Application of act 1 this act applies to a financial institution defined in section 3 of this act. The financial sector in uganda abc capital bank uganda. An association of banks that work on behalf of its member financial institutions to provide analysis and advice on public policy regarding banking and. During this period, two mediumterm plans were developed. The updated version of the act is intended for guidance only and. The formal institutions include banks, microfinance deposittaking institutions, credit institutions, insurance companies, development banks, pension funds and capital markets.
Uganda statute 1993 close relative, in relation to any person. Classified expenditure the expenses and commitments incurred by an authorized agency for the. Corporate mandatory disclosure by financial institutions in uganda. An amendment act, the financial institutions amendment act 1999, no. Arrangement of sections section part i preliminary. Uganda s financial sector, and the challenges it faces. 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. Bank of uganda securities includes bills and bonds issued by the bank of. 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. Printed by uppc, entebbe, by order of the government.
Financial institutions law pyidaungsu hluttaw law no. Ugandas planning has been characterized by different approaches. 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. Various weaknesses were identified in the laws and regulations governing financial reporting. 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. 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. 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. Authority may obtain information to support consent considerations. Islamic banking, bancassurance and agent banking, to ugandas banking sector. Introduction of agency banking will increase financial.
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. Financial statements and portfolio report overview. 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. Budget the government plan of revenue and expenditure for a financial year. 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. Overview of the financial sector in uganda uganda s financial system is composed of formal, semiformal and informal institutions. Uganda securities exchange uses mission is to develop and manage the most efficient, transparent securities market that matches international standards. Act 3 public finance management act 2015 the public. Finance act thefinance act,2014 arrangement ofsections 2014 1.
The mixed economy approach to development was a key feature of uganda s economic development during 19621971. 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. Consent of authority to arrangement, acquisition or disposition. The mixed economy approach to development was a key feature of ugandas economic development during 19621971.
Corporate mandatory disclosure by financial institutions in. 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. There has always been confusion over the number of saccos in uganda, with most. 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. List of licensed credit institutions in uganda wikipedia.
Act 618 development financial institutions act 2002. Act 3 public finance management act 2015 the public finance. Islamic finance in uganda under the financial institutions. The tier 4 microfinance institutions and moneylenders act, 2016 is now effective. In order to operate the mfi have to obtain official registration from appropriate government authorities i. Financial institutions act, 2004, 2004 uganda legal. This document describes the policies and guidelines pertaining to the licensing of financial institutions in uganda.
Financial institutions act 1998 solomon islands dollar. The financial institutions amendment act introduces three new products. However, this development planning path was interrupted by the. 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. 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. Act 372 banking and financial institutions act 1989. The financial institutions amendment bill, 2015 seeks to amend the financial institutions act 2004, to provide for islamic banking. 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. Ugandas financial system is composed of formal, semiformal and informal institutions. These include commercial banks, credit institutions, micro finance deposit taking institutions mdis, and forex bureaux.
Financial institutions act, 1999 central bank of lesotho amendment act, 1993. Kenya has taken great strides over the past 10 years since they introduced. The uganda deposit protection fund udpf is a ugandan government agency that provides deposit insurance to depositors in ugandan banks and deposittaking microfinance institutions. Relevant laws which require some amendments include. 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. Uganda s planning has been characterized by different approaches.
Constitution of the republic of uganda and public financial management reform strategy 201415 201718. The passing of these amendments means that at least 11 commercial banks in the country can adopt the islamic banking model. Financial institutions act, 2004 central bank of seychelles. Consolidated fund the consolidated fund of uganda established under article 153 of the constitution. Association of microfinance institutions of uganda amfiu.
Act 3 public finance management act 2015 the public finance management act, 2015. Uganda s financial system is composed of formal, semiformal and informal institutions. 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. Islamic banking, bancassurance and agent banking, to uganda s banking sector. The feasibility of adopting islamic banking system under the. In terms of section 182 ofthat act, this reprint is to be judicially noticed with effect from 15. 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. Financial institutions act to regulate the business of financial institutions. Protection act of 2010, and new regulations that emerged from it. The financial institutions act, 2008 ministry of finance. 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. Financial institutions act lesotho legal information institute. Accounting principles for microfinance institutions.
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. Whereas, it is expedient to amend and consolidate forthwith the. Financial institutions act 2004 national reserve bank of. A sacco annual general meeting in lango, northern uganda. An act to revise and consolidate the law relating to financial institutions. Financial accounting is charged with the primary responsibility of external reporting.
Home of parliament watch uganda centre for policy analysis. The law was amended in 2004 to create an independent agency, separate from the bank of uganda. 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. Ugandas financial sector, and the challenges it faces. This act may be cited as the financial institutions act, 2004. Functions, powers and duties of the central bank of nigeria. Financial institutions and international arbitration global. Mfis are referred to as semi or quasi formal financial institutions.
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. Section 1 section 2 chapter i title and definition 2. Regulating and strengthening tier 4 microfinance institutions in. Understanding the public finance management act, 2015. The act which establishes the uganda microfinance regulatory authority umra also provides for the. Overview of the financial sector in uganda ugandas financial system is composed of formal, semiformal and informal institutions. Act to provide for, and consolidate the laws relating to, the investment, safe custody and administration of funds and trust property by financial institutions. The registrar of cooperatives and non financial government agencies and departments. 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.
The reprint was prepared by the uganda law reform commission. Therefore, when one looks the amendment to the financial institutions act, it is the correct move for uganda s economy. In uganda, the financial institutions statute of 1993 fis and the in. This is in line with the mandate given to the bou under the financial institutions act. Microfinance institutions ordinance, 2001 law books pdf. Foreign exchage act, 2004, 2004 uganda legal information. This is a list of licensed credit institution in uganda. The short title of this act is the financial institutions act.
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. This act may be cited as the financial institutions act, 2008. 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. The constitution of the republic of uganda was promulgated on. Financial institutions act, 2004, 2004 uganda legal information. The accountancy profession in uganda is young, but growing rapidly.
The banking and financial institutions consolidated supervision regulations, 2014. Uganda online uganda banks and other financial institutions. Banksand other financial institutions act an act to regulate banking and other financial institutions and for matters connected therewith. Amendment of section 68 of the uganda communications act, 20. It ends with a listing of depository, financial service and other financial service institutions. Banks and financial institutions act, 2063 2006 date of authentication and publication. Ugandas financial sector, and the challenges it faces newz. Enacted by the parliament of the united republic of tanzania. 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.
In this act, unless the context otherwise requires. 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. Therefore, sacco failures have overall adverse negative effects on the rural economy and on the fight against poverty. This book examines how they operate in the context of these and other changes. The financial institutions amendment act, 2016 is an amendment to the financial institutions act, 2004. Act 5 deposittaking institutions act 2003 5 the micro finance deposittaking institutions act, 2003. An act to amend and consolidate the law relating to the regulation and control of financial institutions and to provide for related. Supervisory methodologies, acts, guidelines and circular in place.