The Speaker of Parliament Rt.Hon.Rebecca Kadaga wants government to motivate commercial banks by giving them special incentives to encourage them open up branches in the rural parts of Uganda.
Kadaga made the remarks while addressing a training workshop for village savings and loan associations organized by the Ministry of Finance at Nawanyago Sub-County headquarters in Kamuli district last week .
She noted that the absence of commercial banks in rural districts affects rural savings schemes.
“Banks have concentrated on Kampala, Wakiso and Mukono districts. Government should provide incentives to these banks to open up in the rural areas. This will boost the saving spirit among SACCO Members”, she said.
Speaker Kadaga who expressed concern over the slow progress of SACCOs in Busoga region urged Members to uphold the spirit of trust and accountability.
“Three years ago, I extended over 60 million shillings to village SACCOs. I have uptodate not been invited to any meeting where progress reports are presented. Some have even closed shop and members have not met for many years. SACCOs have succeeded elsewhere why not in Busoga,” the Speaker said.