Uganda’s financial sector is witnessing a significant shift towards digital technology, with FINCA Uganda introducing a new initiative aimed at bridging the gap between digital banking and underserved communities. The Digital Field Automation (DFA) model brings banking services directly to customers, eliminating the need to visit branches or agent points. This approach is particularly relevant in rural areas, where long distances, documentation requirements, and limited digital literacy have hindered financial inclusion.

Using tablets equipped with biometric verification, FINCA field staff can open accounts and process loans on the spot, ensuring speedy transactions while maintaining security. Customers can open a savings account with just a national ID and a minimum deposit of Shs10,000, and deposits can be made through various channels, including Cente agents, USSD *203#, or the FINCA App. Loan applications are also streamlined, with approvals and disbursements completed within minutes.

This initiative comes against a backdrop of persistent gaps in formal financial access, with a 2023 Finscope survey revealing that only 68 percent of Ugandan adults are connected to formal institutions such as banks, SACCOs, or MDIs. Experts emphasize the need for hybrid solutions that combine technology with human engagement, and the DFA model is seen as a step in this direction.

By decentralizing service delivery and automating paperwork, the DFA model helps reduce operational costs for the bank, enabling it to reach more clients in areas where setting up branches may not be viable. Customers benefit from fewer queues, reduced travel costs, and faster, transparent service. According to Fred Onzima, Centralised DFA Supervisor at FINCA Uganda, this approach is reshaping how the institution engages with its clients, broadening its client base while improving customer experience.

With Uganda reporting 33.7 million active mobile money accounts and 92 percent of transactions under Shs50,000, initiatives like DFA could play a crucial role in improving financial inclusion. The model reflects a broader trend in the banking sector, where the future of inclusive finance may lie in combining digital and human-led services to deliver both convenience and accessibility. As the industry continues to evolve, such innovative approaches are likely to have a significant impact on Uganda’s financial landscape.