In a recent post on BoU’s official X (formerly Twitter) account, the Central Bank confirmed that damaged currency can be swapped for new notes or coins of the same value, provided specific requirements are met.

BoU stated that currency holders with worn or partially damaged notes need only bring them to a nearby bank, where they can receive replacements.

Eligibility for exchange includes meeting certain criteria, such as the visibility of essential features on the damaged notes, to ensure authenticity.

This initiative supports BoU’s commitment to maintaining clean, durable currency in circulation and reflects its broader goal of promoting economic stability and financial security.

By facilitating convenient currency exchange, BoU fosters continued trust and confidence in Uganda’s financial system.

For further information on the eligibility criteria for currency exchange, BoU encourages the public to review its official guidelines or visit a local BoU branch.

Uganda Revenue Authority (URA) has announced a surplus in revenue collections for the month of August 2024, exceeding its target. The net revenue collection for August 2024 was Ugx 2.345 trillion, surpassing the target of Ugx2.316 trillion by Ugx 28.19 billion, representing a performance rate of 101.22 percent.

The domestic revenue collections were Ugx 1.492 trillion against a target of Ugx 1,465 trillion, registering a surplus of Ugx 26.75 billion. The customs revenue collections were Ugx 928 billion against a target of Ugx 918 billion, posting a surplus of Ugx 10.32 billion. This marks a 9.96 percent increase in net revenue compared to August 2023, with domestic and customs revenues growing by 11.10 percent and 10.23 percent, respectively.

URA Commissioner General John Musinguzi Rujoki credits the growth in revenue mobilization to the Ministry of Finance, Planning, and Economic Development.

“As we strive to mobilize revenue towards our nation’s economic growth, we recognize the
invaluable contribution of every citizen in meeting their tax obligations. Our success is also a reflection of the unwavering support from our supervisors, the Ministry of Finance, and the strong interest our leaders in the government have shown in taxation matters. Their guidance and commitment have been instrumental in driving the reforms that continue to enhance our revenue. mobilization efforts,” said Musinguzi.

URA’s performance in the first two months of this financial year (July to August 2024) also shows a surplus of Ugx 168.31 billion, with a net revenue collection of Ugx 4.582 billion against a target of Ugx 4.414 billion. And in addition, a growth of 15.19% (Shs604.14 billion) was realized.

“The surplus in revenue collection is a testament to the unwavering commitment of taxpayers in meeting their tax obligations and the ongoing reforms in tax administration aimed at streamlining processes and improving revenue collections,” said Robert Kalumba, the Assistant Commissioner for Public and Corporate Affairs.

To support taxpayers with outstanding obligations, the government has introduced a tax penalty waiver for those with tax arrears from the last financial year. This relief is an opportunity for those businesses with unpaid taxes as at 30th June 2023 to settle their obligations and contribute to the nation’s continued economic progress.

Suddenly, you remember the Housing Finance Bank ATM you saw in the corner of the mall. You rush out irrationally and head to the mall to withdraw some cash, thanks to the advanced technology of Automated Teller Machines (ATMs)

ATMs have tremendously revolutionized banking in Uganda, making cash withdrawals, deposits, balance checks, and other banking services accessible 24/7 without the need for a teller.

Since the early 2000s, ATMs have steadily transformed the banking sector in Uganda. Initially, they served the simple yet critical purpose of dispensing cash at any time of day—24/7. However, over the years, digitization has driven thinkers and innovators to expand the functions that ATMs can offer to customers. This has led to the development of Recycler ATMs, which increase convenience, functionality, accessibility, and cost savings.

Recycler ATMs are making customers’ lives much better with new features such as instant cash withdrawals, account balance checks, cash deposits, funds transfers, and even bill payments for utilities like water, Yaka, and TV, to name a few

The term “Recycler ATM” might sound new to many, but these machines redefining the traditional ATM experience. While a typical ATM dispenses cash and may accept deposits, Recycler ATMs take things further by accepting cash deposits and reusing the same cash for withdrawals. In essence, they “recycle” the money deposited by one customer to another customer, reducing the need for frequent cash refills.

