National Payment Systems Act

1. (1) This Act applies to-
2. (a) an operator of a payment system;
3. (b) a payment service provider; and
4. (c) an issuer of a payment instrument.
5. (2) This Act shall not apply to securities deposited or held in the Securities Central Depository established under the Securities Central Depositories Act and traded at the Uganda Securities Exchange.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) to prescribe the framework to govern the oversight and protection of payment systems;
2. (c) to provide for financial collateral arrangements;
3. (d) to regulate operators of payment systems;
4. (e) to regulate payment service providers;
5. (f) to regulate the issuance of electronic money; and
6. (g) to provide for the oversight of payment instruments.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. "book entry" means a transaction which is effected by credit and debit entries;
2. "book entry securities collateral" means a financial instrument provided under a financial collateral arrangement and for which proof of title is an entry in a register or account maintained by or on behalf of an intermediary;
3. "cash" means money credited to an account in any currency or a similar claim for the repayment of money market deposits;
4. "Bank of Uganda" means the Bank of Uganda established under section 2 of the Bank of Uganda Act;
5. "clearing" means the process of transmitting, reconciling and confirming transfer orders prior to settlement and establishment of final positions for settlement;
6. "clearing system" means a set of rules and procedures that participants must comply with in presenting and exchanging data or documents relating to transfer of funds or securities to other participants at a single location and includes a mechanism for calculating participants' mutual positions, potentially on a net basis, with a view to facilitating the settlement of their obligations in a settlement system;
7. "close-out netting provision" means a provision of a financial collateral arrangement or of an arrangement of which a financial collateral arrangement forms part, by which, on the occurrence of an enforcement event, whether through the operation of netting or set-off or otherwise-
8. "collateral provider" means a person providing financial collateral under a title transfer arrangement or a security interest;

33 further items remain in the statutory text above.

1. (1) The Bank of Uganda shall regulate, supervise and oversee the operations of payment systems in order to ensure their safety and efficiency.
2. (2) Without prejudice to the generality of subsection (1), the Bank of Uganda shall-
3. (a) regulate and supervise payment service providers and operators of payment systems;
4. (b) consider applications for licences in accordance with this Act;
5. (c) monitor and oversee cross border payments;
6. (d) provide settlement services to payment systems and settlement of monetary value of securities;
7. (e) coordinate payment systems activities with relevant stakeholders;
8. (f) issue directives, standards, guidelines, orders and circulars regulating the manner in which the objectives of this Act may be achieved;

10 further items remain in the statutory text above.

1. (i) the Real Time Gross Settlement System;
2. (ii) the Automated Clearing House;
3. (iii) the Central Securities Depository for Government debt securities;
4. (iv) cross border payment systems; and
5. (v) any other payment system established by the Bank of Uganda;
6. (b) payment systems operated by another Government entity or in partnership with a Government entity in public interest;
7. (c) payment systems operated by private entities, including-
8. (i) switches;

3 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A person shall not offer a payment service, operate a payment system or issue a payment instrument without a licence issued by the Bank of Uganda in accordance with this Act.
2. (2) Subsection (1) shall not apply to-
3. (a) a payment instrument issued by the Bank of Uganda;
4. (b) a payment service offered by the Bank of Uganda; or
5. (c) a payment system operated by the Bank of Uganda.
6. (3) Any person who contravenes subsection (1) commits an offence and if that person is-
7. (a) an individual, is liable, on conviction, to a fine not exceeding two thousand currency points or to imprisonment for a term not exceeding four years, or both;
8. (b) a body corporate, is liable, on conviction, to a fine not exceeding seven thousand currency points.

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A person who wishes to offer payment services, establish or operate a payment system, or issue payment instruments, shall apply to the Bank of Uganda for a licence.
2. (2) An application referred to in subsection (1) shall be made in accordance with regulations made by the Bank of Uganda and shall be accompanied by the prescribed fees.
3. (3) Any person who knowingly or recklessly furnishes a document or information which is false or misleading in a material particular, in connection with an application for a licence, commits an offence and is liable, on conviction, to a fine not exceeding two hundred fifty currency points or to imprisonment for a term not exceeding five years, or both.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment system is eligible to be licensed by the Bank of Uganda if that payment system has any of the following objects-
2. (a) clearing of payment instructions between financial and non-bank;
3. (b) settling of obligations arising from the clearing of payment instructions;
4. (c) transfer of funds from one account to another using an electronic device;
5. (d) transfer of electronic money from one electronic device to another;
6. (e) provision of technological services to facilitate switching, routing, clearing or data management for or on behalf of a payment system provider;
7. (f) provision of electronic payment services to the unbanked and under-banked population;
8. (g) provision of financial communications networks;

