The Parliament has approved a substantial budget of 3.9 billion shillings for a comprehensive financial crime sensitization campaign to combat the escalating menace of financial scams and embezzlement in the country. This substantial investment underscores a renewed commitment to addressing the complex issue that has corroded public trust and impeded economic growth.
Financial Crime Landscape
As incidents of fraud and corruption continue to rise, exacerbated by the challenges posed by the COVID-19 pandemic, the government is taking a decisive step to educate the public and empower them to safeguard against financial malfeasance. The nationwide financial literacy campaign, targeting individuals and businesses, is anticipated to be a pivotal game-changer in the ongoing battle against financial crimes.
Allocation Breakdown for Financial Crime Sensitization Campaign
| Purpose | Budget (UGX) |
|---|---|
| Sensitization on financial crimes | 1.1 billion |
| Review of anti-money laundering laws | 2.8 billion |
Ensuring International Compliance
Amos Kankunda, Chairperson of the Committee on Finance, Planning, and Economic Development, emphasized the crucial role of these funds in ensuring Uganda’s compliance with international standards on anti-money laundering. Presenting the budget framework paper for the 2024/25 to 2028/2029 financial year, Kankunda stressed the importance of taking measures to exit the Financial Action Task Force (FATF) Grey List.
Uganda’s Commitment to Global Standards
Despite the prolonged presence on the FATF Grey List, Sydney Asubo, the Executive Director at the Financial Intelligence Authority (FIA), affirmed Uganda’s commitment to the global fight against Money Laundering (ML), Terrorist Financing (TF), and Proliferation Financing (PF). Uganda has formulated a National Strategy (FY 2020/21 – FY 2024/25) to combat these risks effectively.
Uganda’s FATF Status
| Current Status | Threats |
|---|---|
| Grey List | Potential Blacklisting |
Kankunda acknowledged the proactive measures taken by financial institutions in curbing financial crimes and stressed the government’s crucial role in ensuring Uganda’s removal from the FATF Grey List.
