KAMPALA, UGANDA – Uganda’s microfinance regulatory authority, UMRA, has thrown its weight behind PostBank’s innovative digital savings platform, Wendi.
The partnership aims to streamline operations, enhance financial literacy, security, and convenience for Uganda’s savings and credit cooperatives (SACCOs).
UMRA’s Executive Director, Edith Tusuubira, hailed the collaboration as “transformative” and aligned with Uganda’s National Financial Inclusion Strategy.
“Leveraging Wendi to digitize savings groups across the country is a great initiative, and we thank PostBank for taking this innovative approach,” Ms. Tusuubira said.
She further emphasized UMRA’s support for digital technology. “By embracing digital technology, we will enhance financial literacy, security, and convenience for our people while fostering economic empowerment. Therefore, UMRA commits to continuously support sector players like PostBank who have introduced services like the Wendi mobile wallet, which addresses key challenges faced by informal savings mechanisms.”
PostBank’s Executive Director, Andrew Kabeera, emphasized the bank’s commitment to fostering prosperity through innovative financial products.
“With Wendi, we are delighted to empower individuals and groups, especially those underserved by traditional financial institutions, to access secure savings accounts, earn 10% annual interest on daily savings, and conduct various financial transactions,” Mr. Kabeera explained.
“The Wendi mobile wallet was designed by PostBank to offer seamless financial services to underserved and last-mile customers, hence users can access, manage, and transact funds efficiently. And this is both for Smartphone and feature phone users who can be both PostBank Uganda or non-PostBank customers,” he added.
UMRA regulates and supervises 1,802 microfinance institutions serving 17.5 million customers. This partnership is expected to positively impact Uganda’s financial landscape, promoting economic growth and stability.
A recent FinScope survey revealed significant growth in SACCO usage and mobile money services in Uganda. However, many Ugandans still store money at home, indicating a lack of confidence in financial service providers.
PostBank Uganda has 58 branches and 3,000 agents nationwide.
Analysis suggests this partnership will reduce security risks, improve financial literacy, and increase convenience, driving economic empowerment and prosperity for millions of Ugandans, especially in rural areas.
Wendi, designed by PostBank, empowers users, particularly those with limited access to traditional financial services, to access, manage, save, invest, and pay for various services without requiring a bank account or smartphone.
Users can register for Wendi by downloading the app from Google Play or the App Store, dialing *229#, or visiting a Wendi agent or PostBank branch with a valid National ID. Depositing money into a Wendi account can be done through various channels, including Wendi agents, PostBank branches, mobile vans, and ATM machines.
Withdrawals can be made through Wendi agents, PostBank branches, mobile vans, and ATM machines, or by transferring funds to mobile money.
One of the key features of Wendi is its group savings functionality, which enables groups of individuals to save and manage funds collectively. This feature is particularly useful for informal savings groups, community organizations, and small businesses.
To create a group savings account on Wendi, members simply need to register individually and then create a group with 5-20 members. The group leader assigns roles to members, who can then accept their membership and roles via SMS notifications.
Group leaders can transfer funds directly to members’ wallets, and members can withdraw funds using various channels. This streamlined process eliminates the need for physical meetings and reduces the risk of theft or mismanagement of funds.
Wendi’s group savings feature offers several benefits, including:
Secure and transparent management of group funds
Easy tracking of contributions and transactions
Convenient access to funds for group members
Reduced risk of theft or mismanagement
The platform provides a range of services, including cash deposits and withdrawals, bill payments for utilities like URA, UMEME, NWSC, and TV, school fees payments, group savings and cash disbursements, and PDM Sacco Operations.
Wendi offers low-cost financial transactions, secure and faster transaction processing, simplified group setup and cash disbursements modalities, and additional business opportunities for agents.
The services are available to all Ugandans with valid National IDs, SACCOs, corporate organizations like banks and utilities companies, agents, VSLs, and Kibiinas.
PostBank has partnered with MTN Mobile Money, Airtel Money, Pride Microfinance, and Housing Finance to ensure seamless service.
According to the National Labor Force Survey (2021), only 6% of Uganda’s population had bank accounts, while 17% preferred mobile phone savings. Wendi aims to bridge this gap, providing convenient and secure financial services to millions of Ugandans.