SAGE payments to be channeled in Centenary bank

KAMPALA - Following a competitive bidding process, the Ministry of Gender, Labour & Social Development has announced Centenary Bank as the new payment service provider (PSP) for the Senior Citizens Grants under the Social Assistance Grants for Empowerment (SAGE).

The PSP provides channels to deliver the last mile of cash grants to older persons.

Under the SAGE scheme implemented under the expanding social protection programme in the Ministry of Gender, government provides monthly grants of sh25,000 to older persons who are 65 years and above and  60 years and above in the case of Karamoja.

The grants are intended to enable older persons to meet their basic needs, access basic services, and to start income-generating activities.

The latest development means, the bank will take over the PSP role from Postbank Uganda, whose contract expires in March 2021. Between now and March, Centenary Bank and Post Bank will pay side by side, until Postbank contract expires.

James Ebitu, the acting Permanent Secretary, Ministry of Gender, said the bank went through " a rigorous competitive bidding procurement process" to scoop the contract.

Stephen Kasaija, head, Social Protection Programme Management Unit at the ministry said the banks' countrywide presence is needed especially during this time when the country is fighting the COVID19 pandemic.

"Their countrywide presence through bank agents and their robust payment channels will go a long way to support us achieve our goal to pay older persons timely, reliably and safely," he said. 

As of December 2019, the bank had 74 branches and 186 ATMs across the country. It serves about 1.8 million customers according to the banks managing director Fabian Kasi.