Senior officials from the Ministry of Finance and PostBank Uganda Ltd convened in Kampala to discuss pressing issues surrounding the Wendi e-money platform, which has been newly adopted to distribute funds to beneficiaries of the Parish Development Model (PDM) program.
During the meeting chaired by Local Government Minister Raphael Magyezi, stakeholders engaged in discussions regarding the ownership of the Wendi app and concerns about its susceptibility to abuse and hacking. Notably, there have been reported incidents of misappropriation of funds totaling millions of shillings due to glitches in the app.
The State House Anti-Corruption Unit (SHACU) highlighted on social media that the Wendi accounts of five PDM beneficiaries had been hacked, resulting in irregular withdrawals amounting to Shs5 million. One suspect has been remanded in custody for allegedly obtaining the victims’ log-in Personal Identification Numbers (PINs) and using them to access their Wendi accounts.
PostBank Uganda, represented by Executive Director Andrew Kabeera, refuted exaggerated claims about flaws in the Wendi app, asserting that it was developed in-house and is secure. However, there were conflicting reports from other government officials alleging involvement of unnamed Chinese nationals in the app’s development.
The transition to using the Wendi platform for PDM cash disbursements was prompted by a directive from the Treasury, following a July 2023 Cabinet resolution. This decision deviated from the original plan outlined in the PDM founding document, which advocated for direct transfers from the Treasury to eligible Savings and Credit Cooperatives (Saccos).
While Finance Ministry officials defended the functionality and security of the Wendi app, complaints from PDM beneficiaries across the country prompted urgent discussions among stakeholders to address the concerns. Minister Magyezi emphasized that the discussions were preliminary, and further meetings would be convened to seek solutions.
Efforts to integrate the Wendi app with the Parish Development Management Information System (PDMIS) are ongoing. PDMIS, overseen by the Ministry of Information, Communication, and Technology, facilitates real-time tracking of funds sent to PDM beneficiaries. However, the incomplete integration poses challenges for auditors tasked with monitoring the allocation of funds.
PostBank Uganda reiterated its ownership of the Wendi app but expressed discontent with the portrayal of alleged glitches in media reports. Despite attempts to clarify their stance, PostBank declined to provide further comments, citing bias in reporting.
While the government maintains that the transition to the Wendi app was consultative and aimed at streamlining PDM cash disbursements, questions remain about the selection of the e-wallet platform and the involvement of other banks in the process.
