Real Time Gross Settlement (RTGS)

Real Time Gross Settlement is an Inter-bank Large Value Transfer System that facilitates the safe and efficient transfer of large value payments between participants/banks.

Why RTGS?

• It is a  fast and secure mode of transfer of funds (less than 10 minutes);
• It is a  better method of monitoring financial transactions by involved parties;
• It reduces  the risk of frauds and forgeries that exist in other payment systems like cheques;
• It removes the need of bulk movement of cash as physical cash is not involved;
• It  enhances the safety and efficiency of payments.
   

The  following transactions can be carried out through RTGS:

• Payments  by customers to other customers, to other banks, to other corporate bodies in
  different financial institutions;
• Interbank  payments arising out of market activities such as lending and borrowing between
  banks;
• Payments  to settle clearing obligations;
• Deposits and withdrawals of cash with Bank of Uganda.