What UGAFODE Microfinance does

UGAFODE Microfinance Limited is a Ugandan microfinance deposit-taking institution (MDI) regulated by the Bank of Uganda under a Tier III license granted in September 2011, with corporate origins in an NGO founded in 1994 and formal incorporation in September 2010. The institution's core function is to provide financial services to underserved segments of the Ugandan population, including micro, small, and medium enterprises (MSMEs), women entrepreneurs, refugees, smallholder farmers, and clients seeking educational financing.

Its product set covers seven savings products, seven loan products, money transfer, bancassurance, and mobile banking delivered through UGAFODE Mobile on USSD (*230#). Distribution is anchored by 24 branches and 3 dedicated SME Suites, supplemented by agent-banking partnerships with DTB and Centenary Bank that extend cash-in/cash-out reach without proportional branch buildout. Headcount is reported at over 300 staff, and the institution operates as a regulated deposit-taker, accepting public deposits as its core funding base.

UGAFODE's revenue model follows standard microfinance mechanics: net interest income on the loan portfolio (MSME, agricultural, refugee, and education lending), fee and commission income from transfers, mobile, and bancassurance, and ancillary yield on the deposit float. The institution positions itself with a first-mover claim in refugee-segment finance and holds external recognition from the Grameen Foundation (2020) and the Government of Uganda (2023).

Name

UGAFODE Microfinance

Legal name

UGAFODE Microfinance Limited

Website

https://ugafode.co.ug

Company type

Private

Founded year

1994

Operating status

Operating

Headcount range

101–250 employees

Short description

UGAFODE Microfinance Limited is a Ugandan Tier III microfinance deposit-taking institution providing savings, credit, money transfer, bancassurance, and mobile banking to MSMEs, women entrepreneurs, refugees, smallholder farmers, and education borrowers across 24 branches.

Ownership category

akta.pro rank

Product category

Microfinance Banking

NAICS

Commercial Banking (522110), Savings Institutions and Other Depository Credit Intermediation (52218), Depository Credit Intermediation (5221)

SIC

Short-Term Business Credit Institutions (6153), Personal Credit Institutions (6141), Savings Institutions, Not Federally Chartered (6036)

akta.pro primary industry

Microloans & Working Capital Loans (FSAKAGAA)

akta.pro secondary industries

Microfinance, Financial Inclusion & Inclusive Markets (BPAGABAM), Microenterprise Group Lending (Joint Liability) (FSAKAGAH), Agricultural & Rural Microfinance (FSAKAGAG), SME Cash Management & Payments (Merchant, ACH/Wires, Payroll) (FSABABAD), SME Deposits & Business Accounts (Operating, Savings, CDs) (FSABABAC)

Keywords

• Microfinance lending
• Deposit-taking services
• Financial inclusion
• Mobile banking
• Refugee financial services

Headquarters

HQ city

Bombo

HQ country

Uganda

HQ region

Africa

Offices21 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Loan Interest Income: Interest charged on declining loan balances at competitive rates. Arrangement fees of 3% for all loan amounts. Application fees of UGX 50,000 for loans above UGX 30 million.
2. Deposit-Taking and Savings Interest: Accepts customer deposits across multiple savings products. Pays interest on savings accounts including ordinary savings (3.5% p.a.), target savings (8% p.a.), fixed deposits (up to 10%), group savings (7% p.a.), and junior savings (5% p.a.). The spread between loan interest rates and savings rates constitutes core revenue.
3. Account Service Fees: Monthly account service fees including UGX 1,150 for ordinary savings accounts

Pricing tiers

Go-to-market motion2 records

Distribution channels6 records

Marketing channels6 records

Core offering

UGAFODE Microfinance operates as a regulated Tier III Micro-Deposit Taking Institution (MDI) offering a comprehensive suite of savings products, loan products, money transfer services, and digital banking solutions to individuals and small businesses across Uganda. The institution serves customers through 24 branches and 3 SME Suites, focusing on financial inclusion for underserved populations including women entrepreneurs, refugees in settlements, smallholder farmers, and MSMEs. Its product portfolio includes seven savings account types, seven loan categories, mobile and agent banking services, and bancassurance offerings.

