Uganda’s vision for the financial sector is to build a system that is resilient to both internal and external shocks, while expanding access and usage of financial services. Financial deepening is expected to strengthen monetary policy transmission, enhance stability, and improve efficiency across financial institutions and processes. Despite progress in financial inclusion rising from 77% in 2018 to 81% in 2023, largely driven by mobile money, challenges remain. A growing proportion of Ugandans still keep money at home, insurance uptake remains very low at 2%, and 60% of adults lack confidence in their financial plans for old age, leaving households vulnerable to economic and social shocks.

To address these gaps, the Fourth National Development Plan (2025–2030) prioritizes capitalization of Development Finance Institutions (DFIs) such as the Uganda Development Bank (UDB) and Uganda Development Corporation (UDC), alongside public banking institutions like Post Bank, Pride Microfinance, and Housing Finance Bank. The goal is to expand their market share to 20% and incentivize commercial banks to lend to priority sectors and vulnerable groups including women, youth, low-income earners, rural communities, and the creative industry. National performance measures and compliance tracking systems will be established to ensure accountability and impact. Government has reaffirmed its commitment through the National Financial Inclusion Strategy (NFIS II, 2023–2028), which seeks to reduce exclusion, broaden access to affordable financial products, and strengthen consumer protection and financial literacy. By fostering a competitive financial sector, the strategy aims to drive private sector growth, employment creation, and a stronger savings and investment culture among adults. This will not only expand access but also deepen usage of quality financial services, positioning finance as a driver of inclusive economic growth.

Key result areas include reducing lending rates across institutions to improve affordability: commercial banks from 18% to 14.9%, Tier 4 institutions from 48% to 38%, money lenders from 120% to 60%, and DFIs from 12% to 8% by FY2025/26. Achieving these targets will strengthen Uganda’s financial architecture, enhance resilience, and ensure that the sector contributes meaningfully to the country’s broader socio-economic transformation agenda.