Equity Bank Uganda has reaffirmed its commitment to advancing financial inclusion by strengthening support for Savings and Credit Cooperative Organisations (SACCOs), micro-businesses and grassroots entrepreneurs through tailored financing, financial literacy programmes and sustainability-focused products.
Speaking at the Uganda Central Co-operative Financial Services Ltd (UCCFS) annual general assembly held at Silver Springs Hotel in Bugolobi, bank officials highlighted Equity’s transformation from a small savings society into a regional banking powerhouse.
They said the bank remains committed to supporting SACCOs and small businesses, which it considers key drivers of economic growth.
Equity Bank’s Head of SMEs, Olivia Mugaba, said the institution was founded by ordinary farmers who could not access traditional banking services due to a lack of collateral and financial history.
“We started as a society formed by ordinary farmers who could not access traditional banking because they lacked financial history and collateral,” Mugaba said.
She explained that small-scale farmers came together to create a financial system that enabled members to save, borrow money, pay school fees and invest in farming activities through mutual trust and shared responsibility.
“That journey is proof that SACCOs and cooperatives can grow into strong institutions when supported with the right leadership, discipline and partnerships,” she added.
Mugaba said Equity Bank’s partnership with UCCFS is aimed at strengthening financial inclusion at the grassroots by designing products and services that address the challenges faced by SACCO members.
“If a customer walks into a bank and is turned away because they do not meet standard requirements, then we have not served them. We want to understand people’s challenges first so we can create solutions that work for them,” she said.
She revealed that the bank has dedicated resources for free financial literacy and capacity-building programmes for SACCOs across the country.
“If your SACCO needs governance training, financial literacy or leadership support, call us. We will come and train your members at our own cost,” Mugaba said.
The bank also showcased its sustainability agenda through green financing products that support renewable energy, waste management and environmentally friendly projects.
“We provide green financing at reduced interest rates because sustainability matters. In some cases, our partners even pay up to 33% of the loan value on behalf of the customer,” she said.
Equity Bank’s Segment Head of Micro Business, Bob Paul Lusembo, described SACCOs as the foundation of economic transformation at the grassroots level.
“The starting point of transformation at the grassroots is the SACCO because members know and trust one another. The biggest challenge they face is liquidity, and that is where Equity Bank comes in,” Lusembo said.
He explained that the bank offers financing to SACCOs ranging from Shs1 million to Shs100 million under its micro-business segment, depending on the institution’s growth stage and borrowing capacity.
“We do not only provide loans. We also strengthen governance structures and train both SACCO leaders and members to ensure sustainability,” he said.
Lusembo added that the bank has financial literacy trainers stationed in every region to support SACCOs free of charge.
The bank also announced specialised financing solutions for agriculture, green energy projects, distributors, suppliers and school fees support.
Under its agribusiness financing programme, Equity Bank provides unsecured short-term loans ranging from Shs10 million to Shs 500 million for farmers and suppliers with verified produce contracts.
“If you are supplying companies like Nile Breweries or are an accredited distributor for companies such as Pepsi, we can finance you without requiring traditional security,” Lusembo explained.
For larger businesses and growing SACCOs, Mugaba said the bank offers SME financing ranging from Shs1 million to Shs6 billion.
The officials concluded by reaffirming the bank’s long-term commitment to cooperatives and encouraged SACCO leaders to continue engaging with the institution on ways to improve services.
“Our partnership with UCCFS is for the long term. We are here to listen, support and grow together with cooperatives across Uganda,” Mugaba said.
