Section 2: Interpretation

In this Act, unless the context otherwise requires "central bank" means the Bank of Uganda established under Article 161 of the Constitution; "credit facility" means a contractual commitment to lend, offer a credit accommodation or extend credit to a borrower; "currency point" has the value assigned to it in Schedule 1 to this Act; "financial institution" means an institution licensed under the Financial Institutions Act to conduct financial institutions business; "Islamic mortgage refinance business" means mortgage refinance business conducted- (a) in accordance with Shari'ah principles; or (b) through an Islamic window; "Islamic window" means the part of a mortgage refinance institution which conducts Islamic mortgage refinance business; "licence" means a licence issued to a company to engage in the mortgage refinance business in accordance with this Act; "licensee" means the holder of a licence issued under this Act; "micro finance deposit-taking institution" means an institution licensed under the Microfinance Deposit Taking Institutions Act to conduct micro finance business; "Minister" means the Minister responsible for finance; "mortgage" includes any mortgage, charge, debenture, loan agreement or other encumbrance, whether legal or equitable which constitutes a charge over an estate or interest in land in Uganda or partly in Uganda and partly elsewhere and which is registered under the Mortgage Act; "mortgage portfolio" means a collection or grouping of mortgages held by a primary mortgage lender each representing a loan made to a borrower to purchase or refinance a property and includes mortgages over land used for residential, commercial, industrial or agricultural purposes; "mortgage refinance business" means - (a) the refinancing of mortgage portfolios from primary mortgage lenders; (b) the pre-financing of primary mortgage lenders for financing of mortgages; (c) issuing bonds, notes and other financial instruments for the purposes of mortgage refinance business; or (d) other activities as may be approved by the central bank from time to time; "mortgage refinance institution" means a company incorporated in Uganda and licensed by the central bank to conduct mortgage refinance business; "pre-financing" means the prior grant of funds by a mortgage refinance institution to a primary mortgage lender for purposes of onward lending; "primary mortgage lender" means an entity that originates mortgages by lending or extending a credit facility to a borrower and includes a financial institution, an Islamic financial institution, a micro finance deposit-taking institution, an Islamic micro finance institution, a registered society and any other entity that the central bank may, by notice in the Gazette, declare to be a primary mortgage lender; "refinancing" means a tool used to revise debt, consolidate debt, obtain lower interest rate and access equity; "registered society" means a savings and cooperative society licensed by the central bank to offer financial services.