DTB Uganda, Furaha roll out financing lifeline for cash-strapped schools

Diamond Trust Bank Uganda and Furaha Finserve Uganda have expanded their education financing partnership to include direct support for schools, unveiling new financing and digital school fees collection solutions aimed at easing cash flow pressures in Uganda’s private education sector.

The initiative targets one of the biggest challenges facing many privately-owned schools — delayed school fees payments that often leave institutions struggling to meet operational costs, pay staff salaries and reopen on time at the start of school terms.

The expanded partnership was unveiled during a Headteachers’ and School Owners’ Breakfast Meeting held at Hotel Africana, bringing together school proprietors, headteachers, education stakeholders and financial sector players.

The latest arrangement builds on a partnership launched in December 2025, under which the two institutions introduced affordable school fees loans to help parents keep children in school amid rising education costs.

Speaking during the meeting, DTB Uganda Head of Retail Banking Andrew Musanje said the new phase of the partnership is designed to strengthen the financial stability of schools while ensuring uninterrupted learning for students.

“Many schools continue to face financial pressure arising from delayed school fees payments and increasing operational costs. In some cases, schools fail to reopen at the beginning of a term because of financial difficulties, disrupting learners’ education,” Musanje said.

He noted that recent reports of schools facing closure over financial distress highlighted the urgent need for more reliable and efficient fees collection systems.

“This initiative is not just about financing. It is about ensuring continuity in education, improving operational efficiency for schools and providing families with flexible financial support,” he added.

Under the arrangement, schools will access tailored financing products as well as structured school fees collection systems intended to improve cash flow management throughout the academic term.

Parents will also continue benefiting from school fees loans designed to spread the burden of tuition payments over manageable periods.

Furaha Finserve Uganda Chief Executive Officer Denis Musinguzi said the partnership reflects growing demand for practical financing solutions that support both schools and families navigating rising education costs.

“We recognise that education remains one of the most important investments for families, while schools equally require stable financial systems to operate effectively,” Musinguzi said.

“Through this partnership, we are easing financial pressure on parents, improving schools’ cash flow and supporting uninterrupted learning.”

School owners and headteachers who attended the meeting welcomed the initiative, saying access to structured financing and dependable fees collection systems could help schools better plan operational expenses, manage liquidity challenges and maintain stable learning schedules.

Uganda’s private education sector continues to face mounting financial strain following years of economic pressure on households, which has affected school fees collections and increased loan obligations for many institutions.

Financial institutions are increasingly positioning education financing as a growth area, with lenders seeking to bridge gaps affecting both schools and parents amid rising demand for affordable education support services.

Musanje said DTB Uganda would continue developing sector-focused financial products aimed at supporting long-term sustainability within education and other key sectors of the economy.

“DTB Uganda remains committed to developing solutions that enable businesses to grow and thrive. We shall continue strengthening partnerships that create meaningful impact within the education sector and beyond,” he said.