The assistant director financial stability at the central bank, Robert Mwebazize has revealed the banks plan to amend the Financial Institutions Act 2004 in a bid to create a regulatory frame work to monitor micro finance deposit institutions (MDI) just like other financial institutions.
bank of Uganda Governor, Emmanuel Tumusiime Mutebile
Mwebabazize states that the proposed changes were forwarded to the finance ministry for thorough cross checks which later will be sent to parliament for debate
The amendments seek to have MDIs in the first tire elevate to the second tire and have the brand of the word bank on them and act on behalf of BOU in delivering financial services to the public.
While producing the annual supervision and financial stability report of the year end 2010, the BOU reveals that all financial institutions in the country are of sound economic stability.
He also adds that BOU together with UBOS are to start a system of evaluating the real estate sectors as a way to monitor the economy more effectively.
By Isaac Senabulya, Ultimate Media