Stanbic Bank Launches Initiative to Boost Financial Inclusion in Uganda
KAMPALA, Uganda – Stanbic Bank Uganda has launched a new campaign, “Oli In Charge” (You Are In Charge), aimed at expanding access to affordable financial solutions for individuals and businesses across the East African nation. The initiative, unveiled this week, offers a range of loans, insurance products, and digital banking tools designed to empower Ugandans to achieve their financial goals.
The move comes as Uganda grapples with economic challenges, including rising inflation and limited access to credit, particularly for small and medium-sized enterprises (SMEs) – the backbone of the country’s economy. According to the Uganda Bureau of Statistics, SMEs contribute approximately 75% of total employment and over 60% of Uganda’s Gross Domestic Product. However, a 2022 report by the World Bank indicated that only 22% of Ugandan adults have access to a formal credit account.
“Uganda is our home, drive her growth,” stated Israel Arinaitwe, Head of Personal Banking at Stanbic Bank, reflecting the bank’s commitment to the country’s economic development. The “Oli In Charge” campaign directly addresses the need for increased financial inclusion, offering unsecured loans of up to UGX 350 million (approximately $92,000 USD) with repayment terms extending up to 120 months for salaried customers. These loans are accessible within minutes through the Stanbic App or via USSD code *290#, at a discounted rate of 17%. Customers can also access interest-free cash advances up to UGX 5 million (approximately $1,300 USD).
Recognizing the vital role of agriculture in Uganda’s economy – the sector employs over 60% of the population – Stanbic Bank is also offering unsecured loans of up to UGX 250 million (approximately $66,000 USD) to self-employed individuals, particularly farmers, with competitive interest rates starting at 10% per annum. The bank highlighted its focus on supporting key agricultural sectors like coffee, cocoa, palm oil, and sugarcane.
Beyond individual loans, Stanbic Bank is partnering with Fincom Technologies, the creators of SchoolPay, to provide pre-approved financing of up to UGX 1 billion (approximately $263,000 USD) directly to private educational institutions through the SchoolPay platform. This innovative approach bypasses traditional banking procedures, streamlining access to capital for schools, particularly crucial during the back-to-school season. Melisa Nyakwera, Head of Commercial Banking, emphasized that this partnership “modernizes education finance” and leverages technology to improve access to affordable funding.
The campaign also extends to comprehensive financial protection. Customers taking out home loans will automatically receive Mortgage Life Protection, covering outstanding balances in case of death, critical illness, or permanent disability. Additionally, opening an Investa Plus account offers a chance to win a UGX 50,000 (approximately $13 USD) deposit into a child’s education plan. Stanbic’s Homeowners Comprehensive Insurance provides protection against fire and other risks.
Sam Bulenzi, Head of Coverage at Stanbic Bank, underscored the bank’s investment in digital infrastructure to facilitate quick and seamless transactions. “Our initiatives are designed to support not just individuals, but also businesses, particularly women, youth, and farmers, who have historically faced barriers to accessing affordable financing,” he said.
The “Oli In Charge” campaign is set to run throughout the back-to-school season and beyond, offering Ugandans a pathway to financial empowerment. The bank’s holistic approach, combining accessible financing with insurance and digital solutions, aims to safeguard growth and secure the financial futures of individuals, families, and businesses across Uganda.