5 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda shall, upon receiving an application under section 7, consider the application and may, if satisfied that the applicant meets the requirements, grant a licence to the applicant.
2. (2) The Bank of Uganda may grant a licence subject to such conditions as the Bank of Uganda may consider necessary and may add, vary or substitute the conditions as it deems appropriate.
3. (3) The Bank of Uganda may, by regulations, prescribe different classes of a licence in respect of each category of a licence under this Act.
4. (4) A licensee shall not conduct activities that are not specified in the licence.
5. (5) The Bank of Uganda shall grant the licence within sixty days from the date of the application for a licence.
6. (6) The Bank of Uganda shall publish in a newspaper of wide circulation in Uganda, a list of all licensees under this Act, at least once every year.
7. (7) Where the Bank of Uganda declines to grant a licence to an applicant, the Bank of Uganda shall, within thirty days, notify the applicant of its decision and specify the reasons for the refusal in writing.
8. (8) An applicant who is aggrieved by the decision of the Bank of Uganda under subsection (7) may appeal to the High Court within thirty days from the date of the decision.

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda may, upon reasonable ground, modify the conditions of any licence if the Bank of Uganda considers it necessary to achieve the object of this Act, or is in the public interest, taking into account the justified interests of payment service providers, payment system operators and the principles of fair competition and equality of treatment.
2. (2) Before modifying any condition under subsection (1), the Bank of Uganda shall give the payment service provider or operator notice of not less than sixty days, stating the reasons for the intended modification and giving the payment service provider or payment system operator an opportunity to make any representation.
3. (3) The Bank of Uganda shall give a payment service provider or payment system operator reasonable time within which to comply with the modifications of the licence.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An operator of a payment system shall, with the approval of the Bank of Uganda, develop payment system rules to govern the payment system.
2. (2) The payment system rules developed under subsection (1), shall provide for-
3. (a) access criteria;
4. (b) conditions for suspension or exclusion of participants;
5. (c) rights and obligations of participants deriving from participating in a payment system;
6. (d) the moment from which the transfer order becomes irrevocable;
7. (e) common rules and standardised arrangements for the execution and settlement of transfer orders, in normal circumstances and in crisis situations;
8. (f) risk management and business continuity procedures;

8 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Where the Bank of Uganda is satisfied that the affairs of a payment service provider are conducted in a manner detrimental to the operations of the payment system, but is of the opinion that grounds are not grave enough to warrant a revocation or suspension of the licence under section 13, the Bank of Uganda may conduct a special investigation of the payment service provider and issue directives in accordance with section 20.
2. (2) Notwithstanding subsection (1), the Bank of Uganda may-
3. (a) direct that the senior management and directors of the payment service provider be removed;
4. (b) direct a payment service provider to provide services to the customers of a payment service provider to whom subsection (1) applies until such a time as the Bank of Uganda may declare that the payment service provider in issue is capable of providing the essential services on its own; and
5. (c) appoint a person to be known as a statutory manager to manage, control and direct the affairs of the payment service provider on such terms and conditions as may be specified in the instrument of appointment.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda may, by notice in writing, revoke or suspend a licence if it is satisfied that the licensee-
2. (a) has failed to comply with any provision of this Act or regulations made under this Act;
3. (b) has failed to adhere to directive or guidelines issued by the Bank of Uganda;
4. (c) has failed to commence the operations of a payment system within six months after the licence was granted;
5. (d) has ceased to operate the payment system for a period exceeding thirty days;
6. (e) obtained the licence through false or misleading statements or other unlawful means;
7. (f) is operating a payment system which, in the opinion of the Bank of Uganda, endangers the stability of the financial system in Uganda;
8. (g) is conducting business in a manner detrimental to the best interest of the public; or

