UCA Rallies Cooperatives in Elgon Region to Support National Savings and Credit Cooperative Society, the Precursor to the National Cooperative Bank
5th December 2025, Mbale City-The Uganda Cooperative Alliance (UCA) today held a regional engagement in the Elgon sub-region to popularize and mobilize support for the newly established National Savings and Credit Cooperative Society Limited, a strategic initiative aimed at building a sustainable cooperative-owned National Cooperative Bank in Uganda. The event attracted cooperative societies from across the region, alongside government officials, financial sector actors, private companies, and the media, underscoring the growing momentum behind the country’s cooperative revival agenda.
The meeting was officially opened by Hon. Frederick Ngobi Gume, Minister of state for Cooperatives, who joined virtually. In his remarks, he welcomed participants and encouraged them to embrace such engagements as opportunities for meaningful development, stressing that progress within the cooperative movement requires unity of purpose. “My body is here but the spirit is there with you,” he said. “We must move together for development.”
The Minister noted that despite significant growth in Uganda’s cooperative sector, access to suitable and affordable financing remains one of its greatest challenges. He pointed out that many cooperators are unable to secure credit and are often compelled to liquidate assets in order to access funds. He confirmed that the long-awaited Cooperative Bank initiative has taken shape, explaining that the National Savings and Credit Cooperative Society has already secured the necessary requirements to begin operating as a cooperative bank.
He further urged cooperatives to fully embrace value addition and take advantage of emerging markets rather than selling raw produce, particularly coffee. He said government is committed to ensuring that Ugandans do not continue exporting unprocessed commodities, and encouraged farmers to aggregate produce, add value, and export competitively. The Minister highlighted expanded market opportunities across the East African Community, the African continent, and beyond, revealing that international buyers—including those in countries such as Thailand—have expressed growing interest in purchasing Ugandan coffee.
According to the Minister, strengthening cooperative production chains and eliminating middlemen will enable farmers to secure better prices and access credit more sustainably. He pledged government support towards building warehouses and other infrastructure required to bolster storage, aggregation, and value addition in the region. He encouraged cooperatives to buy shares in the emerging cooperative bank and become active members, stating that once it becomes fully operational, it will establish regional branches, including in Mbale. He also acknowledged government’s facilitation to UCA, commending the organization for taking the lead in mobilizing and educating cooperatives about the new institution.
The mobilization effort in the Elgon Region seeks to build awareness, enhance confidence in the cooperative-owned financial system, and encourage cooperatives to participate in the establishment of a bank that is designed to serve their needs. It also intends to strengthen understanding of the legal and regulatory processes guiding the transformation of the new institution from a Tier IV SACCO into a fully-fledged bank, while fostering partnerships with the private sector and financial actors to support inclusive enterprise growth.
The National Savings and Credit Cooperative Society is positioned as a vehicle to deepen financial intermediation within the cooperative movement, retain economic value in member-owned institutions, and stimulate job creation, industrialization, and rural economic transformation. Its ambitions align with national and continental development frameworks such as Uganda’s Vision 2040 and the upcoming National Development Plan IV, as well as regional and international agendas aimed at inclusive growth and poverty reduction.
The Minister concluded by thanking cooperators for their participation and expressing optimism about the future of Uganda’s cooperative movement. He called for collective commitment towards building the cooperative financial institution and accelerating economic progress through cooperative-led enterprise. With those remarks, he officially declared the meeting open.
