FXRegulatns 2006
FXRegulatns 2006
FXRegulatns 2006
to The Uganda Gazette No. 8 Volume XCVIX dated 10th February, 2006
STATUTORY INSTRUMENTS
2006 No. 10
21
Regulation
22
Regulation
PART VII—MISCELLANEOUS
43. Appeals
44. Anti-money laundering and the combating of the financing
of terrorism
45. Exemptions
46. Transitional provisions
47. Repeal and savings
SCHEDULES
23
FORM E - FOREIGN EXCHANGE OUTFLOWS
24
STATUTORY INSTRUMENTS
(Under sections 9(5), (6) and 18 (1) and (2) of the Foreign Exchange Act, 2004)
IN EXERCISE of the powers conferred upon the Bank of Uganda by sections
9(5), (6) and 18 (1) and (2) of the Foreign Exchange Act, 2004 and in consultation
with the Minister, these Regulations are made this 14th day of November, 2005.
PART I—PRELIMINARY
1. Title
These Regulations may be cited as the Foreign Exchange (Forex Bureaus
and Money Remittance) Regulations, 2006.
2. Objectives
The purpose of these Regulations is—
(a) to specify conditions for licensing and supervising persons licensed
to transact business as a forex bureau or carry on money
remittance business;
(b) to guide forex bureaus and persons licensed to carry on money
remittance business on the observance of the provisions of
the Act;
(c) to encourage the increased use of formal funds transfer systems
through the facilitation of foreign exchange transfers and
remittances that are timely, accessible, cost effective, reliable
and transparent; and
(d) to increase transparency of remittance and payment flows in and
outside Uganda by ensuring that anti-money laundering and
the combating of the financing of terrorism measures are
observed in forex bureau and money remittance businesses.
3. Interpretation
In these Regulations, unless the context otherwise requires—
“accounts” means a deposit or credit account with a bank such as a
demand, time, savings or passbook account;
25
“account outside Uganda” means an account opened outside Uganda
by a designated resident person;
26
(a) banknotes, coins or electronic units of payment in any
currency other than the currency of Uganda which
are or have been legal tender outside Uganda;
(b) financial instruments denominated in foreign currency;
and
(c) any right to receive such banknotes or coins in respect of
any balance at a financial institution located within
or outside Uganda;
“foreign exchange business” means the business of buying, selling,
borrowing or lending of foreign currency;
“funds” includes a credit balance in an account maintained at a bank or
other financial institution;
“international money transfer agency” means a money transfer
company, which holds an international licence permitting it
to engage in money remittance business;
“licensee” means a person licensed in accordance with these
Regulations to transact foreign exchange business or money
remittance business;
“malpractice” means illegal or unethical conduct in foreign exchange
or money remittance business;
“money remittance business” means the business of foreign exchange
transfers consisting of the acceptance of monies for the
purpose of transmitting them to persons resident in Uganda
or another country;
“money remittance licence” means a licence granted in accordance
with these Regulations authorising the holder of the licence
to carry on money remittance business;
“parent licensee” means a foreign or international money transfer
company, which is licensed in a foreign country;
27
“payment for current transactions” means payments which are not for
the purposes of capital transfer, and includes, without
limitation—
(a) all payments in connection with trade, services and short-
term banking and credit facilities;
(b) payments of interest on loans and net income from other
investments;
(c) remittances for family living expenses; and
(d) donations, gifts and contributions to local, regional and
international organisations and bodies;
“resident” means—
(a) an individual who is ordinarily resident in Uganda for one
year or more;
(b) the Government of Uganda, and its diplomatic
representations located outside of Uganda;
(c) a company, firm or enterprise whose principal place of
business or centre of control and management is
located in Uganda; and
(d) a branch located within Uganda, of a company, firm or
other enterprise whose principal place of business is
located outside Uganda, but does not include—
(i) foreign diplomatic representation or an accredited
official of such a representation located within
Uganda;
(ii) a branch located outside Uganda of company, firm, or
enterprise whose principal place of business is
located outside Uganda;
(iii) an office of an organisation established by
international treaty located within Uganda or
branches located outside Uganda of company,
firm or enterprises whose principal place of
business is located in Uganda;
28
“security” means a share, stock, bond, note, other than a cheque or
travellers cheque or a debenture denominated in the currency
of Uganda or in foreign currency;
“spot exchange rate” means the rate at which a foreign exchange
transaction is concluded for delivery within two business
days;
“spot transaction” means an immediate over the counter settlement in
Uganda and for international payments, means settlement
within two days;
“travellers cheque” means an instrument issued by a bank or other
institution, which is intended to enable the person to whom it
is issued to obtain bank notes, or coins in the currency of
Uganda or foreign currency from another person on the credit
of the issuer.