7 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee whose licence is revoked or suspended under section 13, shall be taken not to be licensed from the date that the Bank of Uganda revoked or suspended the licence.
2. (2) A revocation or suspension of a licence shall not operate so as-
3. (a) avoid or affect any agreement, transaction or arrangement relating to operating a payment system entered into by a licensee where the agreement, transaction or arrangement was entered into before the revocation or suspension; or
4. (b) affect any right, obligation or liability arising under that agreement, transaction or arrangement relating to operating a payment system.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee shall pay an annual fee prescribed by the Bank of Uganda on or before the 31st day of January of every year.
2. (2) Where a licensee fails to pay a prescribed annual fee before or on the date specified in subsection (1)-
3. (a) the licensee shall pay to the Bank of Uganda a civil penalty of one hundred currency points for each day on which the contravention continues; and
4. (b) the unpaid annual licence fee and any civil penalty payable under paragraph (a), shall be a debt due to the Bank of Uganda by the licensee.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda shall establish a regulatory sandbox framework for purposes of governing the manner in which a person may obtain limited access to the payment system ecosystem to test innovative financial products or services without obtaining a licence under this Act.
2. (2) The regulatory sandbox framework shall prescribe the criteria and minimum requirements for operating a sandbox and the manner in which to conduct the sandbox.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A person who wishes to operate a sandbox shall apply to the Bank of Uganda for approval to operate a sandbox within a regulatory sandbox framework established under section 16.
2. (2) The application under subsection (1), shall specify the location, whether physical or virtual, that is adequately accessible to the Bank of Uganda, from which experiments will be developed and performed and where all required records, documents and data will be maintained.
3. (3) Subsection (1) applies to a licensee under this Act who wishes to test a sandbox.
4. (4) The Bank of Uganda may, by regulations, prescribe the procedure for application for approval to operate a sandbox.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) If the Bank of Uganda is satisfied that an application referred to in section 17 meets the criteria and minimum requirements for operating a sandbox as prescribed under section 16 of this Act, the Bank of Uganda may grant an approval to that applicant to operate a sandbox.
2. (2) A person or a licensee who is granted an approval to operate a sandbox shall conduct the sandbox in a manner prescribed in section 16.
3. (3) The Bank of Uganda shall, from time to time, inspect the manner in which the sandbox is to be conducted and if the Bank of Uganda has reasonable grounds to believe that the sandbox is detrimental to the payment system industry or is not conducted in accordance with section 16, the Bank of Uganda may revoke the approval.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda shall oversee the operations of payment systems in order to ensure the safety and efficiency of payment systems.
2. (2) Without prejudice to the generality of subsection (1), the Bank of Uganda shall-
3. (a) regulate entry and conduct of participants to payment systems;
4. (b) give directives to participants as may be necessary to ensure the safety and efficiency of payment systems;
5. (c) issue guidelines with respect to payment orders;
6. (d) issue written warnings to operators, service providers or participants in payment systems;
7. (e) cause payment system operators to change any rules or operational manuals of the payment system; or
8. (f) cease or suspend payment systems or part of an operation of a payment system.

1. (1) The Bank of Uganda may issue directives to licensees in respect of payment systems or payment instruments.
2. (2) In considering whether or not to issue directives under subsection (1), the Bank of Uganda may have regard to the following-
3. (a) belief that owing to the prevailing circumstances any person is engaging in, or is about to engage in, any act, omission or course of conduct that compromises or is likely to compromise the safety and efficiency of a payment system or payment instrument;
4. (b) the public interest; or
5. (c) any other matter that the Bank of Uganda may consider appropriate.
6. (3) The directive referred to in subsection (1), may require a person to-
7. (a) cease or refrain from engaging in the act, omission or course of conduct or perform such other acts as are necessary to remedy the situation;
8. (b) perform such acts as are necessary to comply with the directive or to effect the changes; or

7 further items remain in the statutory text above.

1. The Bank of Uganda may appoint an external auditor to examine a service provider, participant or operator of a payment system in respect of such matters as may be specified by the Bank of Uganda

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An officer of the Bank of Uganda or any other person appointed by the Bank of Uganda may, at any time, inspect the operations of a payment service provider or an operator of a payment system to ensure the safety and efficiency of the payment system and shall furnish that payment service provider or operator of a payment system with a copy of the report on the inspection.
2. (2) A payment systems operator or a payment service provider shall furnish to the officer making an inspection information relating to the affairs of that operator or payment service provider as the officer may require within such reasonable time as the officer may specify.
3. (3) A director of a payment system operator or a payment service provider who fails or refuses to furnish any document or information in his or her custody or power as required under subsection
4. (2) shall cease to be a fit and proper person and shall cease to be a director of that operator or service provider.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A person licensed under this Act, shall furnish to the Bank of Uganda, at such times and in such form as the Bank of Uganda may prescribe, information and data of its operations which the Bank of Uganda may require for the proper discharge of its functions under this Act.
2. (2) A person licensed under this Act who, without reasonable cause, fails or refuses to comply with subsection (1) shall pay to the Bank of Uganda a civil penalty of fifty currency points for each day of default.
3. (3) The Bank of Uganda may impose restrictions on the operations of a person licensed under this Act, who fails or refuses to provide information required under this section.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The Bank of Uganda shall, in operating its payment systems, comply with the same oversight norms and standards as are imposed on other payment service providers or payment system operators under this Act

