Pursuant to Section 16 of the National Payment Systems Act 2020 and the National Payment Systems (Sandbox) Regulations. 2021. Bank of Uganda (BoU) established a Regulatory Sandbox Framework. The Sandbox allows innovative financial solutions in the payments eco-system to be tested in a live environment, with regulatory oversight and subject to particular safeguards.
Cuüpa Limited and ABSA Bank Uganda Limited received approval from BoU to test their respective innovations under the Sandbox arrangement on July 14. 2022 and July 18 2022 respectively.
Cuüpa Limited will test a payment processing and money transfer service that allows individuals or small businesses to receive mobile payments with ease by leveraging the use of social media platform
ABSA Bank Uganda Limited will test a digital wallet solution that works on all types of phones via sim skin technology, mobile app, and web portal with an aim of scaling up financial inclusion for the unbanked and underbanked group
Bank of Uganda invites more firms to develop and test financial innovations under the Regulatory Sandbox Framework. The detailed framework is available on the Bank of Uganda website.