29
(e) provide the name and full address, including telephone and email
address of the proposed forex bureau;
(f) propose management, directors and owners who must be persons of
good repute and integrity with the necessary qualifications
and competence required to run a forex bureau.
7. Mode of application
An application for a licence referred to in regulation 4 shall be made in
duplicate and submitted to the Bank of Uganda in Form A specified in Schedule 2
to these Regulations.
(j) any other information that the Bank of Uganda may request the
applicant to provide.
9. Factors to consider in making a decision to grant a licence
(1) The Bank of Uganda shall, in considering an application submitted to it
under regulation 7 be satisfied of—
30
(a) the financial condition and history of the applicant;
(b) the nature of any other business of the applicant if it affects the
business of foreign exchange;
(c) the competence and integrity of the applicant’s proposed
management;
(d) the adequacy of the applicant’s capital structure, earning prospects,
business and financial plans;
(e) whether the public interest will be served by the granting of the
licence to the applicant;
(f) the history and character of the applicant’s shareholders and
proposed management team;
(g) the suitability of the applicant’s proposed business premises and
their conformity with the minimum standards specified in the
Schedule 3 to these Regulations.
(2) An applicant who submits false or misleading information in the
application shall be rendered an unfit and improper person and it shall be a
sufficient ground for the rejection of the application.
10. Application fees
An application for a forex bureau licence shall be accompanied by a non-
refundable fee of twenty currency points payable to the Bank of Uganda.
11. Processing of application
(1) The Bank of Uganda shall, within a period of three months after the
receipt of an application for a forex bureau licence consider and approve or reject
the application.
(2) The decision of the Bank of Uganda shall be communicated to the
applicant within three months after the date of submission of the application.
12. Issuance and duration of licence
(1) Where the Bank of Uganda approves an application, the applicant shall,
upon the payment of licence fees of fifty currency points be issued with a licence.
(2) A forex bureau shall pay an annual licence fee of fifty currency
points.
(3) No refund of any licence fees paid to the Bank of Uganda shall be
made in the event that—
31
(a) a licence is cancelled or revoked; or
(b) the licensee ceases to carry on business at any time before the
expiry of the licence.
(4) Where a licence is granted, the Bank of Uganda may, in conformity
with the Act, add, vary or substitute any condition to the licence.
(5) A licence issued or renewed under these Regulations is valid for a
period of one year and shall then expire one year after the date of issuance unless it
is renewed or revoked by the Bank of Uganda.
(6) A licensee shall not transfer or assign the licence.
32
(2) A person who satisfies the requirements of regulation 15 and
wishes to carry on money remittance business may apply to Bank of Uganda for a
licence to carry on that business.
33
(vii) a well spelt-out mode of money remittance that is
formal, reliable and transparent;
(viii) an acceptable operational manual;
(b) for a Class B- Forex Bureau Remittances Licence that the applicant
has—
(i) a proven track record of licensed forex bureau operations
for a period of two years;
(ii) a minimum paid-up share capital of two thousand and
five hundred currency points;
(iii) shareholders, directors and officers who are fit and
proper persons for purposes of money remittances;
(iv) the ability to comply with all applicable anti-money
laundering and combating of financing of terrorism
standards and measures;
(v) separate counters and staff dedicated to the money
remittance business;
(vi) an acceptable operational manual;
(vii) whether the public interest will be served by the
granting of the licence;
34
(viii) the ability to comply with all applicable anti-money
laundering and combating of the financing of
terrorism standards and measures;
(ix) whether the public interest will be served by the granting
of the licence;
(5) The applicant shall ensure that there are no factors, such as unavailability
or inadequacy of information and lack of transparency, which may—
(a) hinder the conduct of investigations by the Bank of Uganda after
the submission of its application; or
35
(b) inhibit effective supervision of the licensee by the Bank of Uganda
after the issuance of a money remittance licence.
