Centenary bank has started a new banking project known as ‘agency banking’ in Masaka district so as to break barriers of banking systems in remote areas.
As recently directed by Bank of Uganda to all banks to engage in agency banking, Centenary bank ahead of other commercial banks has taken the lead in starting this activity by training people on how the agency banking will be carried out. The major aim of carrying out agency banking is to ensure banks to use third parties to carry out banking services.
“Through agency banking, customers will not have to move to banks to make money transactions or payments but use our trusted agents.” Charles Sentamu the financial inclusion manager at Centenary Bank explained.
Mr. Sentamu added that they are starting with Masaka because they want to first cater for rural areas that are mostly faced with majority banking problems and will later move to other areas around the country and setting up over 50 agents in each area. The role of these agents will be to handle banking services and also ensure that people in their allocated areas receive the necessary banking services in a satisfying manner.
“Agency banking will be possible since we are in touch with telecom companies so that they can assist us when it comes to mobile banking and digital solutions.” He added.
Outlets will soon start operating after compiling to the necessary terms and conditions and also after presenting the required requirements like having a bank guarantee of at least Shs10m, business registration, physical security at the outlet which are supposed to be approved.
