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Post Bank and IFDC partner to promote financial resilience in agriculture

16 October 2024, 4:39 pm

By Shadrach Bethel Afayo

Post Bank Uganda has partnered with the International Fertiliser Development Center (IFDC) under the Building Resilience and Inclusive Growth of Highland Farming Systems for Rural Transformation (BRIGHT), which is being supported by the Embassy of the Kingdom of the Netherlands project, to introduce the Wendi Mobile Wallet.

This innovative solution aims to enhance financial inclusion for smallholder farmers in remote areas, specifically in Budwale subcounty, Mbale district.

Small holder farmers of Budwale attending the launch of the Wendi Mobile Wallet yesterday

The Wendi Mobile Wallet seeks to address the financial challenges faced by rural farmers, enabling them to build capacity, sustainability, and resilience. By digitising village saving loans associations (VSLAs), farmers will benefit from a secure mobile wallet, earning 10% interest per annum for individuals and 5% for groups.

According to Brenda Mpoora, Head of Fintech Business at PostBank Uganda, the partnership demonstrates the bank’s commitment to fostering prosperity for Ugandans through tailored financial services and products. “This initiative will enable farmers to gain financial literacy, save, and invest in strategic projects that are profitable to them,” Mpoora noted.

Roger Gilbert Nyakahuma, IFDC BRIGHT project Financial Inclusion Manager, praised PostBank Uganda for joining forces to bridge the financial inclusion gap. “The Wendi mobile wallet is a game-changer in scaling access to financial services in areas without physical banking facilities,” Nyakahuma said.

Some of the farmers in Budwale subcounty after the engagement with Post Bank and IFDC

Agriculture is the backbone of Uganda’s economy, employing approximately 70% of the working population and accounting for 26.42% of the country’s exports. The National Development Plan III identifies agriculture as a key growth opportunity with significant employment and multiplier effects.

The BRIGHT project aims to improve access to financial products and services, addressing challenges identified during the baseline survey conducted in Rwenzori, Kigezi, and Elgon regions. By linking VSLAs to the Wendi mobile wallet, farmers will benefit from increased financial access and economic opportunities.

Through this partnership, Post Bank Uganda and IFDC are poised to transform the lives of rural farmers, promoting financial inclusion and economic growth in Uganda’s agricultural sector. With the Wendi Mobile Wallet, smallholder farmers are set to thrive, unlocking their full potential and contributing to the country’s economic prosperity.