Diamond Trust Bank Uganda has launched a new digital loan facility aimed at easing the cost of education for thousands of families, in a move the bank says will help keep more children in school.
The DTB Furaha School Fees Loan, introduced in partnership with Furaha Finserve Uganda, allows parents to access instant credit that is paid directly to schools. The two institutions say the initiative will reduce the pressure of lump sum termly payments, which remain one of the biggest barriers to continued learning.
According to data from the Ministry of Education, only 10 out of every 100 pupils who began primary school in 2012 completed senior six in 2024. Bank officials said the high dropout rate is closely linked to school fees constraints.
Speaking at the launch in Kampala, the DTB chief executive, Godfrey Sebaana, said the partnership was driven by a commitment to address everyday struggles faced by Ugandan families.
“Our partnership with Furaha Finserve Uganda is built around one clear goal: keeping children in school. This digital loan is designed to ease the heavy pressure parents face at the start of every term,” he said.
Parents can apply for the loan through the Furaha mobile app or by dialling a short code. Only a national ID is required for registration. After entering the student number and choosing a payment plan, the loan is sent directly to the school. DTB staff will assist parents who need support using the platform.
Sebaana said the bank hopes the product will help more than one million children stay in school over the next five years.
Furaha Finserve’s chief executive, Dennis Musinguzi, said the service was built to tackle real challenges. He noted that school fees are a major source of financial stress for families and that the partnership with DTB would allow the digital solution to reach far more people across the country.
The two institutions also plan to expand the collaboration. A second phase will introduce financing for electric motorcycles in Kampala and loans for clean energy products including cooking gas, in an effort to encourage more sustainable lifestyles.
With more than twenty thousand schools across Uganda, DTB says the potential impact of the new loan scheme is significant. The product is now available to all eligible parents nationwide.
