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2022-06-01

Survey on Development of Green Financing in the Financial Sector

The Bank of Uganda issued a circular to commercial banks, credit institutions, and microfinance deposit-taking institutions requesting comprehensive data on green financing development. Respondents must detail institutional experience, product uptake, ESG investment pipelines, existing challenges, and required capacity-building support by 7 December 2021. This data collection aligns national regulatory priorities with United Nations Sustainable Development Goals to direct cross-sector capital toward sustainable development initiatives.

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Bank of Uganda

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BANK OF UGANDA

OFFICE OF THE EXECUTIVE DIRECTOR SUPERVISION

EDS.306.2

2nd December 2021

37-45 KAMPALA ROAD, P.O. BOX 7120, KAMPALA

DIRECT LINE: 256-414-230051 GENERAL LINE: 256-414-258441 Ext 2403 FAX LINE: 256-414-258515 TELEX: 256-414-61059 CABLES: UGABANK Email: info@bou.or.ug Website: www.bou.or.ug

Circular to Chief Executives of Commercial Banks, Credit Institutions and Microfinance Deposit Taking Institutions

Survey on Development of Green Financing in the Financial Sector

Green Financing is gaining in prominence as a priority for both national regulators and the financial services industry, in addition to being central to the achievement of the United Nations Sustainable Development Goals (SDGs). This focus is now about increasing financial flows (from banking, micro-credit, insurance and investment) from the public, private and not-for-profit sectors to fund sustainable development priorities and productive activities. Bank of Uganda is currently compiling data on the extent, emphasis, and nature of green financing within the financial sector. This is to request that you provide information on the following:

  1. Your institution’s experience in Green Financing, green financing products offered, data on the uptake of these products and future prospects for this area of investment.
  2. Is there a sufficient pipeline of green investments to justify a focus or a review by your institution of green financing and environmental, social and governance (ESG) opportunities?
  3. Existing challenges, where applicable, in extending green financing to your customers?
  4. What specific support is needed to build green financing capacity for the supervised financial institutions?
  5. How else is your institution comprehensively addressing sustainable development?

Please forward your responses to these questions and any other information relating to Green Finance to the Office of the Director Commercial Banking by Tuesday 7th December 2021.

Yours faithfully,

[Signature]

Tumubweinee Twinemanzi (Dr.) Executive Director Supervision

Copy: Director Commercial Banking Director NBFI Director Financial Stability

Mission: To Foster Price Stability and a Sound Financial System Vision: To be a Centre of Excellence in Upholding Macroeconomic Stability

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