(6) The Bank of Uganda shall, within three months after receipt of a
complete application for a money remittance licence, consider the application and
prepare a detailed report in respect of the application indicating the decision of the
Bank of Uganda to—
(a) grant the licence, if it is satisfied that the application fulfils the
requirements of the Act and these Regulations;
(b) grant the licence, subject to the fulfilment of certain conditions
that the Bank of Uganda deem necessary;
(c) refuse to grant the licence, stating the reasons for the refusal that
shall be stated in the notice of the decision or letter of refusal
to the applicant.
(7) The Bank of Uganda may at any time vary or revoke any of the
existing conditions of a licence or impose new conditions.
36
18. Renewal of licence
(1) An application for renewal of a money remittance licence shall be
submitted to the Bank of Uganda in Form B specified in Schedule 4 to these
Regulations at least one month before the expiry of the licence.
(2) Where a person submits an application for the renewal of its
licence as provided for under subregulation (1) of these Regulations it shall not
incur any penalty under these Regulations for not possessing a valid licence during
the period commencing from the date of expiry of the licence until the date on
which the licence is renewed or the application is refused.
19. Security deposit
(1) Every person who is granted a money remittance licence shall deposit with
the Bank of Uganda an initial sum of two thousand and five hundred currency
points and thereafter such other sum as may, at any time depending on the
licensee’s volume of business, be prescribed by the Bank of Uganda, to be held as
security for the due performance of its obligations to those persons who deposit or
will deposit moneys with it for remittance purposes.
(2) The deposit referred to in subregulation (1) shall be in cash and
shall be invested in such manner as the Bank of Uganda may approve.
(3) Where a licensee ceases to carry on money remittance business, it
shall be lawful for the Bank of Uganda to deduct from the deposit an amount of
money required to pay any sums lawfully and rightfully claimed by the customers
of the licensee who had given money to the licensee for remittance purposes.
(4) The Bank of Uganda shall, upon being satisfied that there are no
outstanding claims by the customers of the licensee release the deposit or the
balance of the deposit, as the case may be, to the licensee.
37
(3) No money shall be withdrawn from a customers’ account except—
(a) money that has been paid into the account by the licensee for the
purposes of opening or maintaining the account;
(b) money properly required for a payment to or on behalf of a
customer; and
(c) money properly required for payment of the charges for rendering
services to a customer and the customer has been notified
that any money held for him or her will be applied towards or
in satisfaction of such fees and charges.
(4) No money, other than money which a licensee has paid into a
customers’ account for the purposes of opening the account and money required by
subregulation (2) to be paid into a customers’ account of a licensee shall be paid
into such an account.
(5) It shall be the duty of a licensee into whose customers’ account any
money has been paid in contravention of subregulation (4) to withdraw the money
wrongly paid into the account without delay, upon discovery of the mistake.
(6) The money in a customers’ account maintained by a licensee at a
bank is not liable to be attached, sequested or levied upon for or in respect of any
debt of the licensee or any claim whatsoever against the licensee, and if the licensee
is adjudicated a bankrupt or, being a company, is declared insolvent or is wound up
by an order of the court, the money in the customers’ account shall not form part of
the property of the licensee.
38
(c) without reasonable cause, refuse to sell foreign currency to any
customer if the foreign currency is available;
(d) fail or refuse to issue an accurate official receipt to cover any
purchase or sale of foreign currency; or
(e) issue any official forex bureau receipt for a purpose other than to
cover an actual purchase or sale of foreign exchange.
39
24. Display of exchange rates, licence, etc
(1) A person licensed to transact, as a forex bureau shall display prominently,
its current buying and selling exchange rates of foreign currency including all
commissions and charges associated with each transaction.
(2) A person licensed to transact as a forex bureau under these Regulations
shall prominently display, at all times, in a conspicuous place on its premises, a notice
informing its customers that they are entitled to be issued with a receipt for any purchase
or sale of foreign currency made by them.
(3) A licensee shall display to the public, at its premises, a valid
licence issued by the Bank of Uganda.
(4) A licensed dealer may set exchange rates in all transactions with
customers and between themselves in accordance with the prevailing market conditions
and other bilateral agreements between the operators.
(5) All correspondences, registers, books and financial statements and
accounts relating to the operations of the forex bureau shall be kept at the bureau’s
premises.
(6) A person licensed to transact money remittance business shall quote the
charges it levies for rendering its services and shall prominently display the quotation in
the premises where it is licensed to conduct business.
