Bank of Uganda Act
- Commenced on 14 May 1993
- [This is the version of this document at 31 December 2000.]
- [Note: The version of the Act as at 31 December 2000 was revised and consolidated by the Law Reform Commission of Uganda. All subsequent amendments have been researched and applied by Laws.Africa for ULII.]
Part I – Interpretation
1. InterpretationIn this Act, unless the context otherwise requires—
Part II – Establishment of the bank and the board of directors
Establishment of the bank
2. Establishment of the bank
3. The seal of the bank
4. Functions of the bank
5. Powers of the bankSubject to this Act, the bank shall have all the powers pertaining to a legal person and may do all things necessary for better carrying out its functions.
6. Head officeThe bank shall have its head office in Kampala and may establish branches and appoint agents and correspondents in and out of Uganda as the board may decide.
The board of directors
7. The board of directors
8. Qualifications of directorsA person may be appointed a director—
9. Disqualifications of directors
10. Duties and powers of the boardThe board shall—
11. Meetings of the boardThe procedure of the meetings of the board shall be as is provided in the Schedule to this Act.
12. Remuneration of membersMembers of the board and any person not being an employee of the bank attending a meeting of the board may be paid a remuneration or allowance as the board may, in consultation with the Minister, determine.
13. Conditions of service of membersThe board may make byelaws to regulate conditions of service of its members; and the byelaws shall be submitted to the Minister for approval, which approval shall be given in a period not exceeding thirty days from the date of submission of the proposed byelaws.
Part III – Capital, reserve and currency
14. Authorised capital
15. General Reserve Fund
16. Distribution of profits and loss
17. Unit of currency
18. External value of the shillingThe board shall, in consultation with the Minister, prescribe the framework for determining the external value of the shilling.
19. Auctioning of foreign currencyThe bank may buy and sell foreign currency—
20. Right to issue notes and coins
21. Design of bank notesThe bank shall determine the design of the bank notes issued by it, but no bank note shall bear in its design a portrait of a living person or any political symbol or word.
22. Denominations and form of bank notes and coins
23. Legal tender
24. Refund of lost or imperfect bank notes and coins
25. Evidence of imitation of bank notesWhere in any proceedings in any court of competent jurisdiction it is to be determined whether a document purporting to be a bank note is an imitation of a bank note, a certificate under the hand of the governor or any officer of the bank authorised by him or her certifying that he or she has examined the document which purports to be a bank note, stating the denomination and the number of a bank note and that the document is an imitation of a bank note and is not a note issued by the bank, shall be received in evidence without further proof as conclusive evidence of the fact that that document is an imitation of a bank note.
26. Exemption from stamp dutyThe bank shall not be liable to the payment of any stamp duty under the Stamps Act in respect of notes issued by it.
Part IV – Officers and staff
27. The governor and deputy governor
28. Appointment of employees
Part V – Banking
29. Credit and other operations
30. Publication of rediscount ratesThe bank shall fix and make public at all times its standard rediscount rate; and the bank may determine different terms, conditions and rates of interest in respect of particular classes of transactions.
31. External reserve
Part VI – Bank relationship with the Government
32. Relationship with the Government
33. Temporary advances
34. Report on advances
35. Development financing
Part VII – Bank relationship with financial institutions
37. Cooperation with financial institutionsThe bank shall in the discharge of its functions under this Act seek the cooperation of and cooperate with financial institutions in order—
38. Minimum cash reserve balances
39. Control of credit and interest rates, etc.
40. Financial institutions to furnish information
41. Financial institutions as agents of the bankThe bank may appoint any financial institution as its agent for the issue, reissue, exchange and withdrawal of notes and coins or for any other purpose on terms and conditions that may be agreed upon by the bank and the institution appointed agent.
Part VIII – Accounts and financial statements
42. Bank’s financial yearThe financial year of the bank shall be the same as the financial year of the Government.
43. AuditThe accounts of the bank shall be audited, at least once every financial year, by the Auditor General or an auditor appointed by him or her to act on his or her behalf.
Part IX – Miscellaneous provisions
45. Declaration of secrecy
46. Exemption from taxThe bank shall be exempted from the payment of income tax and profits or capital gains tax in respect of its functions under this Act.
47. Prohibited namesUnless a written consent from the Minister has been obtained, no financial institution shall register or be registered under any law in force by a name which includes the following words—
48. Minister’s powers of direction
49. Annual report
50. ByelawsThe board may, with the approval of the Minister, make byelaws not inconsistent with this Act regulating—
51. Offences and penalties
52. RegulationsThe Minister may, after consultations with the board, make regulations generally for better carrying into effect the provisions of this Act.
History of this document
14 May 1993