Embracing automation will slash costs, Kabyyanga tells financial institutions

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As financial institutions, including savings and credit co-operative organisations (SACCOs) and microfinance institutions, across the country continue to struggle with closures, they have been urged to adopt digital systems as a means of cutting costs and ensuring sustainability. 

State Minister for ICT and National Guidance Godfrey Kabbyanga made the recommendation during the fifth annual general meeting (AGM) of South Rwenzori Diocese (SRD) Trinity SACCO, on March 11, 2026. This was at St Paul's Anglican Cathedral in Kamaiba cell, central division of Kasese municipality. The event brought together clergy, members and stakeholders to reflect on the SACCO’s progress while addressing broader challenges facing the financial sector.

Kabbyanga emphasised the importance of leveraging technology to streamline operations and minimise expenses. He said many financial institutions incur unnecessary costs by maintaining large numbers of employees who perform manual tasks that could easily be automated through digital solutions.  

"Why recruit and pay numerous tellers when one or two individuals can efficiently handle client transactions using digital applications?" Kabbyanga said.

"The current technological advancements allow us to simplify processes, reduce overheads, and enhance service delivery."

He also cautioned against the trend of hastily opening multiple branches, which often leads to unsustainable expenditures on rent, operational licenses and staffing. Instead, he advised institutions to invest in online transaction platforms and engage agents across various regions to reach clients more effectively.  

Loan recovery and sustainability

Turning his attention to loan recovery and institutional sustainability, Kabbyanga urged financial institutions to instill a culture of savings among their members. He stressed the need to equip clients with financial discipline and ensure that guarantors for loans have sufficient funds in their accounts to mitigate risks.  

"Strict adherence to your policies is crucial to safeguarding members' savings," the state minister said.

"By doing so, you not only build trust but also attract organisations seeking reliable partners to manage government-funded initiatives like Emyooga."



A Testament to Growth

Highlighting the success story of the SACCO, South Rwenzori bishop Nason Baluku recounted its humble beginnings as a small savings group for clergy, lay readers and their spouses. Following resolutions passed during synod meetings in 2018 and 2022, the SACCO evolved into a robust financial institution serving thousands of members.  

"Our membership has surged from 1,831 in 2023 to 4,915 in 2025, while our portfolio grew from shillings 436.2 million in 2023 to 2.364 billion in 2025," Baluku said.

Despite challenges such as noncompliance from some church leaders and institutional managers, the SACCO continues to thrive by offering affordable loans for productive purposes.  

Amoni Nzende, the SACCO manager, attributed this remarkable growth to a dedicated team of professionals committed to executing their responsibilities diligently.  

The AGM concluded with the official commissioning of the SACCO's permanent site on Mukirania Street. The ceremony was led by Kabbyanga, underscoring the significance of establishing a stable foundation for future growth.