In a major move to meet Uganda’s growing demand for quick and convenient banking, Absa Bank Uganda has introduced two new digital services—instant digital loans and online account opening. These innovations are designed to make banking faster, simpler, and entirely paperless, allowing customers to access financial services without visiting a branch.

The new digi loan service lets eligible customers borrow between UGX 20,000 and UGX 2 million instantly, with no paperwork, no queues, and no need to visit a bank branch. The only requirement is that the customer must have held an Absa account for at least 12 months. The best part? The entire process—from application to approval and money disbursement—takes just seconds.

This launch comes at a crucial time in Uganda’s digital transformation. According to the Uganda Communications Commission, as of September 2024, the country had 45.6 million registered mobile money accounts, with 30.4 million active users. These numbers show just how much Ugandans are embracing digital financial services. With smartphone penetration now at 33%, thanks to more affordable devices and the popularity of mobile-first platforms, especially among young people, digital banking is becoming the preferred choice for many.

Uganda’s population is young, with over 75% under the age of 30, and this tech-savvy generation is driving the shift toward mobile-led financial solutions. They want banking services that match their fast-paced, digital lifestyles—quick, flexible, and accessible anytime, anywhere.

Michael Segwaya, Chief Financial Officer and Executive Director at Absa Bank Uganda, said the new services reflect the bank’s commitment to making banking more efficient and customer-friendly. “We are focused on empowering our customers by making banking truly accessible and on-demand,” he said. “These innovations support Uganda’s digital economy goals by providing practical solutions that remove the need for paperwork, long queues, or branch visits.”

Alongside the instant loan service, Absa has also introduced a fully digital account opening process. Now, anyone can open an Absa account in just a few steps using their smartphone or computer. The process involves verifying identity with a National ID, uploading photos, and selecting preferred banking services—all without stepping into a bank branch.

Moses Rutahigwa, Retail and Business Banking Director at Absa, explained that this new system is part of the bank’s vision for a modern, tech-driven banking experience. “We are redefining how customers join and interact with the bank,” he said. “This digital onboarding process makes everything faster and easier, putting customer convenience first.”

The introduction of these services is also a response to the growing demand for instant loans in Uganda. In 2023 alone, mobile money loans worth over UGX 9.5 trillion were disbursed in the country, according to the Bank of Uganda. This shows just how much Ugandans rely on quick and accessible credit, a market that has been dominated mainly by mobile network operators.

Racheal Rwakatungu, Credit Director at Absa Uganda, emphasized that these digital loans are more than just about convenience—they are about financial empowerment. “We are giving people the tools to access and manage credit quickly, safely, and responsibly,” she said.

With these new services, Absa is positioning itself as a leader in Uganda’s digital banking revolution. By eliminating paperwork, reducing wait times, and making financial services available at the tap of a screen, the bank is ensuring that more Ugandans—especially the youth—can access banking services with ease.

As Uganda continues to embrace digital financial solutions, innovations like Absa’s instant loans and online account opening are setting the standard for what modern banking should look like—fast, simple, and customer-focused. For Ugandans, this means less time in banking halls and more time managing their money on their own terms.

The future of banking in Uganda is digital, and with these new offerings, Absa is making sure its customers are ready for it. Whether it’s getting a quick loan or opening an account in minutes, the power of banking is now truly in the hands of the people.