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment instruction or settlement shall be valid and enforceable by and against a payment system operator or participant, and shall be final and irrevocable from the time the payment instruction or settlement is determined under the rules of that payment system to be final.
2. (2) Notwithstanding any other law to the contrary, an order shall not be made by any court for the rectification or stay of a payment instruction or settlement that is determined by the rules of the payment system to be final and irrevocable.
3. (3) Notwithstanding subsections (1) and (2), a payment system operator or payment service provider shall with the approval of the Bank of Uganda, prescribe the manner of recovering an equivalent amount of transfer arising from a payment instruction or settlement made in the case of fraud, mistake, error or similar vitiating factors.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Every participant in a payment system shall open and maintain settlement accounts in the books of the Bank of Uganda or an authorised settlement agent, including the maintenance of minimum balances, on such terms and conditions as the Bank of Uganda or payment system operator may specify.
2. (2) Where a participant is unable to maintain a settlement account in accordance with subsection (1), the participant shall appoint another participant who has opened a settlement account as a settlement agent to-
3. (a) settle all obligations due from the first participant to any other participant; or
4. (b) receive all claims from the first participant from the other participant.
5. (3) Where a participant appoints another participant under subsection (2)(a), the participant shall, before any obligation is settled on its behalf, give the payment system operator notice in writing of the appointment, accompanied by a written confirmation from the participant that is appointed.
6. (4) An electronic money issuer that holds a trust account with more than one financial institution or microfinance deposit taking institution, shall ensure that all settlement transactions between the accounts of the respective financial institutions are done through the interbank payment and settlement system or any other means that the Bank of Uganda may determine.
7. (5) A settlement effected in accordance with subsections (1) and (2) is final and irrevocable.
8. (6) The final discharge of any indebtedness between participants in a clearing and settlement system shall take place through the Bank of Uganda or a financial institution.

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The balances on settlement accounts with a payment system shall not be attached, assigned or transferred for the purposes of satisfying any debt or claim

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Insolvency proceedings commenced against a licensee or participant shall not have retrospective effect on the rights and obligations of a licensee or participant arising from, or in connection with the participation of that licensee or participant in the payment system before the commencement of the insolvency proceedings.
2. (2) For the purpose of this Act, insolvency proceedings against a licensee or participant shall be deemed to commence when the licensee or participant is informed of the insolvency proceedings.
3. (3) Notwithstanding the commencement of insolvency proceedings, the following transactions are valid, enforceable and binding against third parties, including the Bank of Uganda or insolvency practitioner-
4. (a) cash or securities transfer orders, when entered into a payment system in accordance with the rules of that payment system prior to the commencement of the insolvency proceedings, even if the payment or securities transfer took place after the commencement of the insolvency proceedings; and
5. (b) the netting of cash or securities transfer orders, and of the debts and obligations resulting from a transfer order where the cash or securities transfer orders were entered into a payment system in accordance with the rules of that payment system prior to the commencement of the insolvency proceedings, even if the netting took place after the commencement of the insolvency proceedings.
6. (4) Where a participant is wound up, placed under statutory management, or an insolvency practitioner or similar official is appointed, any provision contained in a written netting agreement and the payment system rules shall be binding upon the Bank of Uganda or insolvency practitioner or statutory manager, as the case may be, in respect of any payment order or settlement obligation -
7. (a) which was determined through netting under subsection (3)(b), before the commencement of the insolvency proceedings; and
8. (b) which is to be discharged on or after the date of the winding up order, statutory management order or the appointment of an insolvency practitioner, as the case may be, or the discharge of which was overdue on the date of the winding-up order, receivership order or appointment of the statutory manager, as the case may be.

