BoU Reaffirms Regulatory Control Over Large SACCOs, Moves To Quell Sector Misconceptions

The Bank of Uganda (BoU) has reiterated that it remains the lawful supervisory authority over large Savings and Credit Cooperative Organisations (SACCOs), dispelling growing public misconceptions about changes in sector regulation.

Mr. David Kalyango, the Executive Director for Supervision at BoU, stressed that the mandate is clearly anchored in law.

“The Bank of Uganda retains supervisory authority as per the Act of Parliament,” he said, reaffirming that the Microfinance Deposit-taking Institutions (MDI) Amendment Act remains fully in force.

The clarification comes amid widespread speculation about the regulatory roles of the Uganda Microfinance Regulatory Authority (UMRA) and other government agencies.

Kalyango emphasised that while several institutions are working collaboratively to strengthen the sector, BoU’s oversight of large SACCOs has not shifted.

BoU is currently rolling out an enforcement roadmap aimed at ensuring that SACCOs meet the requirements of the amended law.

However, Kalyango noted that the central bank is prioritising awareness and cooperation rather than punitive action