KAMPALA — The Governor Bank of Uganda (BoU), Prof. Emmanuel Tumusiime-Mutebile, has given an award to Standard Chartered Bank for being the best performing commercial bank in trading government securities for the month of August 2019.
The award was received by Standard Chartered Bank on Wednesday, September 18, 2019, during the quarterly Uganda Bankers Association (UBA) meeting held at BoU headquarters.
Prof. Mutebile lauded Standard Chartered Bank for the achievement and urged other commercial banks to follow suit. He said many financial institutions fear to trade in government securities, which he said may not be the case.
In January 2005, the Bank of Uganda initiated the “Award for the Best Performing Primary Dealer in Uganda Government Securities for the Month” to recognize the Primary Dealer that performed best in trading Uganda Government Securities and transmitting information regarding the status of the financial markets to the Central Bank.
A Primary Dealer is any financial intermediary that has signed a Memorandum of Understanding with the Bank of Uganda to execute the following actions on a consistent basis: to participate as counter-party in Uganda Government securities auctions conducted by the Bank of Uganda, to provide the public with prices or yields that they will buy and sell “On-the Run” (the most recently auctioned) Uganda Government securities. i.e. Treasury bills and Treasury bonds on a continuous basis and to provide the public with prices or yields that they will buy Off-the-Run (Other than the most recently auctioned) Uganda Government securities on a continuous basis.
Others are to trade with the public Uganda Government securities at the prices or yields that they have quoted and to make available information on the status of the market to the Bank of Uganda on a timely basis.
The points allocated for the Award to the Best Performing Primary Dealer in Uganda Government Securities for the Month are aggregated to determine the winner of the prestigious award.