Centenary Bank Enters Custodial Services Market with Robust Financial Backing

Centenary Bank officially launched its custodial services on May 5, 2026, at Mestil Hotel in Kampala, marking it as the seventh institution to enter this critical space. The move addresses gaps in Uganda’s retirement benefits sector, which oversees more than Shs 30 trillion in assets but lacks sufficient infrastructure.

Bank of Uganda Governor Michael Atingi-Ego highlighted custodial services as essential for protecting ownership, validating transactions, and building market confidence. He viewed the launch as a step toward broader economic growth.

Capital Markets Authority CEO Josephine Okui Ossiya noted that collective investment schemes manage around UGX 6 trillion, or 2.5% of GDP, while Uganda Securities Exchange market capitalisation hit UGX 21.8 trillion, up 59% year-on-year. She warned of risks from over 80% concentration in government securities.

Urging expansion to rural areas, Uganda Retirement Benefits Regulatory Authority’s Linda Daisy Nabakooza emphasised leveraging Centenary’s 3.4 million customers to boost retirement coverage for underserved groups like farmers.

Experts from Insurance Regulatory Authority and Sanlam Allianz stressed custody’s role in trust, transparency, and innovation, now often mandatory for insurers. Centenary’s General Manager Benoni Okwenje pointed to the bank’s branch network for wider access.

Managing Director Fabian Kasi described custody as evolving into a strategic tool, with low entry at Shs 50,000. He compared quick unit trust withdrawals to longer treasury bond returns and noted secondary market options to help customers maximise earnings.

This launch supports Uganda’s goal of a $500 billion economy by 2040 by strengthening savings protection.

Source: Daily Monitor (Uganda)