Product overview

UGAFODE Microfinance Limited (MDI) operates as a deposit-taking microfinance institution regulated by the Bank of Uganda, offering a comprehensive suite of financial products through its 24-branch network across Uganda. The product portfolio comprises seven distinct savings products (Ordinary Savings, Fixed Deposits, Group Savings, Institutional Savings, Target Savings, Junior Savings, and Smart Save accounts) and seven loan products (Business Loans, Asset Acquisition/Salary Loans, Edu Finance Loans, Housing Loans, Smart Woman Loans, Agriculture Loans, and VSLA Loans). Additionally, the institution provides money transfer services including Mobile Money, International Money Transfer, and Agent Banking through partner networks, along with Bancassurance offerings. Digital banking access is enabled through UGAFODE Mobile, a mobile banking platform supporting account access, transfers, bill payments, and loan management.

Differentiator

Problem solved

Functional benefit

Products and services

• Ordinary Savings Account

Quantifiable outcome

• Loans processed in 2 days after approval
• +3 more outcomes

Named customers9 records

Segments6 records

Ideal customer profiles5 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Two partnerships are on record, tiered core.

• DTB (Diamond Trust Bank)coreChannel Partner/ Reseller/ DistributorAgent banking partnership allowing UGAFODE customers to perform banking transactions at DTB agents across Uganda, extending service reach beyond physical branch locations.
• Centenary BankcoreChannel Partner/ Reseller/ DistributorAgent banking partnership through Centenary agents enabling customers to access UGAFODE banking services countrywide through Centenary's extensive agent network.

Scale indicators8 records

Recent moves8 records

Expansion highlights5 records

Direct peers

• Pride Microfinance Limited: Ugandan MDI regulated by Bank of Uganda offering savings, loans, and digital banking across multiple branches. Directly comparable as a Tier III MDI competitor targeting MSMEs, women, and underserved Ugandan communities.
• BRAC Uganda: Microfinance arm of BRAC operating in Uganda, focused on microloans, group savings, and women empowerment. Comparable in microfinance methodology, group lending, and rural/refugee community engagement.
• Opportunity Bank Uganda: Ugandan microfinance bank serving micro and SME customers with savings, loans, and agent banking. Comparable in customer segment (micro/SME), product breadth, and tier upgrade trajectory from MDI to bank.
• FINCA Uganda: Ugandan microfinance operation of the global FINCA network offering group lending, SME loans, and savings. Closely comparable in microfinance product design, VSLA-style group methodology, and financial inclusion mission.

Broad incumbents

• Centenary Bank Uganda: One of Uganda's largest commercial banks with an extensive agent banking network. Directly comparable as an agent banking partner of UGAFODE, while also competing for similar MSME and rural customers.
• PostBank Uganda: State-affiliated Ugandan commercial bank with a wide branch network and microfinance-style savings and loan products. Comparable in mass-market retail/MSME focus and rural distribution.
• Diamond Trust Bank Uganda: Ugandan commercial bank focused on corporate, SME, and retail banking. Comparable as UGAFODE's other agent banking partner while also competing for SME and personal banking customers.
• Equity Bank Uganda: Subsidiary of Equity Group Holdings, offering full banking plus financial inclusion products across Uganda. Comparable in serving MSMEs and underserved populations but operates as a commercial bank with broader product set.

Regional players

• Kenya Women Microfinance Bank: East African microfinance bank focused on women entrepreneurs and financial inclusion in Kenya. Comparable in women-led microfinance positioning and product design, with transferable lessons for UGAFODE.

Emerging players

• Musoni Microfinance: Digital-first microfinance operating in East Africa with a mobile-led lending model. Comparable in targeting underserved micro/SME customers with digital and mobile banking channels in the region.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks7 records

Key highlights7 records

Customer concentration

• Xx.com/UgafodeMDI
• LinkedInlinkedin.com/company/ugafode-microfinance-limited

Revenue estimate

Valuation estimate

Number of profiles

Profiles11 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about UGAFODE Microfinance