Cooperative Bank to be revived

By John Odyek

MEMBERS of the cooperative unions in Uganda have a reason to smile as government is scheduled to revive the collapsed Cooperative Bank.

Finance minister Maria Kiwanuka will announce in the June budget funding and measures to re-launch the bank which was shut down by Bank of Uganda due to insolvency almost a decade ago.

“We’ll undertake a study that will guide Government on the best way to enhance the development finance products and services previously offered by institutions such as Uganda Co-operative Bank. It will seek to use existing structures including restoring Uganda Co-operative Bank to consolidate and enhance all the available development funds,” said the budget framework paper for 2014/15.

This initiative will enhance the availability of affordable financing to viable projects in agriculture and micro and medium scale enterprises development. 

The ministry of finance and the Bank of Uganda will work with all stakeholders to expedite this policy initiative.