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Notwithstanding the commencement of insolvency proceedings against a licensee or participant in a payment system, a payment system operator or a settlement agent may, if authorised under a contract-
2. (a) use the money and financial instruments available on the settlement account of the participant to settle outstanding transfer orders; and
3. (b) make use of any net debit balance the participant may owe after netting, to allow for final settlement of the obligation.
4. (2) Notwithstanding the commencement of insolvency proceedings against a licensee or participant in a payment system, a payment system operator or a settlement agent may, if authorised under a contract, make use of credit lines granted to the participant and realise any collateral provided with the aim of securing those credit lines.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Where insolvency proceedings are commenced against a participant, the participant shall immediately and in any case not more than two hours after service of the petition for insolvency proceedings, notify a payment system operator and the Bank of Uganda, of the commencement of the insolvency proceedings.
2. (2) A participant against whom insolvency proceedings are commenced shall not participate in any payment system, other than for purposes of discharging payment obligations in accordance with the rules of that payment system.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Any securities that are settled in the Bank of Uganda shall be operated in accordance with the delivery versus payment principle.
2. (2) The securities settlement system shall segregate between the assets of the operator of the securities settlement system and the securities held by the participants of that settlement system for themselves, and for the clients of the participant.
3. (3) The balance of a settlement account held with a central securities depository system shall not be attached or seized, except by a payment system operator or a settlement agent.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The central securities depository system shall exclusively hold dematerialised and immobilised securities only in book-entry form.
2. (2) The book-entry securities do not have an order number and are fungible by nature.
3. (3) For purposes of immobilised securities, the central securities depository system may return the securities to its participants, similar bearer or registered securities without taking into consideration their order numbers.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) All investors in a security shall have a right of co-ownership of an interest of an intangible nature with other investors in the same security arising from the credit to a securities account in respect to all issued, dematerialised or immobilised securities.
2. (2) The securities held subject to dematerialisation or immobilisation shall be confirmed by crediting the securities account, which shall be proved by account statements delivered by the central securities depository or a participant.
3. (3) Upon the request of securities holders, the central securities depository and participant may issue certificates in respect of book-entry securities.
4. (4) All book-entry securities shall be transferred by debiting and crediting the securities account.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A participant holding a book-entry security in its account with the central securities depository may only exercise its rights over that security against the central securities depository.
2. (2) A participant shall-
3. (a) directly assert the corporate rights attached to or incorporated in the security against the issuer; or
4. (b) in the event of insolvency proceedings commenced against the issuer, exercise its right of recourse directly against the issuer.
5. (3) A deposit of securities with the central securities depository shall have the same effect as using those securities.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A security holder may only exercise his or her right in respect to book-entry securities against a financial intermediary with whom the securities are held on account.
2. (2) A security holder shall-
3. (a) exercise the right to recovery in accordance with subsection (3);
4. (b) directly exercise the corporate rights attached to or incorporated in the security against the issuer; and
5. (c) in the event of insolvency proceedings commenced against the issuer, exercise their rights of recourse directly against the issuer.
6. (3) Where insolvency proceedings are commenced against a financial intermediary, the action for recovery of the number of book-entry securities which a financial intermediary is liable to return shall be brought collectively against the pool of securities of the same category registered under the name of the financial intermediary with the central securities depository, in the name of the financial intermediary but on behalf of its clients.
7. (4) For purposes of subsection (3), if the portfolio is insufficient to allow complete restitution of all securities held on account on behalf of the clients, the number of book entry securities shall be recovered from the pool of securities of the same category registered in the name of the financial intermediary and on its own behalf.
8. (5) The securities referred to in subsection (3), shall be allocated among the co-owners in proportion to their rights.

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A collateral taker may reuse the collateral under a security collateral arrangement where a collateral taker-
2. (a) informs the collateral provider in writing of the risks and consequences of granting its consent to reuse collateral; and
3. (b) obtains prior written consent to the right of reuse in a security collateral arrangement from the collateral provider.
4. (2) For purposes of subsection (1), "security collateral arrangement" means an arrangement under which a collateral provider provides financial collateral as security in favour of the collateral taker, and where full ownership of the financial collateral remains with the collateral taker.
5. (3) The failure of the collateral taker to comply with this section shall not invalidate the reuse of the financial collateral but a collateral provider who has not consented to the reuse of the financial collateral by the collateral taker shall receive the restitution of the financial collateral in priority over the collateral provider who has consented for the reuse of the financial collateral.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The rights and obligations arising from, or in connection with, the participation of a foreign participant shall be governed exclusively by the laws of Uganda.
2. (2) The rights and obligations arising from, or in connection with, the participation of a Ugandan participant in a foreign system shall be governed exclusively by the law governing that foreign system.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

This section states a single governing proposition and does not enumerate separate elements.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The payment systems operator shall, with the approval of the Bank of Uganda, prescribe the manner in which a participant in a payment system shall reserve adequate liquid assets as collateral for securing or the obtaining funds to facilitate settlement of their payment obligations in that payment system.
2. (2) The collateral referred to in subsection (1) shall be-
3. (a) used for fulfilling an obligation of a collateral provider as a result of failure to settle its obligation; and
4. (b) protected against insolvency proceedings.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A financial collateral arrangement shall be valid and enforceable against third parties including the liquidator and shall take effect in accordance with the terms of the arrangement if the possession of the financial instruments is granted to the collateral taker.
2. (2) For purpose of subsection (1), the possession of the financial instrument shall be granted to the collateral taker if-
3. (a) the financial instruments are-
4. (i) physically delivered to the collateral taker or to a person acting on behalf of the collateral taker;
5. (ii) held, granted, or subject to any measure in such a manner that the collateral taker or person acting on behalf of the collateral taker has possession or control of the financial instruments; or
6. (b) a special book entry account opened for the purposes of holding collateral in the name of the collateral provider, the collateral taker or a third party, acting as depository, is credited.
7. (3) The possession of cash referred to in subsection (1) shall be granted to the collateral taker if-
8. (a) the cash is-

