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Reading: BoU Calls for Stronger Data Systems as Uganda Moves Toward Inclusive, Data-Driven Credit Market
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Finance

BoU Calls for Stronger Data Systems as Uganda Moves Toward Inclusive, Data-Driven Credit Market

Watchdog Uganda
Last updated: 25th November 2025 at 08:31 8:31 am
Watchdog Uganda
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Bank of Uganda has reaffirmed its commitment to building a more inclusive, data-driven credit market as the country pushes to strengthen credit information sharing and scale financial inclusion.

This was revealed by David Kalyango, Executive Director of Supervision at the Bank of Uganda, during the first Credit Data, Referencing and Innovation Symposium held on Thursday at Mestil Hotel, organised by the Credit Reference Bureaus Association Uganda (CRBA).

Speaking under the theme “Strengthening and Scaling Uganda’s Credit Ecosystem through Data, Innovation and Partnerships,” Kalyango said Uganda’s financial sector is entering a decisive moment where data, technology, and collaboration must work together to unlock credit for millions of potential borrowers.

Kalyango highlighted the enabling role of the National Payment Systems Act, 2020, and the National E-Payment Strategy (2021–2026) in fostering a safe, interoperable infrastructure that supports financial innovation.
He also pointed to the impact of the Agricultural Credit Facility (ACF), which, since 2009, has disbursed over UGX 1 trillion to more than 6,000 beneficiaries, maintaining a strong repayment track record.

Additionally, amendments to the Tier IV Microfinance Institutions Act have enhanced supervision of SACCOs and expanded licensing to larger savings and credit cooperatives — a development Kalyango said increases the demand for robust credit referencing systems.

Expanded Credit Information Sharing

According to Kalyango, the Credit Reference Bureau Regulations of 2022 transformed Uganda’s credit information framework by widening the scope of data contributors beyond banks and MDIs to include SACCOs, money lenders, retailers, employer groups, credit collectors, and other non-bank entities.

As of September 30, 31 supervised financial institutions were actively using credit bureau services across 837 branches, 40 accredited credit providers—mainly Tier IV institutions—had been onboarded, and 435 third-party entities had requested credit information, reflecting a rising demand for data-led decision-making.

“These developments support richer borrower profiles, risk-based pricing, and reduction in over-indebtedness,” he said. Uganda, he added, is steadily moving toward full-file reporting, where both positive and negative credit data from formal and informal sectors shape borrower history.

Kalyango outlined key priorities needed to build a credit system where every viable borrower — “a farmer, boda boda entrepreneur, market vendor, youth, refugee, or woman-led enterprise can prove creditworthiness through trusted data,” he said.

Among the priorities he outlined were: Accelerating Full-File, Multi-Sector Reporting, Bringing more semi-formal lenders into the credit ecosystem, and enforcing mandatory bureau checks for all loans, including small-ticket loans, to help borrowers build a verifiable credit trail.

Leveraging Government Programs for Financial Inclusion; “Programs like the Parish Development Model generate valuable data on household and enterprise performance. If properly captured with consent, this information can build credit profiles for rural communities,” he said.

 Strengthening SACCO Oversight, where Large SACCOs with over UGX 1.5 billion in voluntary savings and UGX 500 million in capital are now jointly supervised by the Bank of Uganda, enabling deeper integration into the credit information system.

“Using the National Identification Number (NIN) as a Universal Borrower ID, NIN-linked loans reduce onboarding costs, streamline KYC, and enhance traceability. Harnessing Alternative Data to Close Gender Gaps. Women account for only 24% of the formal loan value despite near parity in account ownership. Mobile money records, group savings data, and enterprise cashflows can help design fairer credit products for women,” he added

Last priority was Strengthening Consumer Protection and Data Privacy, where he emphasized enforcing strong licensing, disclosure, and market conduct standards, while ensuring all financial actors comply with the Data Protection and Privacy Act, 2019. “Our system must protect borrowers, safeguard their data, and build trust in financial services,” Kalyango said.

Addressing the symposium, Mrs. Barbra Among Arinda, Executive Director of CRBA, described the gathering as a milestone for Uganda’s financial sector.

“For the first time, all key actors across the credit value chain are under one roof to reflect, share experiences, and chart a collective future for Uganda’s credit information infrastructure,” she said.

She noted that the sector must now rethink how to harness data, innovation, and partnerships to empower both current and potential borrowers.

The symposium underscored widespread agreement that Uganda’s next phase of financial inclusion will be anchored in data integrity, innovation, consumer protection, and shared infrastructure.

As Uganda works toward a fully inclusive, transparent, and efficient credit ecosystem, Bank of Uganda says the goal is clear:
a credit market where data builds trust, expands opportunity, and ensures that no viable borrower is left behind.


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