by revamping its Credit Risk Management structure, which helped reduce the Non-Performing Loan (NPL) ratio to 3.8%, below the industry average of 5.2%. This improvement contributed to a credit impairment reversal of Shs2 billion, a sharp contrast to the Shs10.7 billion charge recorded in 2023.
Strategic branch expansion, including a new outlet at Namanve Industrial Park, and the enhancement of digital services like the BOSS platform and fintech partnerships, enabled NCBA to reach approximately 4.5 million active customers. These developments reinforced its goal of driving financial inclusion, especially through the MoKash Solution.
Beyond banking, NCBA Bank Uganda demonstrated its commitment to sustainability and social impact in 2024. Under its “Change the Story” initiative, the bank partnered with the National Forestry Authority to plant 20,000 trees in Jubiya Forest Reserve. It also invested in sports development, sponsoring the NCBA Golf Series, the Monthly Mug, and the Junior Golf Series, while supporting community causes like the Makerere University Run 2024 to benefit students with disabilities.
Overall, the country’s banking sector delivered a record performance in 2024, with industry-wide net profits surging 16% year-on-year to Shs1.6 trillion ($420 million), buoyed by improved cost structures, asset quality, and digital transformation across top-tier banks.
The sector’s robust profitability highlighted its resilience amid shifting macroeconomic conditions and evolving regulatory demands.
