Kampala — United Bank for Africa Uganda (UBA) has been appointed a primary dealer bank by Bank of Uganda with effect from October 1, 2021.
As such, UBA will now lend government money on behalf of the public and in exchange, provide Treasury Bills and Bonds as collateral, in the primary market auction.
The bank will be expected to facilitate the buying and selling of Treasury Bills and Bonds to investors, who do not have access to the primary market. This is referred to as the secondary market.
Commenting on the appointment, the UBA Uganda Managing Director Chioma A. Mang said this is an exciting development for UBA Uganda.
"We will be able to offer clients competitive rates for Government Securities and also contribute to the development of the Money Markets in Uganda," She said.
"This appointment also demonstrates the confidence the Central Bank has in UBA. I encourage the public to take up this opportunity being offered through UBA, to invest in treasury bills and bonds and grow their money."
UBA is the 8th bank to be appointed as a Primary Dealer bank in Uganda. Other primary dealer banks are; Absa, Baroda, Centenary, DFCU, Housing Finance Bank, Stanbic Bank and Standard Chartered Bank.