Bank of Uganda has announced new reforms to boost the country’s financial markets.
According to banks Governor, Prof. Emmanuel Tumusiime-Mutebile the Reforms which target primary dealership markets, are aimed at increasing efficiency and enhancing liquidity in the financial markets.
Part of the reforms include automation of the auction processes to enhance efficiency and price transparency, which has increased the global visibility of Uganda’s financial markets.
Prof Mutebile says the move also strengthens the country’s ability to withstand exogenous shocks to the economy, as offshore investors would be more assured of stability in prices as opposed to the expectation of heightened volatility in the markets.
The Central Bank has also ring fenced seven commercial banks including ABSA Bank, Bank of Baroda, Centenary Bank, and DFCU Bank as primary dealer banks.