Section 110: Amendment of the Micro Finance Deposit

Taking Institutions Act, 2003 The Micro Finance Deposit Taking Institutions Act, 2003 is amended (a) in section 2, by inserting immediately after the definition of 'person' the following- "registered society" means a cooperative society registered under the Cooperative Societies Act;" (b) in section 4 (1), by inserting the words "or registered society" immediately after the word "company".; (c) in section 7, by inserting the following new subsections- "(1a) A registered society which intends to provide financial services among its members shall apply in writing to the Bank of Uganda for a licence if- (a) the voluntary savings of the registered society are in excess of one billion five hundred million shillings; and (b) the institutional capital of the registered society is above five hundred million shillings. (1b) An application under subsection (1a) shall be accompanied by- (a) a copy of a certificate of registration issued under the Cooperative Societies Act; (b) evidence that the registered society meets the minimum equity requirements prescribed under section 47; (c) information on the prospective place of business, indicating the head office and branches; (d) evidence of payment of the prescribed fees; (e) a report on the objectives of the registered society in relation to offering financial services; (f) evidence of the membership and the shareholding of the members; (g) a report on the economic and financial environment of the registered society; (h) the organisational structure and management of the registered society; (i) the business plan of the registered society; and (j) the credit policies and lending procedures of the registered society."