East African Development Bank
{{Short description|Regional development finance institution in Kampala, Uganda}}{{confused|Eurasian Development Bank}}
{{Infobox company
| name = East African Development Bank
| logo =
| type = Private
| owner = Governments of
Kenya
Rwanda
Tanzania
Uganda
African Development Bank
NCBA Group Plc and others.
| caption =
| image =
| foundation = {{start date and years ago|1967}}
| location = 4 Nile Avenue, Kampala, Uganda
| key_people = Hon. Matia Kasaija
Current Chairperson, Governing Council
Vivienne Yeda Apopo
Director General{{cite web |date=31 March 2018 |url=https://eadb.org/publications/annual-reports/ |title=East African Development Bank: EADB 2017 Annual Report |author=EADB |publisher=East African Development Bank (EADB) |access-date=27 June 2019 |location=Kampala |archive-date=27 October 2020 |archive-url=https://web.archive.org/web/20201027064645/https://eadb.org/publications/annual-reports/ |url-status=dead }}
| num_employees = 78
| industry = Finance
| products = Loans, leasing, real estate, trade finance, equity investments
| assets = US$390.411 million (2017), US$390,234 million (2021), US$415,998 million (2022)
| revenue = {{profit}}Aftertax:US$6.594 million (2022)
| homepage = [http://www.eadb.org/ www.eadb.org]
}}
The East African Development Bank (EADB) is a regional development finance institution located in Kampala,{{Cite book |last=Goode |first=Walter |date=2007 |title=Dictionary of Trade Policy Terms |url=https://doi.org/10.30875/653de50f-en |access-date=2024-10-14 |website=login.ezproxy1.library.arizona.edu|doi=10.30875/653de50f-en |isbn=978-92-870-4970-4 }} Uganda with the objective of promoting development in the member countries of the East African Community.{{cite web|date=4 August 2017 |access-date=27 June 2019 |url=https://www.moodys.com/research/Moodys-affirms-East-African-Development-Banks-Baa3-long-term-issuer--PR_370165 |title=Moody's Affirms East African Development Bank's Baa3 Long-Term Issuer Rating; Outlook Stable |publisher=Moody's Investors Service |author=Moody's Investors Service | location=London}} The current member states of the EADB are Kenya, Uganda, Rwanda, and Tanzania including other development and commercial financial institutions.{{Cite web |title=About Us {{!}} East African Development Bank |url=https://www.eadb.org/about-us/about-us#:~:text=EADB%20is%20today%20owned%20by,development%20and%20commercial%20financial%20institutions. |access-date=2024-12-07 |website=www.eadb.org}} The bank was initiated in 1967 and has been in operation since the development of its charter.
Overview
EADB plays a threefold role of lender, adviser, and development partner. The bank supports economic development in member states through short and long term lending of financially and sustainable projects. It provides a range of products and services that are tailored for the region's development requirements. The East African Development Bank also has experienced, financial backing, staff, and knowledge of the region's financial requirements. {{asof|December 2022}}, the institution's total assets were valued at approximately US$415,998 million, with shareholders' equity of approximately US$303.229 million. while in 2021 the EADB had US$283,932 million equity but generated 7.86 million in profit.
Mission and Vision
The East African Development bank aims to become the partner of choice in fostering sustainable socio-economic development.{{Cite web |title=Mission, Vision & Values {{!}} East African Development Bank |url=https://www.eadb.org/about-us/mission-vision-values |access-date=2024-12-07 |website=www.eadb.org}} The bank's mission is to advance sustainable socio-economic developments in East Africa through offering financial solutions, advisory expertise, and supporting services.
