Publication - Improving Sustainability in Uganda’s Solar Market by linking to the Credit Reference System
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Energising Development (EnDev) and the GIZ Sector Project ‘Financial Systems Development’ (SV-FSE) have come together to shed light on both the opportunities and risks that could arise for customers, energy firms and others from linking energy companies to a formal Credit Reference System (CRS). The analysis shows that an improved level of credit information sharing represents a so far largely untapped opportunity with the potential to increase portfolio quality of PAYG companies, improve the financial inclusion of customers and foster sustainable growth in the OGS sector. At the same time, linking OGS companies to a CRS is a rather new topic that entails several risks, which need to be managed well.
In addition to exploring the opportunities and risks, the paper zooms into the specific situation in Uganda, which has one of the most promising OGS sectors in Africa. Publishing this paper is a starting point for EnDev Uganda in setting up concrete actions for linking Off-Grid Solar companies to the credit reference system.
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