Mayiga, BoU Governor clash on saving vs investment debate 

Buganda Katikkiro Charles Peter Mayiga and Deputy Bank of Uganda Governor Augustus Nuwagaba have shared seemingly different views on whether prosperity comes from saving money in the bank or investing it.

Mayiga, in his morning message under his popular “Work and Prosper” series, argued that simply keeping money in a bank account cannot make anyone rich.

“Money in the bank can never make you prosper. My prosperity will depend on how well I invest the money I have,” Mayiga wrote.

He added that he only keeps money in the bank because it is safer than storing it physically at home.

“I only operate bank accounts because I cannot keep money hidden in a pot in my backyard,” he said.

The Katikkiro stressed that money should only stay in the bank temporarily as one waits for the right payment time or for emergencies such as illness and urgent purchases.

“Those who become wealthy always invest their money — as opposed to looking at pleasing fat bank balances,” he added.

However, Deputy Bank of Uganda Governor Augustus Nuwagaba offered a different emphasis in his article titled Understanding saving as a driver of economic transformation, where he described saving as the foundation of both personal and national prosperity.

Nuwagaba argued that many people wrongly think saving is only for the rich, yet it is even more important for low-income earners.

“Without a savings culture, transformation remains a slogan, a distant star and not a reality,” he wrote.

Using examples of a boda boda rider and a market vendor, he explained how setting aside even small amounts daily can build capital, reduce panic during emergencies and help families avoid expensive loans and distress selling of assets.

“No country has achieved economic transformation without strong domestic savings. Countries like South Korea and China did not rely on luck, but rather, they built disciplined saving and investment cultures,” stated the deputy governor.

“In Uganda, we often focus on income first. But income without saving leads to the same cycle: earn, spend, start again. There is no accumulation, no capital formation. Saving is what breaks that cycle. It allows individuals to move from survival to planning, from planning to investment, and from investment to growth.”

While both leaders agree that investment is necessary for wealth creation, their point of departure lies in where they place the starting point.

Mayiga focuses on avoiding idle money and pushing people toward direct investment, warning against the illusion of wealth through large bank balances.

Nuwagaba, on the other hand, sees disciplined saving as the first step before investment, arguing that without saving, there can be no capital formation or economic transformation.

Mayiga says money should move quickly into investment, while Nuwagaba says saving first creates the foundation for that investment.