Policy Advocacy - Tier 4 microfinance institutions & money lenders act

Primary Target Groups: All

Tools of impact: Technical Assistance

Achievements: Establishment of Uganda Microfinance Regulatory Authority (UMRA).


There is a need for the Tier IV lending industry to be better understood and regulated to protect lower-income borrowers from poor market conduct. FSDU provided TA to support the conduct a consultative review of the Tier 4 Microfinance Institutions and Money Lenders act which led to the establishment of Uganda Microfinance Regulatory Authority (UMRA). UMRA governs Tier 4 financial institutions and money lenders with the objective of protecting the savings of depositors, limiting predatory lending and unethical practices, and building confidence in the system to promote financial inclusion. Following its establishment, FSDU provided TA to develop a strategic plan for UMRA.

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