(7) A person licensed to transact money remittance business shall
conduct its business in premises that comply with the Minimum Standards for
Money Remittance Licensee’s Premises stipulated in Schedule 3 to these
Regulations.
(8) A licensee shall issue an official receipt for every transaction it
concludes.
25. Records and information to be furnished by licensee
(1) Every licensee shall maintain complete records of all its transactions in
such books, accounts, records and registers as the Bank of Uganda may from time
to time specify and shall produce those books, accounts, records and registers to the
Bank of Uganda as may be directed by the Bank of Uganda.
(2) Every licensee shall retain such books, accounts, records and
registers for a period of five years after the day on which the transaction takes
place.
40
(3) A person licensed under these Regulations to transact in money
remittance business shall issue to its customers a Money Remittance (Send) Form
specified in Form A of Schedule 6 to these Regulations and a Money Remittance
(Receive) Form specified in Form B of Schedule 6 to these Regulations whenever it
sends or receives monies for or on behalf of its customers.
26. Update of information
Every licensee under the Act shall submit to the Bank of Uganda an updated
Information Sheet as set out in the Form B specified in Schedule 5 to these
Regulations.
27. Submission of returns
(1) Every person licensed to transact as a forex bureau under these
Regulations shall submit in the format specified in Schedule 7 to these Regulations,
the following returns to the Bank of Uganda—
(a) a daily return on its exchange rates as set out in Form A in
Schedule 7 to these Regulations, quoted not later than ten
o’clock in the morning on the day of reporting;
(b) a summary of weekly/monthly returns of sales of foreign
currencies (outflows), as set out in Form P specified in
Schedule 7 to these Regulations not later than three o’clock
in the afternoon of every first business day of the following
week;
(c) a summary of monthly/weekly returns of purchases of foreign
currencies (inflows) transactions for forex bureaus as set out
in Form R specified in Schedule 7 to these Regulations not
later than five working days after the end of the month for
which the return is being made; and
(d) any other returns, including foreign exchange inflows-form R
specified in Forms C and D and Foreign Exchange outflows-
form P specified in Form E in Schedule 7 to these
Regulations as may be required by the Bank of Uganda from
time to time.
(2) Receipts and payments above US$5,000= or the equivalent in any
other foreign currency, shall be notified to the Bank of Uganda immediately, and in
any case, not later than the following day after receipt or payment.
41
(3) A person licensed to carry on money remittance business under
these Regulations shall submit to the Bank of Uganda the following returns, not
later than five working days after the end of the month or week for which the
returns are being made—
42
PART V—GENERAL PROVISIONS
43
(3) A licensee who fails to produce books, accounts, records,
documents, correspondence, statements or other specified information shall have his
or her licence to carry on foreign exchange business or money remittance business
under this Act suspended immediately.
(4) The Bank of Uganda or any officer of the Bank of Uganda duly
authorised by the Bank to act on its behalf may, at any time, enter any premises
where a licensee is carrying on business, or any premises where it is reasonably
suspected that any business is being carried on in contravention of these
Regulations.
32. Power to issue directives
The Bank of Uganda after an inspection or investigation under regulation 31,
may require a licensee to take any action or to do any act or thing in relation to the
licensee’s business as the Bank of Uganda may consider necessary.
33. General requirements and provisions
(1) A licensee shall not close any of its places of business without the written
permission of the Bank of Uganda.
(3) The management and staff of a licensee shall ensure that all
transactions are done and maintained in the strictest confidence.
(4) It is the duty of the licensee to cross check and satisfy itself that
notes exchanged are legal tender; and a transaction is deemed to be concluded at the
counter.
(5) A licensee shall seize all counterfeit notes and other instruments
presented by a customer and the customer shall be issued with a receipt indicating
the serial number of the counterfeit notes and the counterfeit notes or instruments
shall be submitted to the Bank of Uganda; and under no circumstances should the
forged items be returned to the customer.
(6) Where the customer refuses to surrender counterfeit notes, the
licensee shall notify the police.
(7) A person aggrieved by any decision made under this regulation
may report to the Bank of Uganda.
44
34. Service of order, etc
An order or notice required or authorised by the Act and these Regulations to
be served on to any person may be—
(a) delivered to that person;
(b) left at the place of residence or business of that person; or
(c) sent by registered post to the last known address of that person.
35. Auditors
(1) Every licensee shall, at its own expense, appoint an auditor to carry out an
annual audit of the transactions in its licensed business.
