Stanbic Uganda Holdings Limited has reported a strong financial performance for the year ended December 2025, registering a profit after tax of Shs591 billion in results that reinforce its position as one of the country’s leading banking groups.
The Group’s total revenue rose to Shs1.44 trillion, driven largely by growth in non-interest income and increased transaction volumes across its expanding customer base, reflecting deeper market reach and stronger client engagement.
The performance comes at a time when Uganda’s economy continues to recover and expand, supported by growth in sectors such as oil and gas, agriculture, and infrastructure development. Industry analysts note that banks with diversified income streams and strong digital platforms, like Stanbic, have been better positioned to capitalize on these shifts.
Group Chief Executive Francis Karuhanga attributed the results to a deliberate and targeted capital allocation strategy focused on sectors that drive inclusive economic growth.
“We have been intentional about where we deploy capital. Crossing the Shs1 trillion mark in lending to Micro, Small and Medium Enterprises is not just a milestone—it signals our commitment to building businesses, strengthening value chains, and unlocking productivity in critical sectors of the economy,” Karuhanga said.
The Group’s balance sheet remained solid, with total assets growing by 10.9 percent to Shs11.5 trillion, while customer deposits increased by 12.9 percent to Shs8 trillion, highlighting sustained public confidence in the institution.
Lending activity also picked up significantly, with loans and advances rising by 16.4 percent to Shs5.1 trillion, underscoring a more aggressive credit stance aimed at stimulating economic activity.
Stanbic Bank Uganda Chief Executive Mumba Kenneth Kalifungwa said the bank’s lending strategy is closely aligned with national development priorities, particularly in high-impact sectors.
“Our focus is to channel capital where it matters most. The Shs700 billion deployed under Buy Uganda Build Uganda, alongside investments in energy, oil and gas, and science and technology, demonstrates our role as a catalyst for industrialisation, job creation, and expanded productive capacity,” he said.
Uganda’s banking sector has in recent years seen increased competition, innovation in digital financial services, and a shift toward supporting small and medium enterprises as a backbone of economic growth. Stanbic’s strong lending to MSMEs places it at the center of this transformation.
Despite a 10.8 percent increase in operating costs, profitability remained robust, pointing to improved efficiencies and stronger revenue streams. Asset quality also held firm even as the loan book expanded, reflecting prudent risk management.
Chief Finance Officer Ronald Makata said the bank maintained a healthy loan portfolio.
“Maintaining a low NPL ratio in a high-growth environment shows the strength of our credit discipline. It means the assets we are building are performing, generating value, and safeguarding capital, allowing us to continue supporting growth responsibly,” Makata said.
The non-performing loan ratio stood at 1.7 percent, slightly higher than 1.5 percent recorded the previous year but still within acceptable industry thresholds.
In a move that signals confidence in future earnings, the Board has proposed a dividend of Shs360 billion, representing a 20 percent increase, while retaining sufficient capital buffers to support continued expansion.
The results further cement Stanbic’s role as a key financier of Uganda’s economic transformation, particularly as the country prepares for increased oil production and industrial growth in the coming years.
