About the Strategy

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The vision of the Strategy for Financial Literacy in Uganda is that  Ugandans have the knowledge, skills and confidence to manage their and their family’s personal finances well.

The goals for the Strategy are:

  • to improve the ability of the population to manage their personal finances well;
  • to help equip people to protect themselves against fraud;
  • to make cost-effective use of resources which can be used to strengthen financial literacy;
  • to promote increases in the number, and improvements in the quality, of initiatives to strengthen financial literacy; and
  • to facilitate effective co-ordination and knowledge-sharing between organisations and individuals who are working to improve financial literacy.
An essential step towards achieving the National Development Plan's vision for Uganda of a transformed Ugandan society from a peasant to a modern and prosperous country within 30 years is to increase access to affordable financial products and services. This, in turn, requires people:
  • to be confident that they will be dealt with fairly by financial services providers; and
  • to be financially literate.
However, in Uganda – as in other countries – many people lack the knowledge, skills and confidence to manage their finances well. Strengthening financial literacy will contribute to the achievement of the Vision for Uganda.

The term “financial literacy” is defined, for the purposes of the Strategy for Financial Literacy in Uganda, as having the knowledge, skills and confidence to manage one's finances well, taking into account one's economic and social circumstances.

The considerable efforts of a range of organisations to strengthen financial literacy in Uganda have helped to generate valuable experience and expertise and deserve recognition. Because of the way in which engagement in this area has evolved, current initiatives tend, however, to be relatively small-scale and fragmented. The implementation of the Strategy on Financial Literacy will help to ensure that, in future, there will be a fuller, more sustainable and more effective range of programmes than is currently the case. It will also provide focus and momentum, improve co-ordination, encourage collaboration and help to generate active support from a fuller range of stakeholders.

The Bank of Uganda (BOU) has led the development of the Strategy for Financial Literacy in Uganda and will lead its implementation, with the support of the German Development Cooperation implemented by GIZ and working in partnership with a broad range of stakeholders. BOU will continue to be advised by the Financial Literacy Advisory Group and to use the Financial Literacy Information Sharing Group as the primary means of communication with the full range of stakeholders.

The Strategy for Financial Literacy in Uganda builds on extensive consultations with stakeholders as well as international best practices, as summarised in “Towards an Effective Framework for Financial Literacy and Financial Consumer Protection in Uganda”, published by BOU in 2011.

The preparation of the Strategy for Financial Literacy in Uganda has benefited from the input of stakeholders during a series of stakeholder workshops and in a number of individual meetings and discussions. In particular, BOU has benefited from advice from the Financial Literacy Advisory Group (FLAG), from members of the five Financial Literacy Working Groups and from members of the Financial Literacy Information-Sharing Group.

The continued engagement and efforts of stakeholders across a broad range of sectors will be indispensable if the Strategy is to be successfully implemented and if Uganda is to bring about a genuine and significant increase in the level of financial literacy of its population.

Following consultation with stakeholders, it has been decided that the Strategy should focus on five strands:
  • Schools
  • Youth
  • Rural outreach
  • Workplace
  • Media
Working Groups have developed strategic priority activities for each of these strands.

The guiding principles which have governed the development, and will govern the implementation, of the Strategy for Financial Literacy in Uganda are:

  • working in partnership;
  • using a broad range of methods and channels;
  • prioritising;
  • taking advantage of teachable moments;
  • consumer testing of proposed initiatives and materials;
  • monitoring and evaluation;
  • learning from experience, including from other countries, other sectors and other disciplines;
  • communicating effectively; and
  • cost-effectiveness
The implementation of the Strategy for Financial Literacy in Uganda will be in the interests of individuals, financial services providers and of the country as a whole. In particular, it will help individuals to manage their personal finances better; they will be less likely to suffer losses; they will be more likely to be financially included; and they will be able to choose from more competitively priced financial services and products.

Financial services providers will have a larger market in which to compete; and their clients3 will be better informed. For Uganda as a whole, the implementation of the Strategy for Financial Literacy in Uganda will increase financial inclusion; will help to promote a sound financial system; and will help to take the poor out of poverty.

Copyright © 2013 This website is part of the Strategy for Financial Literacy in Uganda, supported by Bank of Uganda