The Government of Uganda has taken deliberate steps to build a more inclusive financial system that is responsive to the needs of the Ugandan people as stipulated in its Vision 2040. To support the Vision 2040, BOU in 2011 adopted a new strategy for pushing forward the financial inclusion agenda based on four pillars: financial literacy, financial consumer protection, financial innovations and financial services data and measurement. As BOU continues with its work, it is necessary to take stock of the current status, benchmark on the progress made and chart a well-defined way forward.
Using all available information, this maiden report on the status of financial inclusion in Uganda attempts to provide a broad view of the current state of financial inclusion by utilizing measures from both the demand and supply side of financial services and products. The report can be used to identify gaps, establish priorities, and craft evidence-based financial inclusion policies. The report will in future also be used to measure progress made towards achieving financial inclusion objectives.
The report uses the internationally accepted lenses of financial inclusion measurement of: access (presence and proximity of financial service providers), usage (adoption, regularity and permanence of services). Given the data limitations at hand, the report focused mainly on financial system’s access points and usage of financial services and products, particularly those that are provided by financial institutions that are supervised and regulated by BOU.