5 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) any assignment, encumbrance, attachment or other disposition, whether arising from a court order or not, in respect of the rights which are subject to the close-out netting provision.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A financial collateral arrangement may contain an obligation to provide financial collateral or additional financial collateral in order to take account of changes in the value of the financial collateral or in the amount of the guaranteed obligations.
2. (2) A financial collateral arrangement may contain a right to withdraw the financial collateral, by substitution with a financial collateral of substantially the same value.
3. (3) An additional or substituted financial collateral referred to in subsection (1) and (2) respectively are valid and enforceable against third parties, including the liquidator, and may not be challenged on any ground despite those additional or substituted financial collateral having been made on the day of the commencement of insolvency proceedings and at the time of commencement of the insolvency proceedings, the collateral taker was legitimately unaware of the commencement of such insolvency proceedings.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) On the occurrence of an enforcement event, and notwithstanding the commencement of insolvency proceedings in respect of a collateral giver, the beneficiary of the security interest shall be entitled to realise the security interest on a financial collateral-
2. (a) in case of financial instruments, by sale and by setting off their value against, or applying their value in discharge or, the guaranteed obligations; and
3. (b) in case of cash, by setting off the amount against or applying it in discharge of the guaranteed obligations.
4. (2) A beneficiary shall be entitled to realise the security interest without prior approval of court, the Bank of Uganda or any other person.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The rights of the collateral taker over the financial collateral shall prevail over the rights of any other creditor of the collateral provider

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The provision of financial collateral may not be declared void or reversed on account of the commencement of insolvency proceedings if the financial collateral was provided at the latest, on the day of the commencement of insolvency proceedings and at a time when the collateral taker was unaware of the commencement of insolvency proceedings

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Any question with respect to any of the matters described under this Act in relation to book entry securities collateral shall be governed by the laws of the country in which the securities account is maintained.
2. (2) The matters referred to in subsection (1) include-
3. (a) the legal effect and proprietary effects of book entry securities collateral;
4. (b) the requirements for perfecting a financial collateral arrangement relating to book entry securities collateral;
5. (c) the provision of book entry securities collateral under such an arrangement;
6. (d) statement as to whether a person's title or interest in such book entry securities collateral is overridden by or subordinated to a competing title or interest, or a good faith acquisition has occurred; and
7. (e) the steps required for the realisation of book entry securities collateral following the occurrence of an enforcement event.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment service provider licensed as an electronic money issuer shall-
2. (a) issue electronic money only after an equivalent amount of cash is deposited in the trust account or a special account opened in accordance with sections 49 and 51 respectively;
3. (b) submit in electronic form to the financial institution holding the trust account, the customer information indicating-
4. (i) the names of the customer whose funds are in the trust account;
5. (ii) balances of the electronic money account;
6. (iii) any other information as the Bank of Uganda may prescribe; and
7. (c) comply with such requirements, as the Bank of Uganda shall prescribe by regulations.
8. (2) A customer may redeem electronic money value or purchase electronic money through an agent of an electronic money issuer.

6 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment service provider, other than an entity solely established to issue electronic money, a financial institution or microfinance deposit taking institution, that intends to issue electronic money shall establish a subsidiary legal entity for that purpose.
2. (2) A subsidiary legal entity or an entity solely established to issue electronic money referred to in subsection (1), shall apply to the Bank of Uganda for a licence to issue electronic money and the Bank of Uganda shall, if satisfied with the application, grant a licence to issue electronic money.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money issuer licensed under section 48(2), shall submit an application to the Bank of Uganda in the prescribed form to open a trust account in a financial institution or a microfinance deposit taking institution to facilitate issuance of electronic money.
2. (2) An application referred to in subsection (1), shall be accompanied with the list of the proposed names of trustees that the electronic money issuer intends to appoint to manage the trust account and the corporate and management structure of the electronic money issuer.
3. (3) Where the Bank of Uganda is satisfied with the list of the proposed names of the trustees, the corporate and management structure referred to in subsection (2), the Bank of Uganda shall issue, in writing, the approval of the trustees and the corporate and management structure.
4. (4) An electronic money issuer approved under subsection (3), shall open a trust account with a financial institution or microfinance deposit taking institution for the purpose of maintaining funds of a customer.
5. (5) For purposes of this section, trustees appointed by a subsidiary legal entity or an entity solely established to issue electronic money and approved by the Bank of Uganda is a body corporate.
6. (6) Interest earned on a trust account or special account referred to in sections 49 and 51 respectively shall be credited to an interest account opened for that purpose in the financial institution or microfinance deposit taking institution in which the trust account or special account is held and shall be distributed for the benefit of the customers as determined by the Bank of Uganda.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) establish safeguard measures to protect the funds deposited on a trust account from risks that may occasion loss to beneficiaries of the funds;
2. (c) monitor the trust accounts to ensure that the funds in the trust account are equal in value to the electronic money issued;
3. (d) ensure that interest earned on the trust account is distributed for the benefit of the customer in accordance with section 49(6); and
4. (e) perform any other duty as the issuer of electronic money may prescribe.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment service provider which is a financial institution or microfinance deposit taking institution and which intends to issue electronic money shall, with the approval of the Bank of Uganda, open and maintain a special account in its books of accounts.
2. (2) A payment service provider referred to in subsection (1) shall submit an application for approval to open and maintain a special account to hold deposits received from a customer who purchases electronic money and to facilitate issuance of electronic money.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The balances of the trust account and the special account shall not be attached, assigned or transferred for the purposes of satisfying any debt or claim

