The law was amended in 2004 to create an independent agency, separate from the bank of uganda. Functions, powers and duties of the central bank of nigeria. Financial institutions act to regulate the business of financial institutions. Uganda online uganda banks and other financial institutions. The constitution of the republic of uganda was promulgated on.
Consolidated fund the consolidated fund of uganda established under article 153 of the constitution. The reprint was prepared by the uganda law reform commission. Uganda securities exchange uses mission is to develop and manage the most efficient, transparent securities market that matches international standards. Islamic finance in uganda under the financial institutions. Accounting and auditing practices in uganda suffer from institutional weaknesses in regulation, compliance, and enforcement of standards and rules. There has always been confusion over the number of saccos in uganda, with most. Accounting principles for microfinance institutions. An act to provide for the licensing, regulation and supervision of microfinance business in uganda and to provide for matters connected with or incidental to the. Various authors have established that, the overall goal of mfi as development. This act may be cited as the financial institutions act, 1998 and shall come into force on such date as the minister may appoint by notice published in the gazette. If court is satisfied by information given under oath by a person authorised by the bank of uganda to act for the purpose of this section, either. Ugandas financial sector, and the challenges it faces newz.
The updated version of the act is intended for guidance only and. A sacco annual general meeting in lango, northern uganda. Accountants act 1992 ch 266 bank of uganda statute banking act 1969 bankruptcy act financial institutions insiderlending limits regulations 2005 financial institutions act 2004 financial institutions capital adequacy regulations 2005 financial institutions corporate governance regulations 2005. Ugandas financial system is composed of formal, semiformal and informal institutions. It continues with an introduction to the financial system of uganda with an emphasis on the central bank, the tools of monetary policy, the credit system, the exchange rate regimes and the foreign currency accounts. Training opportunities in data entry and statistical analysis for business and research available at the uganda institute of banking and financial services plot 10 buganda road kampala uganda visit. Financial institutions law pyidaungsu hluttaw law no. These include commercial banks, credit institutions, micro finance deposittaking institutions mdis, and forex bureaux. Act 5 deposittaking institutions act 2003 5 the micro finance deposittaking institutions act, 2003. Overview of the financial sector in uganda uganda s financial system is composed of formal, semiformal and informal institutions. Act 372 banking and financial institutions act 1989. However, this development planning path was interrupted by the.
Arrangement of sections section part i preliminary. Ugandas financial sector, and the challenges it faces. The financial institutions amendment bill, 2015 seeks to amend the financial institutions act 2004, to provide for islamic banking. Relevant laws which require some amendments include. Supervisory methodologies, acts, guidelines and circular in place. It states that the main objective of the regulation is to facilitate the development of a strong and viable financial sector in order to enhance an economic growth in uganda. Corporate mandatory disclosure by financial institutions in. This act may be cited as the financial institutions act, 2008.
Financial institutions act lesotho legal information institute. In order to operate the mfi have to obtain official registration from appropriate government authorities i. Act 618 development financial institutions act 2002 date of royal assent 29jan2002 date of publication in the gazette 7feb2002 an act to make provisions for the regulation and supervision of development financial institutions and for matters connected therewith. Introduction of agency banking will increase financial. Enacted by the parliament of the united republic of tanzania. Consent of authority to arrangement, acquisition or disposition. The mixed economy approach to development was a key feature of uganda s economic development during 19621971. Therefore, when one looks the amendment to the financial institutions act, it is the correct move for uganda s economy. Risk management guidelines for banks and financial institutions,2010.
