Kampala, Uganda | THE BLACK EXAMINER | The Democratic Party (DP) has strongly criticized the government for its failure to regulate money lenders in Uganda, leading to financial hardships for the citizens.
Recently, President Yoweri Museveni expressed concern about the practices of money lenders and called for the enactment of laws to regulate them, aiming to protect borrowers from dishonest practices and financial losses.
Ismail Kiirya, the DP’s Acting Party Spokesperson, addressed the media at the party’s headquarters in City House, Kampala, on Tuesday. He highlighted several issues within the money lending industry, including exorbitant interest rates charged to clients and unclear agreements that have resulted in many individuals losing their property to these lenders. Kiirya also pointed out that many lending companies are allegedly owned by high-ranking government officials.
Kiirya emphasized the need for money lenders to obtain licenses, specifying their locations and operations. He called for the establishment of an enforcing agency to oversee their activities since they currently operate without regulation from the Uganda Micro Finance Regulatory Authority, Bank of Uganda, or the Financial Intelligence Authority.
END