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) ensure that any interest accrued in the trust account or special account is effected directly to benefit the customer or used for other purpose relevant to the payment system ecosystem as may be prescribed by the Bank of Uganda;
2. (c) not commingle the funds deposited on a trust account or special account with any other funds;
3. (d) publish audited financial statements of the electronic money issuer;
4. (e) submit a report on the operations of the trust account or special account to the Bank of Uganda, on a monthly basis or such other intervals as the Bank of Uganda may prescribe;
5. (f) honour withdrawals of cash or transfer of funds from the trust account or special account on demand;
6. (g) monitor the creation of electronic money in order to verify that the electronic money created is backed up by funds deposited in the trust account or special account;
7. (h) reconcile the electronic money value in the trust account or special account with the electronic money issued; and
8. (i) perform any other duty as the Bank of Uganda may prescribe.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) domestic money transfers;
2. (c) bulk transactions; including payments of salaries, benefits and pensions;
3. (d) cash-in and cash-out transactions;
4. (e) merchants or utilities payments;
5. (f) cross border payments or transfers;
6. (g) savings products, in partnership with an institution licensed to offer savings products or services with the approval of the Bank of Uganda;
7. (h) credit products in partnership with an institution licensed to offer credit products or services, with the approval of the Bank of Uganda;
8. (i) insurance products in partnership with a licensed insurer; or

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money issuer which is not a financial institution or microfinance deposit taking institution shall not engage in-
2. (a) receiving and taking deposits within the meaning of the Financial Institutions Act and the Microfinance Deposit-Taking Institutions Act;
3. (b) over the counter transactions unless full identification of the depositor is obtained, recorded and transmitted to the receiver; or
4. (c) any other activity, other than an activity which it is licensed to undertake.
5. (2) An electronic money issuer shall not-
6. (a) count or issue airtime as electronic money; or
7. (b) use airtime for permissible transactions referred to in section 54.
8. (3) An electronic money issuer who contravenes this section commits an offence and is liable, on conviction, to a fine not exceeding one thousand currency points.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The Bank of Uganda shall, by regulations, prescribe different categories of electronic money accounts and the permissible transaction limits on each category of account

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money account that does not have a registered transaction for nine consecutive months shall be considered dormant.
2. (2) An electronic money issuer shall, in relation to an account referred to in subsection (1), give notice to the customer of at least one month before the period specified in subsection (1), that the electronic money account shall be suspended unless there is a transaction on the account.
3. (3) At the expiry of the notice referred to in subsection (2), the electronic money issuer shall block the electronic money account and shall not permit further transactions until the account is reactivated by the customer.
4. (4) The electronic money issuer shall within five working days after blocking of the electronic money account, give notice to the customer that the electronic money account is blocked and provide instructions on the process of reactivation of the account.
5. (5) Where the account is not reactivated within six months after it has been blocked, the electronic money issuer shall close the electronic money account.
6. (6) Upon closure of the electronic money account under subsection (5), the trustees shall transfer the balance of an electronic money account and identifying information to the Bank of Uganda.
7. (7) The Bank of Uganda shall refund any unclaimed balances to the account holder of an electronic money account or, if the account holder is dead, his or her legal representative, upon a request made within seven years after the dormant account is transferred to the Bank of Uganda.
8. (8) The Bank of Uganda shall after the expiration of the period prescribed under subsection (7), transfer the unclaimed balances to the Consolidated Fund.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. An electronic money issuer shall instal a system comprising inbuilt control mechanisms, as may be prescribed by the Bank of Uganda for a complete audit trail

