The Bank of Uganda has issued a stern warning to the public against using their National IDs as collateral for moneylenders.
This warning was made during the Bank of Uganda Town Halls, a community outreach campaign aimed at fostering capacity building and financial literacy among Ugandans.
According to officials at the BOU, the campaign intends to bring the Central Bank closer to the people, sharing with the public what the Bank does, listening to concerns raised by Ugandans, and promoting transparency.
The inaugural BOU Town Hall activations kicked off today at Bushenyi District Multipurpose Hall, where several Bank of Uganda officials delivered key addresses about various important issues concerning them.
Importance of Protecting Financial Information
Dr. Kenneth Egesa, Acting Bank Secretary and Director of Communications and Public Relations, emphasised the importance of protecting financial information, including PINs, passwords, and National IDs. He cautioned attendees against sharing this information with moneylenders, highlighting the risks of fraud and financial exploitation.
“Your PIN, passwords, and National ID are private; never share them, especially with moneylenders,” he cautioned. “Let’s work together to stop fraud before it starts,” he added, noting that an informed public is a safer public.
Role of the Bank of Uganda
The Bank of Uganda plays a critical role in supporting everyday Ugandans through various initiatives, including price stability, financial inclusion, and practical tools like the Agricultural Credit Facility and Small Business Recovery Fund.
Hannington Wasswa, Director of Commercial Banking, emphasised that the Bank’s role is not abstract, but rather affects the daily lives of Ugandans, including the price of basic goods and the safety of their savings.
“Our role at the Central Bank is not abstract; it affects the price of bread on your table and the safety of your savings,” Wasswa said. “We’re not just here to talk; we’re here to partner with communities for real change,” he added.
Financial Literacy and Public Engagement
The Bank of Uganda Town Halls are designed to promote financial literacy and public engagement, providing a platform for the public to learn about the Bank’s role and activities, as well as to share their concerns and feedback, among others.
By engaging with the public, the Bank aims to build trust and promote transparency, ultimately contributing to a more stable and inclusive financial system.
The Bank of Uganda’s warning against using National IDs as collateral for moneylenders is a timely reminder of the importance of protecting financial information and avoiding financial exploitation.
By promoting financial literacy and public engagement, the Bank is working to empower Ugandans to make informed financial decisions and build a more stable financial future.