Uganda Bankers worried over passing of AML Bill

Bankers have expressed disappointment for the delayed passing of the Anti-Money Laundering Bill, which has been gathering dust on the Parliament shelves for about five years now.

The Bill, bankers say, is aimed at protecting Uganda’s money markets that are hugely susceptible to money laundering.

Speaking at a meeting in Kampala yesterday, Mr Lamin Manjang, the chairman of the Uganda Bankers Association and the chief executive officer of Standard Chartered Bank, said the law is needed to harmonise operations within the banking sector and protect it against fraud, theft and illegal acquisition of property.

He said: “There are guidelines that govern the banking sector; however the anti-money laundering law will provide a level playing ground and security while dealing with customers.”

The law also seeks to protect small and medium enterprises, one of the fastest growing bankable segments; however, much cannot be implemented without a functioning law.

Speaking at the same event, Mr Herman Kasekende, the head of consumer banking at Standard Chartered Bank, said the banking sector has developed a number of services including one-stop banking points, debit cards, borderless banking and online banking, however, such services need to be protected from fraudsters.

The banking sector has improved its penetration, especially in the SME segment, growing almost twice the rate of GDP in most markets across Asia, Africa and the Middle East.

Source: Daily Monitor