Traditional ATMs, on the other hand, generally have separate processes for dispensing and accepting cash. They don’t reuse deposited cash for withdrawals, meaning banks have to replenish these machines frequently. Recycler ATMs are a more efficient and sustainable solution.

With so many banking channels lately available such as agent banking, mobile money, digital banking, and banking halls. Recycler ATMs provide a more convenient banking solution.

Recycler ATMs have reduced dependency on bank staff, allowing you to handle your transactions quickly and efficiently, which can be a significant time-saver.

Due to the recycling feature, the recycler ATMs are less likely to run out of cash, especially in areas with high transaction volumes because customer deposits become available for other customers to withdraw.

The safety and privacy recycler machines offer is commendable unlike agent banking or a bank hall where others may oversee your transactions.

Speaking to Joan Nakirijja, a resident and businesswoman in Nakawa banking with Housing Finance Bank says she enjoys using the recycler ATMs because they are convenient since she does not have to queue up in the bank or travel far to withdraw or deposit her money. Thus appreciates HFB for the amazing innovation however she requested the bank to set up more ATMs across the country.

“I don’t have to stand in long queues in the banking hall with my large sums of money in the envelope waiting to be attended to by the teller. This machine is time-saving and effective,” says Nakirijja.

Ms. Bridget Nambi, a long-time customer of Housing Finance Bank, says that the recycler ATMs have been a big time saver for her. “I remember the days when I had to rush to the bank before closing time. Now, with the Recycler ATMs, I can deposit money into my account at any time, and it reflects immediately. It has made banking so much easier and more flexible for me, especially when I’m running my business late into the night.”

The evolution of ATMs in Uganda has been a game-changer for both customers and banks. Recycler ATMs, in particular, offer enhanced convenience, efficiency, and cost savings. As they become more widespread, they represent a crucial step in the modernization of Uganda’s banking sector, aligning with the growing demand for digital and real-time financial services.

In Uganda, banks like Housing Finance Bank, KCB Bank, Post Bank, and Stanbic Bank among others, have installed these recycler ATMs in strategic areas such as Kampala Road, Nakawa, Kireka, Entebbe, Mukono, Kololo, Arua, Lira, Tororo, and Fort Portal.

The Ministry of Finance, Planning and Economic Development together with the head of Civil Service met all the Accounting Officers of Government (Central and Local Governments) on the implementation of the budget for FY 2024/25 at Imperial Royale hotel in Kampala.

The purpose of the meeting was to communicate and seek feedback on the budget execution circular for FY 2024/25.

The Permanent Secretary and Secretary to the Treasury Ramathan Ggoobi in his presentation said the economy has fully recovered from the various shocks, crises and false alarms. He said last financial year the economy grew by 6% up from an average of 4.1% between FY 2019/20 and FY 2022/23.

He said the impressive growth was on account of higher growth in all sectors. The services sector grew by 6.6%, industry increased by 5.8%, while agriculture grew by 5.1%.

The PSST also noted the strong recovery of the economy has been on account of good economic management, adding that government has been deliberate with its fiscal and monetary policy.

Ggoobi said inflation at 3.9% in June,2024 has been contained within the target rate, adding that the Uganda shilling and interest rates have also remained relatively stable.

“Foreign direct investment (FDI) inflow to Uganda boomed to USD 2.9 billion last year, making Uganda the 4th top country in attracting FDI in Africa,” said the PSST, adding that the economy has created more jobs as a result of the various wealth creation initiatives such as PDM and Emyooga under implementation.

“Exports have increased to over USD 7.5 billion up from USD 4.9 billion in 2023,” said the PSST, adding that the economy is projected to grow by between 6% and 7% in FY 2024/25, rising to double digits over the medium term.

Ggoobi said this projection is on account of the tenfold growth strategy, government has adopted to grow the size of the economy to USD 500 billion by 2040.

“The task is now upon all of us to ensure that the economy of this country keeps on the steady-state growth path and transforms into a stable middle-income economy,” said Ggoobi.

On the issue of rationalization of public expenditure, the PSST said H.E the President has assented to 19 bills to rationalize particular entities and Shs 26.9 billion has been provided to facilitate this process.

Regarding the recent payroll audit Ggoobi said there should be no ghost workers on payrolls at this point.