(3) The licensee is responsible for the remuneration of the auditor for
the services referred to in subregulation (2).
45
(3) The Bank of Uganda shall before granting any approval under this
regulation in respect of opening a branch, satisfy itself that—
(a) transacts business as a forex bureau contrary to the Act and these
Regulations;
(b) deals in money remittance business contrary to the Act and there
Regulations;
46
(c) fails to apply for renewal of a licence within the time limit
specified in regulations 13(1) and 18(1) without a valid
reason;
(d) in connection with an application for or renewal of a licence issued
under these Regulations, willfully makes a statement which is
false or misleading in a material particular, knowing it to be
false or misleading, or wilfully omits to state any matter or
thing without which the application is misleading in a
material respect;
(e) transfers or assigns a licence issued under these Regulations
without the approval of the Bank of Uganda;
(f) opens or closes a branch without the approval of the Bank of
Uganda;
(g) refuses or neglects to submit any information or surrender any
document required under these Regulations;
(h) fails to maintain customers’ funds in a separate account as
required by regulation 20;
(i) fails to submit the required daily, weekly and monthly returns as
specified in these Regulations;
(l) fails to display the licence issued under the Act and these
Regulations,
47
director, secretary, manager or other officer of the company or who was purporting
to act in any such capacity shall be liable to be proceeded against and penalised
accordingly unless he or she proves—
(a) that the offence was committed without his or her consent or
connivance; and
(b) that he or she exercised such diligence to prevent the commission
of the offence, as he ought to have exercised, having regard
to the nature of functions in that capacity and to all the
circumstances.
(2) Any person who would have been guilty of an offence if anything
had been done or omitted to be done by him or her personally is guilty of that
offence and is liable to the same penalty if that thing had been done or omitted to be
done by his or her partner, agent or employee in the course of his or her partnership
business or in the course of his employment, as the case may be, unless he or she
proves—
(a) that the offence was committed without his or her knowledge or
consent; and
(b) that he or she took all reasonable precautions to prevent the doing
of or omission to do such a thing.
(3) Nothing is subregulation (2) shall relieve any partner, agent or
employee from any liability for an offence.
48
41. Suspension of revocation of licence
(1) The Bank of Uganda may suspend or revoke a licence issued under these
Regulations in any of the following circumstances—
(a) if it has reasonable cause to believe that a licensee has infringed the
provisions of the Act or these Regulations;
(b) if the licensee has, subsequent to issuance of a licence, ceased to
qualify for the licence;
(c) if there is failure by the licensee to commence business within
three months after the date of issuance of the licence without
any valid reason or communication to the Bank of Uganda;
(d) if there is a change of name, ownership, directorship, management
and location of business of the licensee, without the approval
of the Bank of Uganda;
(e) if the licensee fails to pay fees, fines and other penalties under the
Act and these Regulations;
(f) failure to reconstitute a full company for a period of over six
months in case of death, expulsion, or vacation by any
shareholder, where the remaining shareholders of the licensee
are less than two;
(g) the conviction of a majority shareholder of any financial fraud or
misconduct;
(h) any involvement in business malpractice including money
laundering and fraud;
(i) failure, neglect or refusal to provide information and returns to the
Bank of Uganda;
(j) any involvement in any activity other than one stipulated in the
licence;
(k) knowingly providing incorrect information and returns to the Bank
of Uganda;
(l) where a licensee remains closed for a period of one month or more
without notifying the Bank of Uganda;
(m) where a licensee makes losses for three consecutive years without
offering a valid reason for the loss;
49
(n) where one or more of the shareholders of the licensee is declared
bankrupt or is placed under receivership; or
(o) if a licensee fails to comply with a notice given under these
Regulations and the Bank of Uganda is not satisfied with the
cause for non-compliance.
PART VII—MISCELLANEOUS
43. Appeals
(1) A licensee who is aggrieved by the decision of the Bank of Uganda under the Act and
regulations 11(1), 15(6) and (7) and 41 of these Regulations may appeal to the High Court and
50
44. Anti-money laundering and the combating of the financing of
terrorism
A licensee shall in conducting the licensed business, fully comply with all
applicable anti-money laundering and combating of the financing of terrorism laws,
regulations and guidelines.
45. Exemptions
(1) These Regulations do not apply to a bank licensed under the Financial
Institutions Act, 2004 to conduct financial institution business in Uganda.
