Bank of Uganda governor Emmanuel Tumusiime-Mutebile has instituted an investigation into the collapse of Uganda National Interbank Settlement System also called “Real Time Gross Settlement System (RTGS)”.
The system, according to Daily Monitor, broke down on Wednesday forcing the bank to suspend large payments for most of the day.
In order to process large cash transactions that needed urgent, safe, secure and real-time clearance, BoU managers tried to revert to manual processing but failed.
The disruption mainly affected both incoming and outgoing RTGS flows and clearing files.
Mutebile tasked the IT team and the head of security to investigate what happened.
BoU director for communications, Charity Mugumya, told Monitor “the issue has since been resolved” after “RTGS had some temporal challenges” but “the system is operating normally”.
RTGS are specialist fund transfer systems where transfer of money or securities take place from one bank to another on a “real time” and on “gross” basis.
Settlement in “real time” means payment transaction is not subjected to any waiting period.
The transactions are settled as soon as they are processed.
The bank never runs short of scandals; from the closure of defunct commercial banks to the alleged printing of unauthorised currency.