UMRA to monitor and rate SACCOs to combat loan sharks
The Uganda Microfinance Regulatory Authority (UMRA) has announced that it will begin monitoring Savings and Credit Cooperatives (SACCOs) to rate both borrowers and lenders, aiming to combat loan sharks and ensure that lenders have robust credit risk systems. Edith Tusubira, the Executive Director of UMRA, said during a stakeholder engagement in Kampala that credit rating will also help improve and formalize the operations of money lenders, many of whom are operating as briefcase businesses. Also present at the dialogue was the Central Bank Director for Non-Financial Institutions. Joan Salmon reports.
