Bank of Uganda Urges Shift Beyond Basic Deposits and Withdrawals for True Financial Inclusion

While Uganda has achieved an overall financial inclusion rate of 81 percent, largely driven by mobile money and agent banking, many citizens still face significant barriers. According to Bank of Uganda Deputy Governor Professor Augustus Nuwagaba, access alone is not enough because most people use financial accounts merely to receive and withdraw funds, with very low uptake of savings, insurance, pension, and investment products.

Speaking at the Annual Financial Inclusion and Financial Literacy Forum 2026 in Kampala, Prof Nuwagaba noted that vulnerable groups—including women, youth, rural communities, refugees, and persons with disabilities—continue to experience exclusion due to high costs and products that do not match their needs. He outlined three core priorities to deepen inclusion: improving financial literacy and consumer protection, expanding digital innovation and inclusive infrastructure, and increasing financing for productive growth and resilience.

To safeguard public trust, the central bank stressed the importance of robust consumer protection, clear pricing terms, and efficient complaint resolution mechanisms to fight digital fraud. On behalf of Finance Minister Henry Musasizi, Economic Affairs Director Moses Kaggwa highlighted that financial inclusion is crucial for achieving the Fourth National Development Plan (NDP IV) and the Tenfold Growth Strategy. The government has introduced supportive fiscal measures, such as zero stamp duty on all loans and tax recognition for SACCOs, alongside plans for a National Payment Switch to lower transaction costs.

Read more details in the original report by the Daily Monitor at Financial services must go beyond deposits and withdrawals, says BoU.