BOU processing 3 applications for Islamic banking

By Ritah Kemigisa.

Bank of Uganda has revealed that various entities have expressed interest in establishing Islamic Banking entities in Uganda.

The central bank’s executive director supervision Dr. Tumubweinee Twinemanzi says they are currently processing three applications.

One is for an Islamic products window by a locally domiciled conventional Bank and two applications are by foreign entities interested in establishing fully fledged Islamic Banks.

Islamic Banking in Uganda has attracted mixed reactions from the public with many saying they are not aware of its motive.

Dr Twinemanzi says Islamic banking is not a preserve of Islamic states or nations as others have alleged.

Islamic Banking is practiced in various jurisdictions around the World and in Africa it is already in countries like South Africa, Nigeria, Mauritius, Botswana, Kenya, Tanzania, Rwanda, Senegal, Algeria, Egypt, Sudan and Tunisia.