History
EADB was established in 1967 under the treaty of the then East African Cooperation between Kenya, Tanzania, and Uganda. Following the breakup of the first East African Community (EAC) in 1977, the bank was re-established under its own charter in 1980. In 2008, following the admission of Burundi and Rwanda into the new EAC, Rwanda applied and was admitted into the EADB.{{cite web | url=http://www.newvision.co.ug/D/8/220/613440 | title=Rwanda Joins EADB | access-date=25 June 2014 | publisher=New Vision | date=25 February 2008 | first=Sylvia | last=Juuko | url-status=dead | archive-url=https://web.archive.org/web/20081002015448/http://www.newvision.co.ug/D/8/220/613440 | archive-date=2 October 2008 }} Under the new charter, the bank's role and mandate were reviewed, and its operational scope expanded. Under its expanded operational scope, the bank offers a broad range of financial services in the member states. Its main objective is to strengthen socio-economic development and regional integration.{{cite web | url=http://allafrica.com/stories/201402240264.html | title=Kenya: EADB Plans Bond Issue to Finance Projects In The Region | first=James | date=22 February 2014 | last=Waithaka | publisher=The Star(Kenya) via AllAfrica.com | access-date=26 June 2014}}
Ownership
The ownership of the EADB as of December 2022 is detailed in the table below.{{cite web | url=http://eadb.org/about-us/shareholding | title=Shareholding In East African Development Bank | publisher=East African Development Bank | last=EADB | date=31 December 2013 | access-date=25 June 2014}}{{cite web | title=EADB KSh4.2 Billion Fresh Capital Target Piles Pressure On Member Countries | first=John | last=Gachiri | url=http://www.businessdailyafrica.com/EADB-fresh-capital-target-/-/539552/2371100/-/4d3xd4/-/index.html | date=3 July 2014 | access-date=3 July 2014 | publisher=Business Daily Africa}}
| class="wikitable sortable" style="margin-left:auto;margin-right:auto"
|+ East African Development Bank Stock Ownership | ||
| style="width:2em;" |Rank | Name of Owner | Percentage Ownership |
|---|---|---|
| 1 | Government of Kenya | 26.32 |
| 2 | Government of Uganda | 26.32 |
| 3 | Government of Tanzania | 26.32 |
| 4 | Government of Rwanda | 9.26 |
| 5 | African Development Bank | 8.6 |
| 6 | Netherlands Development Finance Company | 2.16 |
| 7 | German Investment Corporation | 0.58 |
| 8 | Consortium of Yugoslav Institutions | 0.19 |
| 9 | SBIC - Africa Holdings | 0.17 |
| 10 | NCBA Group Plc - Nairobi | 0.03 |
| 11 | Nordea Bank - Sweden | 0.03 |
| 12 | Barclays Bank - London | 0.01 |
| 13 | Standard Chartered Bank - London | 0.01 |
| Total | 100.0 |
In December 2013, the bank's shareholders' equity totaled approximately US$166.03 million. In January 2013, the African Development Bank injected US$24 million into EADB in new equity, bringing its shareholding to 15 percent.{{cite web | title=AfDB Invests Equity of $24 Million In EADB | url=https://www.theeastafrican.co.ke/business/AfDB-invests-equity-of-USD24m-in-EADB-/-/2560/1669722/-/item/0/-/j576sa/-/index.html | first=Steve | last=Mbogo | date=19 January 2013 | access-date=26 June 2014 | publisher=The EastAfrican | archive-date=21 November 2016 | archive-url=https://web.archive.org/web/20161121233817/http://www.theeastafrican.co.ke/business/AfDB-invests-equity-of-USD24m-in-EADB-/-/2560/1669722/-/item/0/-/j576sa/-/index.html | url-status=dead }} {{asof|December 2022}}, the EADB generated almost 6.6 million US$ in profit, while in 2021 it generated almost 7.9 million US$, having an 443 million US$ basic earnings per share. Moreover, the Bank's authorized share capital was 2.1 million US$ consisting of 160,000 shares with a par value of 13,500 US$ each.