“Ensure staff are paid their rightful salaries, pension and gratuity, avoid paying staff who are not officially recruited,” said the PSST.

The Executive Director National Planning Authority Dr. Joseph Muvawala highlighted the NDP IV roadmap and emphasized the issue of service delivery standards for every government entity as well as strengthening the planning function in all votes to guide proper budgeting.

The Town Clerk Kira Municipal Council, Benon Yiga on behalf of Local Government Accounting Officers raised the issue of additional wage for recruitment in new town councils, more funds for road maintenance & salary enhancement for local government Accounting Officers.

The Head of Public Service, Lucy Nakyobe in her remarks asked Accounting Officers of government to be at the forefront of fighting corruption.

She said whereas there are several officers involved in corruption, the buck stops with the Accounting Officers.

She urged the Accounting Officers to increase vigilance over the actions of all officers under them including Human Resource Officers and Managers; Members of District Service Commissions and Boards of Agencies and Commissions; Accountants and Procurement Officers etc.

She said the categories of staff who are involved in corruption are within their watch and supervision, adding that on several occasions, Accounting Officers are involved.

“Please note that the code of conduct and ethics for Uganda public service, sets out standards of behavior for public officers whom you supervise and manage in the Uganda public service,” said the Head of Public Service.

She challenged Accounting Officers to uphold professionalism, standards and expectations of the civil service and serve government and the people of Uganda without boundaries.

This strategic move ensures clients will benefit from enhanced features such as advanced machine learning algorithms and improved data analytics – technologies that are crucial to delivering faster, more accurate customer service and tailored financial solutions – thereby elevating the standard of digital banking across Africa.

“We are strengthening our digital offerings across all segments and using advanced analytics to enhance our clients’ digital experience. This means that pursuing constant innovation and adopting sustainable technology practices through collaborative partnerships remain key focus areas for us,” said Johnson Idesoh, Group Chief Information and Technology Officer at Absa Group.

As part of this commitment, Absa Group has extended its contract with LTIMindtree – a

multinational information technology services and consulting company.

The partnership will encompass a comprehensive suite of services including application maintenance and support, ensuring the seamless and efficient operation of critical applications across Absa’s network while eliminating risks typically associated with vendor transitions.

It will also advance the use of cutting-edge technologies such as Artificial Intelligence, machine learning, and data analytics to improve service delivery and customer engagement.

Additionally, by prioritizing cost efficiency through optimized operational processes and strategic resource allocation, we can achieve substantial savings. This approach will enable us to deliver enhanced features to our customers more rapidly and at a competitive price point.

The five-year extension arrives amid the Group’s ongoing efforts to continuously upgrade core banking systems, enhance digital channels and platforms, and implement innovative fintech solutions to continuously improve customer experience, streamline processes, and enhance operational efficiency.

Since establishing the partnership, LTIMindtree has already helped Absa achieve a 40% improvement in performance in its program management, analysis, and data migration in key services while maintaining 100% platform availability in recent years.

This is just one of several initiatives announced by Absa Group aimed at improving services within the bank and driving economic development across Africa.

The bank has made significant progress over the last few years in transforming its technology landscape, achieving market-leading operational stability, and delivering a new technology stack across core business functions like CIB, Absa vehicle and asset finance, and home loans – among others.

“Our partnerships, from within Africa and beyond, are about bringing new technologies and practices that benefit not only our customers but drive investment into African economies.

Our collaboration with LTIMindtree is about driving innovation and excellence, building resilient and future-proof technological infrastructures which are essential for navigating the modern financial landscape,” said Idesoh.

Speaking during the second financial fraud forum organized by the Uganda Banker’s Association(UBA)  at Mestil hotel Kampala, Dr.Michael Atingi-Ego, the Deputy Governor of the Bank of Uganda, emphasized the importance of extending proactive measures beyond system fraud detection to include due diligence on customers and employees to strengthen the anti-fraud environment.

“Financial institutions must remain proactive in detecting fraud avenues and narrowing such opportunities. The proactiveness should not be limited to system fraud detection but should include constant customer and employee due diligence especially for employees moving form one institution to another.”

Announcing its 2023 performance, UDB said the shs609.9 billion expanded its loans to shs1.47 trillion in 2023, reflecting robust support to the private sector.

