Islamic Banking Islamic Banking is a form of financing that draws its mode of operation from the sharia law. The Koran strictly forbids taking interest “ribba” from money lent to someone. It likens taking ‘ribba’ to taking a bribe. Therefore, in Islamic banking, “ribba” is forbidden, but instead banks will share a part of the profits made from monies lent out to businesses. This seems very reasonable to the ordinary person as it allows for a culture of full focus on the business activities to generate profits. Islamic banking has quickly gained popularity around the world and many countries, now…
Tackling Uganda’s health care challenges: Is health insurance the best option?
Mary Kyomuhendo, a senior consultant at one of the top Multi-National Companies having its subsidiary branches in Kampala has been battling serious illness following a deadly car she survived narrowly. At one point, she almost lost her job. She had spent about six months in the medical operational theatre due to skull injuries sustained at the time of the accident. Mary was now spending almost Ugx 2m for her monthly on medical treatment. At one time, Mary used her car as collateral security to get Ugx 10m loan from John, a local prosperous business man operating a whole sale shop…
Financial Inclusion: Is Uganda on track?
Financial inclusion is the new buzzword in international development. From promoting Bonabasome, bonobagagawale programs to fighting income inequality are we heading for more political processes that are more inclusive and representative in Uganda. A story is told about the Economists in the Ministry of Finance who devised a strategy to support four children per family attain basic education, or “banabasome” in the popular local dialect. That was way back in 2001. The scheme was launched. However, during consultations, some politicians were informed of how parents with more than four children in the family with unhappy with the government policy of…
The rise and rise of fast foods in Uganda
A crispy-chicken sandwich and soft drink for Ugx 50,000? That sounds abnormal? Not to everyone! Uganda has seen the rise in fast foods eateries in the recent past. And they are all full to capacity. There is a surge in fast food providers not just anyone but internationally recognized brands. In the last two years, five foreign firms including KFC have opened shop in Uganda and growing fast. Never mind that these serve the middle class and high-end. KFC so far has five outlets. Another in Bukoto is set to open soon before 20th December 2015. The rise these companies…
Transfer Pricing: The ticking time bomb for MNCs
Uganda, like many other countries in the region and further afield introduced transfer-pricing regulations in 2011. The regulations became effective on July 1st 2011 and are based on the Organization for Economic Co-operation and Development (OECD) transfer pricing rules. The Commissioner General of the Uganda Revenue Authority (URA) issued a Practice Note guiding companies on how to deal with related party transactions. The authority for citation is S.90 and S.91 of the Income Tax Act, Cap. 340 read together with the Transfer Pricing Regulations 2011 and the Transfer Pricing Practice Note 2012. Why TP? Transfer pricing refers to the way…
The death of Jobs
There are jobs where people will no longer be required. Today, you can access money from their bank, anywhere any time. The secret of a great medical doctor is quality diagnosis. Today, it is possible to access respected doctors and lecturers from a pool of global experts. Technology is a big disrupter and is changing a lot of things. But technology is not stopping there. In Japan, scientists have crafted so well-groomed robots and dolls to work as sex tools. The robot is made such that is offers soft touch and near human feelings to replace a human being. And…
