KAMPALA, February 29, 2024.
In a move impacting the financial landscape of Uganda, the Bank of Uganda (B.O.U) has announced the suspension of licenses for M/S Pivot Payments Limited, a Payment Service Provider and Payment Systems Operator. This action, taken under section 13 of the National Payment Systems Act, 2020, comes into effect immediately as of February 29, 2024 according to the B.O.U official statement.
Established in 2019, Pivot Payments Limited is a player in the Fintech sector, with over 50 years of combined experience from both banking and financial technology industries. The company has been instrumental in providing innovative payment solutions tailored to meet the needs of individuals and businesses across several African countries.
Pivot Payments Limited notably offers a range of services including Bulk Payments and Collections from various financial channels such as Mobile Money, Cards, and Bank Accounts. Additionally, its retail solution, the Pivotpay wallet, has garnered significant traction with over 250,000 verified users, enabling safe, secure, and convenient transactions in multiple currencies.
Operating across markets in Uganda, Kenya, Tanzania, Ghana, and Nigeria, Pivot Payments Limited has established itself as a Pan-African Payments Services Provider with a commitment to addressing everyday financial challenges on the continent.
However, the suspension of its licenses by the Bank of Uganda raises questions about the future operations of the company and the implications for its users and stakeholders. The reasons behind this regulatory action remain unknown at this time, leaving observers speculating on potential compliance or operational issues that may have led to this decision.
This development underscores the critical role of regulatory oversight in the rapidly evolving fintech sector in Uganda, where innovative solutions must navigate a complex landscape of regulations and compliance requirements to ensure the integrity and stability of the financial system.
As the news of Pivot Payments Limited’s license suspension circulates across the African Fintech community, industry analysts and stakeholders will be closely monitoring developments to understand the broader implications and potential ripple effects on the sector as a whole.
