Uganda More Than Triples Deposits Insurance to Boost Confidence

(Bloomberg) -- Uganda more than tripled the amount which bank depositors will be compensated when a financial institution collapses to 10 million shillings ($2,722).

To boost confidence in banks, the Deposit Protection Fund increased the insured amount from 3 million shillings, a limit set 22 years ago, according to an emailed statement. About 98% of cash will be fully insured with the new threshold.

The East African nation with a population of around 40 million people has 11 million accounts and deposits of about 20 trillion shillings, according to the Uganda Bankers Association.

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