According to the UDB Managing Director Patricia Ojangole, in 2023, the bank demonstrated a dedicated approach to supporting private business growth.

“UDB remains committed to fostering inclusive economic growth through strategic investments in sectors that drive sustainable development and job creation across Uganda. Our focus on key priority sectors underpins our mission to deliver high socio-economic value and support Uganda’s long-term development goals,” she said.

In 2023, UDB approved funding of shs692 billion in new loans to over 200 enterprises in 63 districts nationwide.

“These projects, upon full implementation, are expected to create 18,558 new jobs and generate an output value of shs11.4 trillion, from which shs616 billion will be generated as tax revenue to the government, and shs3.34 trillion in foreign exchange earnings,” the bank’s annual report reads in part.

Additionally, the bank implemented various institutional initiatives to expand its support to various vital sectors and address systemic growth constraints in the economy, including the following:

Through a multi-stakeholder partnership, the bank extended shs27 billion in funding to enhance water supply and improve water infrastructure, especially in scarcity-prone areas and under the program, up to 774 Kms in new water mains extension was realized, 27,307 new water connections realized, and 1,619 new public standpipes constructed to cater for 858 villages across the country.

Through a multi-stakeholder partnership, shs8.1 billion was deployed through the Hybrid Electricity Customer Connection Credit Framework, facilitating 38,833 new connections to the electricity grid nationwide.

The bank launched a shs150 billion funding allocation to support Ugandan contractors participating in infrastructure projects, a testament to our belief in the potential of local businesses.

Under its Special Programs proposition, UDB  continued to focus on expanding its support to the youth, women, and SME segments  with an additional allocation (approval) of shs21.2 billion in 2023 and disbursement of an additional shs13 billion to support various enterprises across the country, demonstrating our commitment to inclusivity and equality.

To enhance business resilience and formalization, through its Business Accelerator for Successful Entrepreneurship (BASE), the bank provided business development and coaching programs to 450 enterprises nationwide, of which 291 were identified to undergo business incubation in 2024.

“Prioritizing social inclusion in the bank’s development agenda is fundamental in fostering a resilient, inclusive, and sustainable society where no one is left behind. To the bank, social inclusion symbolizes diversity and social cohesion, unlocking the full potential of individuals and societal segments where everyone can fully participate, contribute, and thrive,” said Ms Ojangole.

Financial performance

In 2023, the Bank realized a post-tax (net) profit of shs 49.8 billion, a 17% uplift from shs42.6 billion registered in 2022.

This resulted from the sustained growth in the bank’s balance sheet, matched by prudent investment in interest-earning assets while ensuring lean operations.

The bank continued to grow, with total assets closing at shs1.67 trillion in 2023, a 10% uplift from shs1.52 trillion the previous year.

Loans and advances (net) stood at shs1.47 trillion, growing 20% from shs1.22 trillion, underpinned by the shs610 billion new loan disbursements realized during the reporting period.

To fund the creation of these assets, the bank reinvested shs467 billion it collected as repayments from its borrowing customers and deployed shs97.3 billion received from government as additional capital contributions, complemented by an additional shs120.5 billion in drawdowns from various lines of credit held with its funding partners.

The Minister of Finance Matia Kasaija, lauded the bank for its exceptional contribution towards the realization of the country’s National Development Plan III and Vision 2024.

“The government has played a pivotal role in significantly contributing to the country’s socio-economic transformation. In 2024 and beyond, the focus will be on mobilizing adequate resources to enable UDB to continue to deliver its mandate. The bank will also undertake the implementation aiming to accelerate productivity, import replacement, and export promotion. Additionally, the Bank will advance its holistic sustainability agenda and deepen financial inclusion for SMEs, women, and youth,” he said.

The chairman of the Board of Directors Uganda Development Bank, Mr Felix Okoboi, pledged the bank’s continued commitment towards catalyzing socio-economic development within the country.

“UDB remains resolute to driving inclusive economic growth through innovative financing solutions and leveraging strategic partnerships, reinforcing its role as a catalyst for sustainable development in Uganda,” Mr. Okoboi said.