(2) The Bank of Uganda may, by notice in the Gazette, exempt any person
or category or persons from any provision of these Regulations.
46. Transitional provisions
Any person who, at the commencement of these Regulations, was licensed under a
different law to transact or engage in money transfers shall be deemed to have been
licensed under these Regulations, except that that person shall, within ninety days after
the coming into force of these Regulations, submit to the Bank of Uganda its existing
licence for review and re-classification in accordance with the provisions of the Act and
these Regulations.
47. Repeal and savings
(1) The Exchange Control (Forex Bureau) Order, 1991, is revoked.
(3) Upon the coming into force of these Regulations, any reference to
the revoked Order in any enactment immediately before the commencement of
these Regulations shall be construed as a reference to these Regulations.
________
SCHEDULES.
51
SCHEDULE 1
Regulation 3
CURRENCY POINT
52
SCHEDULE 2
FORM A
Regulation 7
Form FXA
APPLICATION FOR NEW APPLICANTS FOR FOREX BUREAU
LICENCE
To be filled by an applicant for a Forex Bureau Licence and submitted in a sealed
envelope to the Bank of Uganda.
...............................................................................................................................................................
2. Proposed location
City/Town .........................................................................................................................................
District ..................................................................................................................................................
3. Shareholders
53
...............................................................................................................................................................
...............................................................................................................................................................
...............................................................................................................................................................
...............................................................................................................................................................
...............................................................................................................................................................
...............................................................................................................................................................
...............................................................................................................................................................
4. Directors
...............................................................................................................................................................
54
(ii) Name ....................................................................................................................................................
Postal address........................................................................................................................................
Telephone Numbers..............................................................................................................................
Fax.........................................................................................................................................................
Bankers ................................................................................................................................................
Bankers’ postal address .......................................................................................................................
Current status and business history .....................................................................................................
Employment .........................................................................................................................................
Designation ..........................................................................................................................................
..............................................................................................................................................................
Employment .........................................................................................................................................
Designation ..........................................................................................................................................
...............................................................................................................................................................
5. Declarations
We the undersigned, hereby declare that the above statements are true and
correct and also agree to operate in accordance with the Foreign Exchange
Act, 2004 and the Foreign Exchange (Forex Bureau and Money
Remittance) Regulations, 2006 and any other Regulations and Guidelines
governing the operation of forex bureaus, if granted a licence.
55
We further declare that we are not undischarged bankrupts and we have
never been convicted of fraud or embezzlement and agree to provide to the
Bank of Uganda the bank statement of our accounts for two years to date.
(ii) ………………………
(iii) ………………………
(iv) ………………………
(i) Detailed curriculum vitae for each of the shareholders and the
proposed directors.
Note:
(i) All information provided on this form will be treated as
confidential and will be used solely for the purpose for which
it is sort.
(ii) The Bank will not process an application not duly completed.
56
FORM B
Regulation 8 (e)
CONFIDENTIAL (FORM: No. FX/CR)
Passporp size
photograph
57
SCHEDULE 3
Regulations 9(g) and 24 (7)
1. Floor Area
A standard licensee should occupy an area not less than 4m x 6m. In our
view this is enough to accommodate the recommended set up as below:
2. Set up
(a) Front Office – includes the reception area. This can also
accommodate the internal security guard(s), where applicable.
(b) Counters: A minimum of two counters: one purchases and one
sales, in the following designs:
(i) Built up:
– Dully constructed to include serving desk cashier’s
cabin and serving window.
– The material may vary according to the bureau’s
financial abilities and taste
(ii) Not Built up
Where a bureau does not construct the standard counter
but opts for the desk type counter.
(iii) This design is only recommended for:
- Licensee located in hotel, at the airport,
recreational centers and such other places where
a personal touch with the customers is very
necessary.
- Its applicability in modern banking and
business.
58
4. Security
(a) It may not be possible to determine the overall security of the
location, but the premises should have sufficient security to
ensure the safety of the customers and the assets of the
business operations.
Therefore:
- Premises should be strong and entrance/exit must be re-enforced
with burglar proofing.
- Blinds or tinted glass should be used to conceal bureau activity
from the public.
(b) Notwithstanding the above, consideration should be made of
single unit structures which can comfortably accommodate bureau
in a highly organised location e.g. airport, hotels, post office etc.
In this arrangement, the bureau need not construct demarcations
for the manager and cashiers’ offices. However-
(i) the premises should occupy an area of at least 4m x 6 m.