Bank structure
EADB's structure is composed of the following:
- Governing Council
The Governing Council of the East African Development Bank is composed of Ministers responsible for Finance from Member States.{{Cite web |title=Structure {{!}} East African Development Bank |url=https://www.eadb.org/about-us/structure |access-date=2024-12-07 |website=www.eadb.org}} The council is considered the supreme governing body and meets regularly to review and analyze reports submitted by the Board of Directors.{{Cite web |title=East African Development Bank Financial Statements For the year ended 31 December 2022 |url=https://www.eadb.org/assets/uploads/resources/EADB_Financial_Statement_2022.pdf_.pdf}}
- Advisory Panel
The Advisory Panel of the East African Development Bank is composed of distinguished individuals with extensive expertise in international and development financing. The panel also provides guidance to the Bank on the best effective strategies to achieve its goals and objectives.
- Board of Directors
The Board of Directors of the EADB holds all decision-making powers within the bank and meets at least quarterly to review and evaluate reports submitted by the Management. The board is composed of Permanent Secretaries from Ministries of Finance, private sectors representatives, and Director Generals from current member states.
- Management Team
The management Team is responsible for the day-to-day oversight of the risk management process, ensuring the effective implementation and ongoing integrity of the risk management system. this involves identifying and assessing risks while maintaining compliance with organized policies and objectives.
The details of the current structure of EADB are outlined on the bank's website.{{cite web | url=http://eadb.org/about-us/structure/|title=The Organisational Structure of EADB | last=EADB | publisher=East African Development Bank | access-date=26 June 2014 | date=2013}}
Awards
The EADB is the first regional bank to be established in Sub-Saharan Africa with its initiation in 1967.{{Cite web |title=EADB - EADB pioneer for African Development Finance institutions |url=https://www.eadb.org/new/news-events/speeches-articles/eadb-pioneer-for-african-development-finance-institutions/ |access-date=2024-12-07 |website=www.eadb.org}} Moreover, in November 2014, the Association of African Development Finance Institutions ranked EADB, "the best performing development finance institution in Africa" for the second consecutive year, with an AA rating. The bank was ranked the best out of 33 institutions that submitted to the evaluation.{{cite web |last=New Times Reporter |date=21 November 2014 |title=East Africa: Regional Financier Ranked Best Development Bank in Africa |url=http://allafrica.com/stories/201411210197.html |access-date=24 November 2014 |newspaper=New Times (Rwanda) via AllAfrica.com}} In 2015, the East African Development Bank was the first East African institution to obtain an investment grade rating of Baa3 by Moody's Investors Services. Recently, the Bank was awarded by the ABA Best Development Bank award in 2018 and Bank of the Year Africa in 2021.{{Cite web |title=EADB - Ceremony to mark the signing of the BADEA Line of Credit |url=https://www.eadb.org/new/news-events/news/ceremony-to-mark-the-signing-of-the-badea-line-of-credit/ |access-date=2024-12-07 |website=www.eadb.org}}
Branch network
The headquarters of the bank are located in Uganda's capital, Kampala. As of December 2022, the East African Development Bank has three other registered offices and principal places of business, one each in the East African capitals of Nairobi, Kigali, and Dar-es-Salaam.{{Cite web |title=Treaty & Charter of the Eat African Development Bank |url=https://www.eadb.org/assets/uploads/resources/EADB-Treaty-Charter.pdf}} A branch will be established in Bujumbura as soon as Burundi joins the bank.{{cite web | url=http://adam-ihucha.blogspot.com/2014/02/burundi-seeks-to-join-eadb.html | title=Burundi Seeks To Join EADB | date=18 February 2014 | access-date=26 June 2014 | first=Adam | last=Ihucha | publisher=Adam-Ihucha.Blogspot.com | url-status=dead | archive-url=https://archive.today/20140626184836/http://adam-ihucha.blogspot.com/2014/02/burundi-seeks-to-join-eadb.html | archive-date=26 June 2014 }}
See also
{{Portal|Banks}}
References
{{reflist|30em}}
External links
- [http://www.monitor.co.ug/Business/EADB-head-under-probe-over-mismanagement-claims/688322-3495246-ym6gquz/index.html EADB head under probe over mismanagement claims]
{{Authority control}}
{{Banking in Kenya}}
{{Kampala District}}
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