Why EADB switched from lending in dollars to local currencies
East African Development Bank Headquarters in Kampala. EADB shifts to local currency lending to boost growth, cut loan costs, and support SMEs across the East African Community.
Regional bank East African Development Bank (EADB) is lending East African Community (EAC) member states in local currencies in a policy shift meant to boost growth and development in the bloc and keep a tight lid on bad loans.
The regional bank used to lend in US dollars, and the currency swap plan seeks to eliminate exchange rate risks and reduce the cost of loans to borrowers, it says.