(ii) the premises should be generally adequate and suitable
for bureau business; located within a reasonably secure
environment.
(iii) the licensee shares the general security provided by the
facility within which it is located.
(iv) customers are served through a window separating the
cashiers from the customers.
(v) provision is made for a manager’s desk, safe and
cashiers’ counters.
(vi) walls are constructed with tinted, bulletproof glass
material.
5. Mandatory fittings
(i) Safe.
(ii) Rates display board.
(iii) Display of license or authority to operate.
Layout (Design) Guidelines:
a) b) s D
Managers
Managers
office
office D
C1 C1 C1 C1
I
II
59
Reception
Reception
c) d)
s
Service window
C C C Manager
Service window
Manager’s office
D
3M
S
e)
D S
D1 Key
C1 – C4 Represent
Managers
counters
S Represents
D1
safe
D Represents
desk/tables
D1 Represents
D1 Serving Points
(d) & (e) Suitable for those situated in lobbies eg, Hotels, Travel Bureaux, Airport
etc.
60
SCHEDULE 4
FORM A
Regulation 13 (1)
APPLICATION FOR RENEWAL OF FOREX BUREAU LICENCE
FORM: FXAR
...................................................................................................
......................................................................................................
...........................................................................................
......................................................................................................
10. Declaration
61
(a) I, the undersigned, hereby declare that the above statements are
true and correct and also agree to operate the foreign exchange
bureau/money transfer services in accordance with the Foreign
Exchange Act 2004, the Foreign Exchange (Forex Bureau and
Money Remittance) Regulations, 2006 and any other written law
governing the operation of forex bureau/ money remittance
business in Uganda.
Signature.....................................Date................................
Full name............................................................................
Designation........................................................................
Witness’s signature.............................................................
...........................................................................................
62
FORM B
Regulation 18(1)
APPLICATION FOR RENEWAL OF MONEY REMITTANCE LICENCE
To be filled by the company applying for renewal of licence and submitted in a
sealed envelope to the Director, Non Banking Financial Institutions Department,
Bank of Uganda.
......................................................................................................
......................................................................................................
......................................................................................................
...........................................................................................
......................................................................................................
7. Declaration
(a) I, the undersigned, hereby declare that the above statements are
true and also agree to operate the Money Remittance Business in
accordance with the Foreign Exchange Act 2004, and the Foreign
Exchange (Forex Bureau and Money Remittance) Regulations,
2006 and any other written law governing the operation of money
remittance business in Uganda.
63
(b) I further declare that I am not an undischarged bankrupt person
and that I have never been convicted for fraud or embezzlement.
Signature....................................Date................................
Full name...........................................................................
Designation........................................................................
Witness’s signature............................................................
...........................................................................................
...........................................................................................
_____________________________________________
Note: Attach copy of certificate of registration. All information
provided in this form will be treated as confidential and will only
be used for the processing of this application.
64
SCHEDULE 5
FORM A
Regulation 15 (2)
……………… …………………
Date Applicant
………………………… …………………………
…………………………… …………………………
…………………………… ………………………….…
…………………………… ……………………………
65
I undertake to immediately notify the Bank of Uganda, of any material change in
the particulars of this application.
