Investment Code Act, 2019
Act 6 of 2019
- Published in Uganda Gazette no. 14 on 29 March 2019
- Assented to on 20 February 2019
- Commenced on 29 March 2019
- [This is the version of this document from 29 March 2019.]
Part I – Interpretation
1. InterpretationIn this Code, unless the context otherwise requires—"Authority" means the Uganda Investment Authority;"Board" means the Board of the Authority established under section 4;"business enterprise" includes a manufacturing enterprise, a tourist enterprise, a commercial or agricultural venture and a service enterprise;"currency point" has the value assigned to it in Schedule 1;"Director General" means the Director General appointed under section 6;"facilitation" means rendering support services and approval necessary for the establishment of a business enterprise;"foreign capital" means convertible currency, plant, machinery, equipment, spare parts, intellectual property and other business assets, other than goodwill, that enter Uganda with no initial disbursement of Uganda’s foreign capital intended for the production of goods and services related to a business enterprise to which this Act is applicable;"foreign investor" means—(a)a natural person, who is not a citizen of an East African Community Partner State;(b)a company incorporated under the laws of any country other than that of an East African Community Partner State;(c)a company incorporated under the laws of Uganda in which the majority of the shares are held by a person who is not a citizen of an East African Community Partner State; or(d)a partnership in which the controlling interest is owned by a person who is not a citizen of an East African Community Partner State,and holding an investment licence issued in accordance with this Act;"investment" means the creation or acquisition of business assets and services with a view to generate future higher value and includes the expansion, restructuring or rehabilitation of an existing business enterprise;"investor" includes a foreign investor and a domestic investor;"domestic" means a citizen of the East African Community Partner State;"domestic investor" means—(a)a natural person, who is a citizen of an East African Community Partner State;(b)a company incorporated under the laws of an East African Community Partner State in which the majority of the shares are held by a person who is a citizen of an East African Community Partner State; or(c)a partnership in which the controlling interest is owned by a person who is a citizen of an East African Community Partner State,and holding an investment licence issued in accordance with this Act;"manufacture" means the transforming on a commercial scale of input materials into finished or semi-finished products, and includes the assembling of inputs into finished or semi-finished products;"member" means a member of the Board;"Minister" means the Minister responsible for finance;"one stop centre" means a physical place or electronic platform for purposes of coordination, promotion, facilitation, monitoring and evaluation of investments;"portfolio investment" means acquisition of an equity participation in a business enterprise traded on a recognised stock exchange;"public sector agency" includes a ministry or government department, local authority or statutory body;"registered business enterprise" means a business enterprise in respect of which an investment certificate has been issued under section 16;"scarce resources" means non-renewable resources or resources renewable over a long time and whose utilisation is restricted or controlled; and includes investments in mining, petroleum exploration and production, fishing, forestry and tourism such as wildlife and concessions in national parks;"secondary permit" means any other approval required for carrying out business in Uganda except an investment licence.
Part II – Uganda Investment Authority
2. Continuation of Uganda Investment Authority
3. Objects of the Authority
4. The Board
5. Removal of a member of the board
6. Committees of the Board
8. Removal or suspension of Director General from office
9. Remuneration of Director General and staff of the AuthorityThe Director General, the officers and the other staff of the Authority shall be paid such remuneration or allowances as the Board may, with the approval of the Minister, determine.
10. Functions and powers of the Authority
11. Cooperation with other agencies
12. Qualification for incentivesAn investor who, in addition to the qualifications for incentives set out in any other law, meets the following qualifications for incentives and commences operations after the commencement of this Act, qualifies for incentives—
13. Certificate of incentives
14. Meetings of the Board
Part III – Procedure for investment
15. Minimum investment capital requirements for investment registration
16. Investment registration
17. Investment registration requirementsAn application for investment registration shall be accompanied by the following—
18. Obligations of a registered investorA registered investor shall—
19. Foreign investment
20. Investment in scarce resources
21. Application for investment certificate
22. Issue of investment certificate
23. Revocation of investment certificate
Part IV – Protection of investments
24. Protection in case of compulsory acquisition
25. Settlement of disputes
Part V – Finances
26. Funds and expenses of the AuthorityThe funds of the Authority shall consist of—
27. Annual budget of the Authority
28. Investment of surplus fundsThe Authority may, with the approval of the Minister, invest as it considers fit, any monies of the Authority not immediately required for use.
29. Financial year of the AuthorityThe financial year of the Authority shall be the same as the financial year of the Government.
30. Accounts and audit of the Authority
31. Power to operate bank accounts
32. BorrowingSubject to Article 159 of the Constitution and the Public Finance Management Act, 2015, the Board may with the approval of Parliament borrow money as may be required for meeting its obligations or for the discharge of the functions of the Authority under this Act.
33. Duty to operate on sound financial principlesThe Authority shall, in the performance of its functions under this Act, have due regard to sound financial principles and shall conduct its business in such a manner that, taking one transaction with another, and taking one year with another—
34. Compliance with Public Finance Management Act, 2015The Authority shall at all times comply with the Public Finance Management Act, 2015.
Part VI – Miscellaneous
35. Disclosure of information
36. Annual report
37. Service of documentsA document may be served on the Authority by delivering it to the offices of the Authority or by sending it by registered post to the Director General.
39. Offences and penalties
40. Power of Minister to amend Schedule 2The Minister may, by statutory instrument and with the approval of Cabinet, amend Schedule 2.
41. Repeals, savings and transitional provisions
History of this document
29 March 2019 this version
Published in Uganda Gazette number 14
20 February 2019