Until a much stronger private business sector can develop in uganda, characterised by good, modern business management, and a clear separation of business and personal interests on the part of business owners. The banking and financial institutions consolidated supervision regulations, 2014. Financial institutions and international arbitration global. Islamic banking, bancassurance and agent banking, to uganda s banking sector. The book consists of chapters and a glossary of the terms used in it. Printed by uppc, entebbe, by order of the government. Act to provide for, and consolidate the laws relating to, the investment, safe custody and administration of funds and trust property by financial institutions. Whereas, it is expedient to amend and consolidate forthwith the. Financial institutions are increasingly open to arbitration because of the changing and often increasingly strict regulatory environment and the fallout faced by banking and financial institutions after the global financial crisis which brought an unprecedented wave of claims by and against financial institutions, as well as among them. List of licensed credit institutions in uganda wikipedia. Uganda s planning has been characterized by different approaches. Financial institutions act, 2004 central bank of seychelles.
The parliament of uganda on january 6 2016 passed the financial institutions amendment act act 2 of 2016 fia amendment act which amended the provisions of the very robust financial institutions act 2004. Understanding the public finance management act, 2015. Act 372 banking and financial institutions act 1989 date of royal assent 23aug1989 date of publication in the gazette 24aug1989 an act to provide new laws for the licensing and regulation of institutions carrying on banking, finance company, merchant banking, discount house. The tier 4 microfinance institutions and moneylenders act, 2016 is now effective. The registrar of cooperatives and non financial government agencies and departments. The shallowness of the financial system in uganda reflects the structure of our economy much more than the deficiencies of the financial sector itself or of the institutional. Financial institutions act 1998 solomon islands dollar. The passing of these amendments means that at least 11 commercial banks in the country can adopt the islamic banking model. Banks and financial institutions act, 2063 2006 date of authentication and publication. Financial institutions act, 2004, 2004 uganda legal. Microfinance institutions ordinance, 2001 law books pdf. Protection act of 2010, and new regulations that emerged from it. This copy of the financial institutions act, 2004 has been updated for informational purposes to include amendments made under act 24 of 2008, act 11 of 2009 and act 23 of 2011 the central bank accepts no liability for any loss arising of its use.
Bank of tanzania an act to provide for more responsive regulatory role of the bank of tanzania in relation to the formulation and implementation of monetary policy. A care uganda roadmap to guide programming, addressing the needs of women and youth in financially excluded households care uganda vsla mis 2014 consultative group to. Application of act 1 this act applies to a financial institution defined in section 3 of this act. Reasons why accounting for an mfi is different from other businesses, financial institutions, and multipurpose institutions the difference between accrual and cash accounting ways mfis account for interest and donations and what this means to managers session 3. Accountants act 1992 ch 266 bank of uganda statute banking act 1969 bankruptcy act financial institutions insiderlending limits regulations 2005 financial institutions act 2004 financial institutions capital adequacy regulations 2005 financial institutions. Home of parliament watch uganda centre for policy analysis.
Financial institutions act 2004 national reserve bank of. Regulating and strengthening tier 4 microfinance institutions in. Uganda statute 1993 close relative, in relation to any person. This laws main purpose is to enable and supervise islamic banking, bancassurance, agent banking, provision of special access to the credit reference bureau by other accredited credit providers and service providers and to reform the deposit protection fund.
The provisions in section vii of the fia were supplemented by a set of corporate governance regulations which were issued by the bou in 2005. This is in line with the mandate given to the bou under the financial institutions act. The fia amendment act was assented to by the president on january 19 2016 and among the key elements introduced by this act is the concept. These include commercial banks, credit institutions, micro finance deposit taking institutions mdis, and forex bureaux.
The financial institutions act, 2008 ministry of finance. In this act, unless the context otherwise requires. Act 618 development financial institutions act 2002. This principle was made explicit in the financial institutions act, section vii of which was devoted specifically to providing a regulatory framework for good corporate governance in financial institutions.
