The 3rd Financial Sector Anti-Fraud Forum held at Mestil Hotel in Kampala on Tuesday brought together senior officials from the Bank of Uganda, Visa, the Uganda Bankers Association, and regional experts in artificial intelligence, all united by a single concern: the escalating threat of fraud that continues to erode trust in Uganda’s financial system.
In his opening remarks, Andrew Kawere, the Director of the National Payment Systems Department at the Bank of Uganda, warned that fraud remains one of the most dangerous threats facing the country’s financial ecosystem, attacking its very core values of confidence and trust.
“Fraud instills fear among financial service consumers and undermines the basic exchange of goods and services that the financial sector enables,” Kawere said. “When the belief that deposits are safe and that funds shall reach their intended beneficiaries is broken, the sector is shaken; this is what fraud does.”
Kawere emphasized that while technology and innovation have increased the accessibility of financial services, they have also widened the playing field for criminals. He cited findings from the 2024 Uganda Police Annual Crime Report, which showed a 1.6 percent increase in economic and corruption-related crimes, with losses amounting to UGX 295 billion. Of particular concern were 110 cases of bank and corporate fraud, representing UGX 5.27 billion in reported losses.
However, what disturbed Kawere most were the low conviction rates. “For bank and corporate fraud, 110 cases were reported to police, seven were submitted to the DPP, and only one was taken to court,” he revealed. “We all have a role to play in improving these ugly statistics from prevention and detection to sharing information, preserving evidence, and administering justice. The ball is in our court.”
He urged financial institutions, regulators, and law enforcement to work more closely to ensure timely reporting and investigation of fraud cases. Kawere concluded by calling on all players in the sector to intensify vigilance and internal controls, warning that fraud, if unchecked, could destabilize confidence in Uganda’s growing digital financial landscape.
Victor Makere, the Country Manager for Visa Uganda, echoed Kawere’s concerns but emphasized the importance of capacity building and the role of technology in preventing financial crime. He noted that Visa has prioritized regular training programs for bank staff and payment service providers to equip them with the latest knowledge on digital security, incident response, and emerging fraud trends.
“We conduct continuous training sessions to ensure that those on the frontlines are empowered to protect our financial system,” Makere said. He added that Visa’s public education campaigns have been critical in helping Ugandans recognize and avoid scams, particularly those targeting digital payments and e-visa applications.
Makere revealed that Visa’s collaboration with the Uganda Bankers Association (UBA) has been instrumental in warning the public against fraudulent websites and phishing attempts. “On the technology front, we have supported banks to deploy advanced, AI-powered fraud detection systems and real-time analytics,” he said. “These tools allow institutions to spot suspicious activity and intervene before losses occur. Fraud prevention must now be proactive rather than reactive.”
He emphasized that collaboration remains central to Visa’s approach. “We are working closely with banks, law enforcement, and regulators, sharing threat intelligence to dismantle scam operations and prevent future attacks,” Makere explained. “Our AI systems continuously learn from new patterns, distinguishing genuine customer behavior from potential threats.”
Julius Kakeeto, the Chairman of the Uganda Bankers Association (UBA), underlined that the rise in fraud cases represents not just a financial loss but also a serious threat to Uganda’s economic reputation. He warned that fraud undermines financial inclusion, reduces investor confidence, and poses a major challenge to the sustainability of the financial sector.
“As a sector, we must adopt a zero-tolerance culture for fraud,” Kakeeto said. “We cannot afford to operate in silos. Every stakeholder must recommit to collaboration and collective responsibility.”
Kakeeto urged financial institutions to prioritize three critical interventions: investing in technology, empowering staff and customers, and strengthening the legal framework. He called for greater use of Artificial Intelligence (AI) and machine learning to detect and model fraudulent behavior in real time, noting that these tools can significantly improve the industry’s ability to identify red flags before damage is done.
He also emphasized the importance of ongoing education and empowerment. “Our staff and customers must be equipped with the skills and awareness to protect themselves. Fraudsters exploit ignorance and complacency; we must close those gaps,” he said. Kakeeto added that the judiciary and law enforcement agencies must also enhance their capacity to investigate and prosecute complex financial crimes, with tougher penalties to deter would-be offenders.
Delivering the day’s keynote address, Professor Arthur G.O. Mutambara of the University of Johannesburg expanded the conversation beyond Uganda, calling for a regional and continental approach to fighting financial fraud through technology and collaboration.
“AI can and should be deployed across borders because fraud knows no boundaries,” he said. “Uganda must learn from Rwanda, Kenya, Tanzania, and other countries in the region. Collaboration must go beyond national borders; it must be continental.”
However, Professor Mutambara warned that AI should not only be seen as a defensive tool against fraud but as a catalyst for transformation in the financial sector. “AI is a revolution; it is not just about stopping crime,” he said. “It is about productivity, efficiency, innovation, and service delivery. It is about moving more people out of poverty.”
He challenged Uganda and other African countries to go beyond consuming AI solutions created elsewhere and instead become producers of homegrown technologies. “Africa must not only use AI, but we must create AI systems, be thought leaders, and shape the global digital agenda,” he emphasized.
The forum, attended by senior executives, policymakers, and cybersecurity experts, concluded with a shared commitment to strengthen coordination among financial institutions, regulators, and enforcement agencies. Participants agreed that the fight against fraud must be anchored on trust, technology, and transparency, the three pillars that uphold confidence in the financial system.
Kawere, however, reminded the audience that fraud is not a distant threat but a daily reality that requires vigilance and unity. “The fight against fraud is not a one-day event,” he said. “It is a shared journey to safeguard the lifeblood of our financial system, confidence and trust.”
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