FACTORS HINDERING FINANCIAL INCLUSION IN UGANDA: A CASE STUDY OF KAMULI DISTRICT. CHAPTER ONE: INTRODUCTION Background of the Study Uganda's Vision 2040 highlights access to finance as one of the barriers among others that impact the competitiveness of the economy. Most individuals and businesses access credit from informal sources. One of the reasons for limited access to credit is the low level of domestic savings which affects the ability of institutions to offer long-term financing. Therefore, the Government of Uganda (GoU) intends to increase gross national saving from the current level of 14.5% to around 35% of GDP by 2040, as a means of accelerating structural transformation (National Planning Authority, 2013) . significant progress in improving the well-being of its citizens. Over the past 10 years, the incidence of income poverty has fallen from 38% in 2002/3 to 22% (preliminary estimate) in 2013. On the other hand, GDP has grown, on average, by more than 5% in same period, while the agricultural sector had disappointing results, with annual growth rates lower than 3% on average, in the period 2002/3-2012/13. An overview of Uganda's financial sector landscape After independence in 1962, like many developing countries at the time, Uganda pursued policies of financial repression which allowed the government to intervene in the financial/banking system. Government intervention took the form of the creation of state banks, the control of interest rates, the partial nationalization of foreign banks, and the establishment of a series of managed loan programs (Brownbridge 1996). This era of financial repression has led to the deterioration of the performance of Uganda's financial/banking sector. A ... middle of the document ...... d of the financial system. Overall objective and purpose of the study The overall objective of the study will be to identify and analyze the factors that hinder financial inclusion in Uganda taking Kamuli district as a case study. Specific Objectives The study will be guided by the following specific objectives: • To determine the factors that hinder financial inclusion in Uganda • To ascertain what financial inclusion entails in Uganda • To examine the various approaches taken to ensure financial inclusion in Uganda. Research Questions • What are the factors that hinder financial inclusion in Uganda? • What does financial inclusion involve in Uganda? • What are the various approaches taken to ensure financial inclusion in Uganda? Scope of the study The study will be conducted in Kamuli district. Justification of the study Significance of the study