Museveni proposes law to curb exploitative money lending practices
KAMPALA, UGANDA | INDEPENDENT | President Yoweri Kaguta Museveni has revealed that the Ugandan government is moving forward with legislation to stop predatory money lending practices.
Speaking at the 8th annual conference of the Southern and Eastern Africa Chief Justice Forum, Museveni condemned the high interest rates charged by money lenders, calling them exploitative if not properly regulated and a threat to Uganda's economic stability. He said that.
Mr Museveni questioned the legitimacy of such deals, citing the example of a house in Kampala's upscale Munyonyo district that was valued at just Sh1 million. He pointed out that money lenders often exploit the general public despite the inflation rate being only 2%, and stressed that the government would enact laws to control this practice.
Museveni particularly criticized hidden contracts, where loan agreements are disguised as sales contracts. He argued that the current law, which allows money lending based on contract law, is inadequate.
To address this issue, President Museveni announced plans to enact certain regulations governing money lending practices with the aim of protecting Ugandans from predatory lending.
Beyond economic exploitation, Museveni linked Uganda's growth to the effectiveness of the justice system. He pointed out that a prosperous economy allows the state to better support the judiciary and improve access to justice.
Prosperity, he argued, leads to better livelihoods, housing, health care, nutrition and security.
President Museveni also expressed concern about security insecurity in African countries, which he attributed to political instability and economic malaise that hinder state support for military forces.
Challenges facing the judiciary
Chief Justice Alphonse Owiny-D'Oro acknowledged the challenges facing the judiciary, including delayed hearings, inadequate infrastructure, gender bias, judicial interference and backlog of cases.
He stressed that access to justice is a core value of the rule of law and a cornerstone of democracy and good governance.
Owiny-D'Oro remains hopeful that the conference will highlight initiatives such as hiring interpreters and improving facilities for people with disabilities, and provide strategies to improve access to justice.
Judicial independence and cooperation
Bheki Maphalala, Chief Justice of Eswatini and Chairman of the Southern and East African Chief Justice Forum (SEACJF), stressed the need for judicial independence, the rule of law and cooperation among member states.
He reiterated that the Forum is committed to safeguarding the independence of the judiciary and promoting the rule of law and the dignity of judges.
*****
pot
Get Out:…of the United Nations. ”//
Mr. Bheki also lamented that the continued exploitation of Africa's resources by foreign companies is exacerbating poverty on the continent.
The conference will be attended by 20 chief justices from 14 SEACJF member countries and will be held under the theme “Strengthening Access to Justice: Highlighting Reforms in Africa's Judiciary Systems.”