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money issuer who seeks to open an account for a customer shall comply with the minimum customer due diligence requirements.
2. (2) The minimum customer due diligence requirements under subsection (1) shall be prescribed by regulations made under this Act.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money issuer shall keep one hundred per cent of the electronic money held in a trust account or a special account in liquid assets.
2. (2) The liquid assets shall remain unencumbered and shall be in form of-
3. (a) cash balances held on a trust account or special account maintained with a financial institution or a microfinance deposit-taking institution on accreditation basis and withdrawable on demand;
4. (b) treasury bills and bonds; or
5. (c) any other liquid asset as may be determined by the Bank of Uganda.
6. (3) For purposes of subsection (2), the Bank of Uganda may place a lien over the liquid assets.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) An electronic money issuer shall not terminate or transfer their licence to another person or entity without the written approval of the Bank of Uganda.
2. (2) An electronic money issuer shall not terminate the business of issuing electronic money without prior approval of the Bank of Uganda.
3. (3) An electronic money issuer shall not change its name, controlling interest or ownership without the approval of the Bank of Uganda.
4. (4) Any person who contravenes this section commits an offence and is liable, on conviction, to a fine not exceeding one thousand currency points.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee shall submit returns relating to the operations of the payment system or electronic payment service as may be prescribed by the Bank of Uganda.
2. (2) A person may access the information obtained under subsection (1) in accordance with the Access to Information Act.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment service provider shall maintain a record of all payment transactions and information obtained or generated in the operation or administration or management of the payment system for at least ten years.
2. (2) The records kept under subsection (1) shall be in the format in which it was originally generated, sent or received or in a format which can be demonstrated to accurately represent the information originally generated, sent or received.
3. (3) Subject to subsection (1), a person who intends to destroy payment transaction records shall apply to the Bank of Uganda for approval.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. A licensee or the Bank of Uganda shall protect the privacy of a participant and customer information and not disclose information of a participant or customer unless the disclosure is made in compliance with the law an order of a court or with the express consent of the system participant or customer

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A payment service provider shall comply with the requirements of consumer protection as may be prescribed by the Bank of Uganda.
2. (2) The Bank of Uganda shall, in prescribing the requirements of consumer protection under subsection (1), be guided by the following principles-
3. (a) transparency;
4. (b) accountability;
5. (c) data protection;
6. (d) protection against unfair trade practice that disenfranchises the consumer;
7. (e) full disclosure of the information relating to the services offered;
8. (f) confidentiality; and

3 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda may, by regulations, prescribe minimum capital requirements for a licensee under this Act.
2. (2) The minimum capital requirements referred to under subsection (1) shall be maintained unimpaired by losses or other adjustments.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. A payment system operator shall ensure that services are available to the users of that payment system throughout the prescribed operational period

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. An electronic money issuer shall establish and maintain its primary data center in relation to payment system services in Uganda

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. An officer of the Bank of Uganda shall not be held personally liable in respect of any act done in good faith, and without negligence in the performance of the functions in this Act

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee that intends to cease to carry on the business for which it was licensed shall give notice of cessation of business to the Bank of Uganda and shall publish the notice in a newspaper of wide circulation for at least thirty days before the date of cessation.
2. (2) The notice under subsection (1) shall be accompanied by a cessation plan indicating-
3. (a) that the cessation has been approved by the controlling interest;
4. (b) the procedure for paying all the customers;
5. (c) the mitigation plan for any adverse effects of the cessation of business on the payment system ecosystem; and
6. (d) any other matter as the Bank of Uganda may prescribe.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Bank of Uganda shall cooperate with Government agencies whose functions are relevant to payment systems.
2. (2) For the avoidance of doubt, the Bank of Uganda shall cooperate with the Capital Markets Authority on-
3. (a) the integration of payments and securities settlement systems; and
4. (b) the establishment of cross-border securities settlement systems.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Minister shall, by statutory instrument, in consultation with the Bank of Uganda, make regulations for the better carrying into effect of this Act.
2. (2) Without prejudice to the general effect of subsection (1), regulations made under this section may-
3. (a) prescribe the forms, licensing requirements, fees payable or other matters required to be prescribed under this Act;
4. (b) relate to participating in payment systems;
5. (c) regulate agents of payment systems providers;
6. (d) prescribe the specific time of effecting transfer of funds on customers' accounts;
7. (e) regulate trust accounts and special accounts management;
8. (f) prescribe consumer protection requirements; and

7 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The Minister may, by statutory instrument, with the approval of Cabinet, amend the Schedule to this Act

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A person who, before the commencement of this Act, obtained a written approval of the Bank of Uganda to operate a payment system or issue a payment instrument or carry out any activity for which a licence is required under this Act, shall within six months of commencement of this Act apply for a licence in accordance with this Act.
2. (2) A person referred to in subsection (1), who continues to-
3. (a) operate a payment system;
4. (b) issue a payment instrument;
5. (c) issue electronic money; or
6. (d) issue any other payment system services, after the expiry of six months following the date of commencement of this Act commits an offence and is liable, on conviction, to a fine not exceeding one thousand currency points or to imprisonment for a term not exceeding five years, or both.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.