Uganda can achieve cashless society, says Centenary commercial chief

Michael Jjingo, General Manager of Commercial Banking at Centenary Bank, believes that Uganda can transition to a cashless society, where financial transactions are conducted digitally without the need for physical cash.

“A cashless society is possible, and it’s the way to go. We should no longer imagine that we shall pay our transactions without cash,” Jjingo said.

Jjingo notes that while there are challenges to overcome, the benefits of a cashless society far outweigh the costs. He cites the convenience, security, and efficiency of digital transactions, as well as the potential to reduce administrative burdens and costs associated with handling cash.

“Cash management is troubled with challenges, from the logistics of handling physical money to the dangers posed by cash-in-transit heists. Cash in hand is prone to abuse by the entrusted staff compared to a cashless system where they do not engage with money,” Jjingo explained.

He also highlights the importance of financial literacy and education to empower individuals to embrace digital transactions. “Education plays a critical part in the transition to cashless. This requires changing people’s mindsets and alleviating any fears they may have when it comes to digital transactions,” Jjingo said.

Jjingo believes that a cashless society can bring more transparency and fairness to the economic system, and reduce the risks of cash-related crimes. “Cash is essentially untraceable, and it’s used by criminals. Digital currency is less easy to exploit, and can be shut down,” he noted.

While acknowledging the challenges, Jjingo is optimistic about Uganda’s potential to achieve a cashless society, citing the growing adoption of digital payments and the success of cashless models in other countries. “The next evolution of financial systems is cashless. We can learn from other countries and implement solutions that work for our economy,” Jjingo said.