Association of microfinance institutions of uganda amfiu. An act to revise and consolidate the law relating to financial institutions. Financial institutions act, 1999 central bank of lesotho amendment act, 1993. The uganda deposit protection fund udpf is a ugandan government agency that provides deposit insurance to depositors in ugandan banks and deposittaking microfinance institutions. Authority may obtain information to support consent considerations. The mixed economy approach to development was a key feature of ugandas economic development during 19621971. During this period, two mediumterm plans were developed. Kenya has taken great strides over the past 10 years since they introduced. Bank of uganda securities includes bills and bonds issued by the bank of. Therefore, sacco failures have overall adverse negative effects on the rural economy and on the fight against poverty. It ends with a listing of depository, financial service and other financial service institutions. The formal institutions include banks, microfinance deposittaking institutions, credit institutions, insurance companies, development banks, pension funds and capital markets. A financial institution is a company other than a bank which carries on or proposes to carry on financial business and includes any other company which minister may be by notice in the gazette, declared to be a financial institution.
The feasibility of adopting islamic banking system under the. Amendment of section 68 of the uganda communications act, 20. Constitution of the republic of uganda and public financial management reform strategy 201415 201718. A care uganda roadmap to guide programming, addressing the needs of women and youth in financially excluded households care uganda vsla mis 2014 consultative group to assist the poor cgap web page. Uganda s financial system is composed of formal, semiformal and informal institutions. Uganda s financial sector, and the challenges it faces. An amendment act, the financial institutions amendment act 1999, no. Act 3 public finance management act 2015 the public finance. Act 3 public finance management act 2015 the public. Environmental levyonused clothing, shoesandotherarticles. Section 571of the financial institutions act 1993 act no. In uganda, the financial institutions statute of 1993 fis and the in. Section 5 financial institutions act 2004 page 10 act 17 of 2004 to a in the name of a foreign financial institution authorised by the reserve bank to establish a representative office in tonga.
This act may be cited as the financial institutions act, 2004. An act to provide for the licensing, regulation and supervision of microfinance business in uganda and to provide for matters connected with or incidental to the foregoing. This document describes the policies and guidelines pertaining to the licensing of financial institutions in uganda. An act to amend and consolidate the law relating to the regulation and control of financial institutions and to provide for related. The financial institutions amendment act introduces three new products. Finance act thefinance act,2014 arrangement ofsections 2014 1. Various weaknesses were identified in the laws and regulations governing financial reporting.
Banksand other financial institutions act an act to regulate banking and other financial institutions and for matters connected therewith. Financial institutions act, 2004, 2004 uganda legal information. Act 3 public finance management act 2015 the public finance management act, 2015. In terms of section 182 ofthat act, this reprint is to be judicially noticed with effect from 15. Classified expenditure the expenses and commitments incurred by an authorized agency for the. The act which establishes the uganda microfinance regulatory authority umra also provides for the. This is a list of licensed credit institution in uganda. According to boston university center for law and policy 2014, financial institutions involved in microfinance in kenya include formal institutions banks, nonbank financial institutions, licensed savings and credit cooperatives saccos. Banks and other financial institutions act 1991 as amended an act to regulate banking and other financial institutions and for matters connected therewith 1991 no.
This book examines how they operate in the context of these and other changes. Overview of the financial sector in uganda ugandas financial system is composed of formal, semiformal and informal institutions. An act entitled banks and financial institutions act 2000, being an act to make new provision for the licensing and regulation of banks and licensed financial institutions, and to repeal various acts and to make consequential amendments to various acts, and for related purposes. Financial accounting is charged with the primary responsibility of external reporting. The financial sector in uganda abc capital bank uganda. Corporate mandatory disclosure by financial institutions in uganda. Budget the government plan of revenue and expenditure for a financial year. Financial statements and portfolio report overview. Mfis are referred to as semi or quasi formal financial institutions. The financial institutions amendment act, 2016 is an amendment to the financial institutions act, 2004. The accountancy profession in uganda is young, but growing rapidly. Foreign exchage act, 2004, 2004 uganda legal information. Islamic banking, bancassurance and agent banking, to ugandas banking sector. Section 1 section 2 chapter i title and definition 2.824 568 355 479 1444 725 12 909 294 1365 842 1188 517 1005 84 610 1241 101 215 762 1418 57 26 1251 1146 1003 970 661 463 817 1085 1467 1345 472 1042 1234 1070 1339 576 440 1206