Offshore banking is gaining popularity among Ugandans, and banking institutions are popularizing it as a way of garnering more corporate clients. 

Offshore banking is the practice of keeping money in a bank account located in a different country than the account holder's home country.   

I&M Bank and Standard Chartered Bank are some of the institutions that have introduced the product. For StanChart, their Off Shore Mutual Funds facility enables clients to start investing with as low as $100, grow their savings and purchase shares in international firms all around the world.  

While launching the I&M Bank Corporate Branch at Kingdom Kampala recently, Sam Ntulume, the bank’s Acting Managing Director, said the facility enables their clients to make and receive payments internationally.   

“The facility, which is being offered in collaboration with Mauritius financial giant, Bank One, will also come in handy for Ugandans who aspire to own property abroad,” he said at a recent press conference.    

He said they will additionally be able to hold money and set up savings and investment accounts in multiple currencies in addition to managing financial commitment across multiple countries and regions, and purchase property in other African countries and elsewhere. 

Ntulume said with the huge stock of green buck at their disposal, they are ready to fund property purchase in any part of the world by Ugandans, provided they satisfy the application requirements.     

“We will use Bank One, which is our sister company and one of the biggest banks in Mauritius, to provide the needed funding. With this partnership, we are ready to bring world-class Offshore Banking services to each one of our high-net-worth customers,” he said.   

Annette Nakiyaga, the Head of Marketing said for one to open an Offshore Bank account with I&M Bank is a minimum of $5,000 deposit once an account is opened including a balance build-up period of up to 12 months. This would eventually reach $50,000 as deposits or in investment.   

Joseph Fetaa, the head of the bank’s products and channels mentioned some of the benefits of Offshore Banking as digital banking services, access to a dedicated relationship manager and a range of international investment opportunities.