The Governor Bank of Uganda, Prof. Emmanuel Tumusiime Mutebile has called for the reduction of risks involved in the agricultural sector.
This Mutebile says is one way of accelerating growth in the sector and accelerating financial inclusion.
The Governor was speaking at the Financial Sector Deepening (FSD) breakfast meeting held at Serena Hotel in Kampala.
“The particular challenge that we need to do as all stakeholders, in structuring financial inclusion, is de-risking the agricultural sector which employs the majority of our people. I think this is where most of our attention must be put”, he said.
This had earlier been reiterated by Ms. Rashmi Pilllai, the Director of Programs at Financial Sector Deepening Uganda.
Mutebile also took time to praise mobile money services which he said have revolutionaries the financial services sector ever since these technologies were introduced in 2009.
He says uptake of these services has picked up from 28% in 2009 to 58% a year ago.
“Mobile money and also technological developments have redefined financial inclusion through reduction of transaction costs, counter party risks and also information asymmetry”
However, for this tech driven financial infrastructure to be utilized fully, the governor says these services need to be accessible and that users need to be technological skilled on how to use it constructively.
According to statistics from FSD, over 60% of Ugandans are involved in agricultural activities.
Pillai says for financial inclusion to be attained respective bodies and stakeholders must work in sync.