Agent Banking Company of Uganda, Ltd (ABC) has secured an undisclosed investment from Goodwell Investments, a leading impact investor focused on promoting inclusive growth in emerging markets. This technology-driven financial services firm is dedicated to enhancing lives by facilitating access to quality and affordable financial services for all Ugandans.
The investment is part of Goodwell’s uMunthu II fund, which is valued at EUR 150 million and aims to provide venture capital to impact-driven businesses across Africa. With this funding, Agent Banking Company plans to pursue ambitious growth targets, including expanding its client base, increasing agent coverage, and launching new services. This marks Goodwell’s first foray into the Ugandan market, although the firm is well-acquainted with the financial inclusion sector through its previous initiatives across the continent.
Despite notable progress over the past decade, financial inclusion remains a critical issue throughout Africa. According to the World Bank, 45% of sub-Saharan Africans aged 15 and older were unbanked as of 2021. One effective way to improve access to formal financial services is by establishing a network of bank agents—local shopkeepers and kiosk owners authorized to carry out cash withdrawals, deposits, and other essential transactions.
ABC’s innovative platform provides the necessary technology to support these interconnected agent networks, enabling efficient collaboration between supervised financial institutions and local customers. Established in 2017, ABC was founded through a partnership between the Uganda Bankers’ Association (UBA) and Eclectics International Ltd, in response to the Financial Institutions (Amendment) Act 2016, which introduced Agent Banking to enhance financial inclusion in Uganda.
Commenting on the company’s achievements and future goals, CEO Richard Jabel stated, “Our business was founded to meet the genuine need for expanding reach and improving access to quality and affordable financial services in Uganda. With the introduction of Agent Banking, we have witnessed remarkable growth in the number of service points where consumers can access and utilize formal financial services provided by over 15,000 authorized bank agents. This development has greatly simplified access for previously underserved communities, enabling them to benefit from a range of formal financial services throughout the country.”
Jabel further highlighted the importance of Goodwell’s investment: “This funding will be crucial in the next stage of our growth, as we enhance our service offerings to include a complete suite of basic financial services accessible through mobile phones, agents, and merchants. We are excited to collaborate with Goodwell as we strive to improve livelihoods and eliminate barriers to financial inclusion by transforming the financial services landscape in Uganda.”
