Section 11 of the Tier 4 Microfinance Institutions and Money lenders Act 2016, provides for establishment of the board which is responsible for general direction and supervision of the Authority.
Uganda Microfinance Regulatory Authority (UMRA) was established by section 6 of the Tier 4 Microfinance Institutions and Money Lenders Act, 2016 to license, regulate and supervise Tier 4 Microfinance Institutions and Money Lenders in Uganda.
Uganda Microfinance Regulatory Authority (UMRA) has stopped issuance of licenses for calendar year 2020 after licensing a total of 894 institutions around the country.
Ms. Edith Namugga Tusuubira is the new substantive Executive Director of the Uganda Microfinance Regulatory Authority. Ms. Edith Tusuubira replaces Mr. Elly Avu Biliku, who has been acting as the Executive Director.
Edith possesses over 20 years of experience in the field of financial/ investment/risk analysis and project management, 15 years of which are senior management responsibilities. This experience enriches Edith’s successful track record of leadership on teams.
In May 2016, Parliament passed the Tier 4 Microfinance Institutions and Money lenders Act to Regulate the Tier 4 Microfinance Institutions and Money Lenders with the objective of protecting the borrowers against bad lending and unethical practices of the lenders, to build confidence in microfinance business and promote financial inclusion.
A money lending business should be a company registered with Uganda Registration Services Bureau (URSB) and licenced by Uganda Microfinance Regulatory Authority (UMRA) in accordance with the Tier 4 Microfinance Institutions and Moneylenders Act, 2016.
The Uganda Registration Services Bureau (URSB) and Uganda Microfinance Regulatory Authority (UMRA) has signed a memorandum of understanding to further ease access to finance for small businesses.
The Tier 4 Microfinance Institutions and Money Lenders Act 2016 was rightly enacted to provide in part for the management and Control of Money Lending Businesses. The Act repealed the Money Lenders Act Cap 273, which required moneylenders to apply for a Money Lending License from the Chief Magistrate’s court.