The state minister for Microfinance Haruna Kasolo has directed the Uganda Microfinance Regulatory Authority to suspend the licensing of small money lending institutions until new guidelines are set.
Govt halts issuance of money lenders' licenses – 93.3 KFM kfm.co.ug - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from kfm.co.ug Daily Mail and Mail on Sunday newspapers.
“In Uganda now, everybody wants to be what they are not. When you call yourself a bank, there is a lot of burden that comes with that and number one is operations and credit risk management.
Daily Monitor
Tuesday February 02 2021
Summary
Policymakers in the cooperatives sector should use partnerships with relevant institutions in the market to streamline services.
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One in four adult Ugandans is a member of a cooperative, according to International Cooperative Alliance.
This is not without cause. Cooperatives play a critical role in mobilising savings, increasing credit access and facilitating activities along production and value chains.
Onen in Gulu might, on his own, struggle to access a tractor to plough his fields but as a part of a cooperative, he can access one at much better terms.
For this reason, cooperatives have grown from 13,179 in 2012 to about 23,485 in 2020, according to International Cooperative Alliance