has trained staff from bank of uganda, capital markets authority, uganda securities exchange, and the micro - finance sector. micro - finance institutions are now universally recognised as important tools in the fight against poverty. they extend micro - credits to the poor and vulnerable, and such small credits have economically and financially transformed the lives of the poor. over the last four years, mr rhode has been at the centre of this microfinance revolution. he has worked closely with the association of micro - finance institutions in uganda ( amfiu ) and other related organisations to build capacity and facilitate the micro - finance sector to offer and deliver professional and cost - effective services. mr. rhode, we would like to thank you not only associating with the poor, but also positively contributing to their economic transformation and well - being. in conclusion, i must state that bank of uganda has immensely benefited from mr. rhode's breadth of experience, depth of knowledge and his singular focus and commitment to the success of the fsd programme. he has propelled the national payment system, microfinance sector and the entire financial sector to greater heights. indeed, his performance and record of achievements during his tenure have been both impressive and outstanding. as we bid farewell to mr. rhode, bank of uganda wishes to underscore its appreciation to the german government through the gtz / fsd for the support uganda has received since the inception of the fsd programme. i understand that mr. rhode is retiring to the serene and scenic beauty of cape town. for a man whose career has not only been outstanding, but also dedicated to serving the poor, the vulnerable and the underprivileged in such countries as nepal, zambia and uganda, there are probably not many places that would compete with cape town. as you explore the picturesque surroundings of cape town, its imposing mountain ranges and its world class wineries, please always remember that uganda's financial sector will always treasure your contribution. thank you peter, and may god bless you.

by addressing a number of issues including the licensing of financial institutions, the ownership and control of financial institutions, as well as corporate governance, transparency and disclosure requirements for financial institutions. the regulatory framework has tightened the prudential requirements for insider transactions, credit concentration and mandatory corrective actions to be taken by the central bank on distressed banks and other financial institutions. from this year, there will be no forebearance for recalcitrant or renegade financial institutions. credit reference bureau : a lot of consultations have been undertaken to reach agreement on the establishment of a credit reference bureau ( crb ) in uganda. i will not dwell on the obvious importance of the crb to the financial system but only to state that the success of the crb will require the co - operation of all financial institutions. anti - money laundering initiatives : significant progress has also been made in providing a legal framework for dealing effectively with money laundering. a draft anti - money laundering law has already been approved by cabinet and is ready to be tabled in parliament soon. the efforts to enact this anti - money laundering law are geared towards preventing the misuse of the financial system in uganda for purposes of international money - laundering and related economic crimes or for facilitating the financing of terrorism. bank charges : in view of the fact that the level of banks ’ charges is of topical interest in the press, i would like to say something on the subject. there has been public outcry about high bank charges especially with regard to customer ’ s deposits and withdrawals. prohibitive bank charges for deposits and withdrawals can potentially discourage the development of a saving culture especially for the medium and small income earners and small savers. i am aware that the problem of bank charges and more importantly the problem of high interest rates is partly a result of structural problems in the industry, as well as a result of the efforts of the bank of uganda to sterilize the impact of domestic liquidity of the donor financed inflows which help the government to finance the fiscal deficit but as the authorities take action to reign in the deficit, i fully expect banks to reduce bank charges and lending interest rates. but i also know that there are banks whose regime for charges on their facilities are way above those warranted by prevailing circumstances. several months ago, i wrote to these banks. while i am committed to a freely market determined regime of bank charges and interest rates, i must make it clear that the bank of uganda possesses powers, not least