Uganda Revives Cooperative Bank After 25 Years to Drive Financial Inclusion and Support Cooperatives

In a significant development announced today at the Uganda Media Centre, government leaders revealed the re-establishment of the Cooperative Bank—a move aimed at expanding access to financial services for millions of Ugandans, especially in rural and underserved communities. The bank's revival, after being closed for 25 years, is seen as a game-changer aligned with national goals under Vision 2040 and the National Development Plan IV.

During the press briefing, cooperative leaders lauded President Yoweri Museveni and the government for their unwavering support, which has led to increased visibility and impact of the cooperative movement across the country. The move comes amidst calls to address chronic underfunding in the sector and to fully leverage cooperative institutions for national development.

Leaders urged the government to consolidate various development funds—including PDM, EMYOGA, and the Youth Livelihood Fund—under the Cooperative Bank to streamline financing and enhance impact. They also called for the handing over of existing agro-processing facilities to cooperatives, which would boost agricultural value addition and market access for farmers.

Further, the cooperative movement emphasized the need to upgrade Kigumba and Tororo Cooperative Colleges into universities. This would nurture future cooperative leaders and create a sustainable foundation for growth.

Concerns were raised over legal loopholes affecting SACCOs, incidents of fraudulent asset sales, and limited district-level support. Leaders appealed for stronger legal protections for cooperative assets, robust prosecution of fraudsters, and better resource allocation for district commercial officers to empower local cooperative initiatives.

In closing, the revival of the Cooperative Bank marks a pivotal step toward fostering financial inclusion, empowering cooperatives, and advancing Uganda’s national development agenda.