GOVERNOR ATINGI-EGO LAUNCHES ESG PROJECTS, UNVEILS ‘NURTURING’ REGULATORY APPROACH FOR LARGE SACCOS
KAMPALA, Uganda – Bank of Uganda Governor Michael Atingi-Ego this morning delivered the keynote address at an aBi Finance Partners meeting, where he officially launched two major sustainable finance initiatives and outlined a new “nurturing regulatory posture” for bringing large Savings and Credit Cooperative Organizations (SACCOs) under central bank supervision.
The Governor launched the IFRS S1 and S2 Capacity Building project, implemented in partnership with the Uganda Bankers’ Association (UBA), alongside the Tier IV ESG Framework, developed with the Association of Microfinance Institutions of Uganda (AMFIU). He commended both associations for their dedication to advancing sustainable finance across the country.
Turning to supervision, Governor Atingi-Ego acknowledged the unique position of large SACCOs, noting their deep community roots often coexist with less formalised systems.
“We recognise that these institutions have deep roots in their communities but may lack the formalised systems expected under central bank supervision,” he said. “Accordingly, we have adopted what we would call a nurturing regulatory posture—customising licensing requirements, providing training, and offering handholding support to help SACCOs build robust risk management, financial controls, and governance processes.”
The Governor detailed significant benefits for SACCOs that complete the formalisation process. Licensed institutions will gain access to regulatory guidance, enhanced financial reporting systems, deposit protection of up to UGX 10 million through the Deposit Protection Fund of Uganda, formal entry into the Credit Reference Bureau ecosystem for information sharing, and subsidised funding from the Agricultural Credit Facility and Small Business Fund.
“These are not marginal improvements—they are structural enhancements that can catalyse growth and deepen financial inclusion,” Atingi-Ego concluded.
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