Following the Financial Action Task Force (FATF) February 2023 plenary, two new reports were issued focusing on countering ransomware financing. These reports analyse the methods used by cybercriminals to execute attacks and launder ransom payments, as well as identifying potential risk indicators. The guidance provided aims to improve the detection and prevention of suspicious transactions linked to ransomware.

One of the core focuses of the FATF plenary was the alarming increase in ransomware attacks, particularly the misuse of virtual assets (VAs), which enable criminals to escape undetected with significant sums of money. The IBM X-Force Threat Intelligence Index highlighted that in 2022, the Asia-Pacific region experienced the highest number of cyberattacks for the second consecutive year.

In Uganda, cybercrimes remain a critical concern. During the 2023/2024 Financial year, 245 cases of cybercrimes were reported to the police, marking a 14.3% decrease from the 286 cases reported in 2022. However, the financial impact of these crimes remains significant, with losses amounting to UGX 1,543,292,161 in 2023, of which only UGX 377,441,465 was recovered.

The FIA workshop aimed to equip participants with the necessary skills and knowledge to effectively respond to ransomware incidents. It brought together cybersecurity experts, law enforcement officials, and IT professionals for an intensive learning experience covering incident response, analysis, containment, prevention, and recovery from ransomware attacks.

Participants learned the immediate steps to take when a ransomware incident occurs, including identifying the scope of the attack, isolating affected systems, and initiating communication protocols to minimize damage.

Experts from the United Nations provided in-depth sessions on analyzing ransomware attacks to understand their origin, methods, and potential impacts. Participants practiced techniques to contain the attack and prevent it from spreading within the network.

The workshop emphasized proactive measures to prevent ransomware attacks, such as regular system updates, robust backup practices, and employee awareness training. Strategies for recovering from ransomware incidents were also discussed, ensuring that organizations can restore their systems and data efficiently.

By providing hands-on training and expert insights, the workshop significantly enhanced the capabilities of participants in safeguarding their organizations against cyber threats. This initiative is part of a broader effort to strengthen cybersecurity resilience within the region.

The successful completion of this workshop underscores our dedication to combating cyber threats and enhancing national security. We are grateful to the UNODC and the Netherlands Embassy for their unwavering support in organizing this event. Their contributions were instrumental in facilitating this crucial training.

As we continue to face the growing challenges of cyber threats, it is imperative that we remain vigilant and proactive in our efforts to protect our financial and digital assets. The insights and skills gained from this workshop will empower our Authority to better detect, respond to, and prevent ransomware attacks. The FIA remains committed to fostering a secure and resilient cyber environment through continuous learning, collaboration, and the implementation of best practices.

Together, we can build a stronger defense against cybercrime and ensure a safer future for all.

Mr Cyrus Barigye is the ICT Systems and Security Director at the Financial Intelligence Authority (FIA). With extensive experience in cybersecurity, he is dedicated to enhancing the security posture of the organization and mitigating the risks associated with cyber threats.

He joined PostBank in November 2020 as a Manager Workplace Banking, and he was instrumental in re – engineering the processes for personal banking and accelerating commendable growth in the segment.

He was subsequently promoted to Regional Head of Distribution – Western and later transferred to the Central Business District in the same role.

Kato currently oversees the Bank’s Retail business, where he has undertaken numerous initiatives

and transformations that have significantly contributed to the growth of the bank’s balance sheet and profitability, as well as its drive for financial inclusion.

In his new role, he is responsible for the formation and execution of the bank’s business growth strategy across distribution channels, Fintech business, sales, and bancassurance.

He is also credited with nurturing a high-performance culture that has greatly impacted overall team performance across the board.

Before joining PostBank Uganda, Kato  worked with Stanbic Bank for nine years, where he

undertook multiple roles such as Manager New Business, Manager Workplace Banking, Officer Governance and Execution, among other branch roles.

He then worked at I& M Bank as a Relationship Manager SME and later Zenka Finance, a FinTech company, where he served as County Head of Sales and Distribution.

In these roles, he demonstrated strong thought and transformational leadership and made significant contributions to business growth.

He  holds a bachelor’s degree in industrial and organizational psychology from Makerere University and is in the process of completing his MBA from the University of South Wales.