_______________________ _______________________
Signature of Deponent Principal/ Promoter/Agent
________________________________
Commissioner for Oaths
66
FORM B
INFORMATION SHEET
1. Name: ……………………………………………………
……………………………………………………
……………………………………………………
2. Former name(s) if any by which the applicant has been known:
…………………………………………………………………
…………………………………………………………………
3. Any name the applicant proposes to use for purposes of or in connection
with any business carried on by it, including any name the applicant is or
will be obliged to disclose in connection with any business carried on by it
by virtue of the Business Names Registration Act, Cap. 109
…………………………………………………………………
…………………………………………………………………
…………………………………………………………………
…………………………………………………………………
(a) Address:
…………………………………………………………
…………………………………………………………
…………………………………………………………
…………………………………………………………
67
6. Branches:
Address: Date approved and date opened
…………………………… ………………………………
…………………………… ………………………………
7. Management:
(1) Board of Directors:
Name: Designation Present Term No. of
years as
board
member
……………… …………… ……………
………………
……………… …………… ……………
………………
……………… …………… ……………
………………
Board Committees
Name and purpose of committee(s): Name of members:
………………………………… …………………………
………………………………… …………………………
………………………………… …………………………
(2) Officers:
Name: Position: No. of years as officer
68
Name Country of Residence Paid up Capital %
citizenship
………… …………… …………… ………………… ……
9. Organisation Profile:
69
………………………………………………………………………………
……………………………………………………
12. Name and address of the applicant’s external auditors.………
………………………………………………………………………………
…………………………………………………………
13. Does the applicant hold, or has it ever held, any authority from a
supervisory body to carry on any business activity in Uganda or
elsewhere? If so, give particulars. If any such authority has been revoked,
give particulars…………………………………
.……………………………………………………………………………
………………………………………………………………………………
…………………………………………
14. Has the applicant ever applied for any authority from a supervisory body to
carry on any business in Uganda or elsewhere other than the authority
mentioned in answer to question 13? If so, give particulars. If any such
application was for any reason refused or withdrawn after it was made,
give particulars …………………………………………………
……………….……………………………………………………………
………………………………………………………
15 Has the applicant or any company in the same group within the last 10
years failed to satisfy a judgement debt under a court in Uganda or
elsewhere within a year of the making of the order? If so, give
particulars…………………………………………...
16. Has the applicant or any company in the same group made any
compromise or arrangement with its creditors within the last 10 years or
otherwise failed to satisfy its creditors in full? If so, give particulars
…………………………………………………….
………………………………………………………………………………
……………………………………………………
17. Has a receiver or an administrative receiver of any property of the
applicant or any company in the same group been appointed in Uganda or
has a substantial equivalent of any such person been appointed in any other
jurisdiction, in the last 10 years? If so, give particulars, including whether
the receiver is still acting under the appointment
…………………………………………
……………………………………………………………………
70
18. Has a petition been served in Uganda for an administrative order in relation
to the applicant or company in the same group, or has the substantial
equivalent of such a petition been served in any other jurisdiction, in the
last 10 years? If so, give
particulars…………………………………………………………………
………………………………………………………………………………
…………………………………………
19. Has a notice of resolution for the voluntary liquidation of the applicant or
any company in the same group been given in Uganda, or has the
substantial equivalent of such a petition been served in any other
jurisdiction, in the last 10 years? If so, give
particulars…………………………………………………………………
……………………………………………………………
20. Has a petition been served in Uganda for the compulsory liquidation of the
applicant institution or any company in the same group, or has the
substantial equivalent of such a petition been served in any other
jurisdiction, in the last 10 years?. If so, give
particulars…………………………………………………
………………………………………………………………………………
……………………………………………………
21. State whether the applicant company has ever been under any criminal
investigation, prosecution disciplinary action(s), public criticism or trade
sanctions in connection with banking and financial services in Uganda or
elsewhere…………….
………………………………………………………………………………
………………………………………………………………………………
………………………………………...........
22. Are there any material matters in dispute between the applicant institution
and the Uganda Revenue Authority or any equivalent taxation authority in
any other jurisdiction? If so, give
particulars…………………………………………………..
………………………………………………………………………………
………………………………………………………………………………
………………………………………
23. Is the applicant or any company in the same group engaged, or does it
expect to be engaged, in Uganda or elsewhere in any litigation, which may
have a material effect on the resources of the institution? If so, give
71
particulars………………………….
………………………………………………………………………………
………………………………………………………………………………
………………………………………
24. Is the applicant company engaged, or does it expect to be engaged, in any
business relationship with any of its (prospective) directors, officers or
managers? If so, give
particulars…………………………………………………………………
………………………………………………………………………………
…………………………………………
25. Is the business of the applicant’s directors, officers or managers or of
companies in the same group guaranteed or otherwise underwritten or
secured, or expected to be guaranteed or underwritten or secured, by the
applicant company? If so, give
particulars…………………………………………………………………
………………………………………………………………………………
…………………………………………
………………………………………………………………………………
……………………………………………………
26. Please provide any other information, which may assist the Bank of
Uganda in reaching a decision on the
application……………………………………………...………
…………………………………………………………………
DECLARATION
We certify that we have read sections 11 and 16(b) of the Foreign Exchange Act,
2004.
We are aware that it is an offence under the terms of sections 17(1)(e) of the Act to
knowingly or recklessly to provide to the Bank of Uganda or any other person any
information which is false or misleading in a material particular in connection with
the application for a licence under the Act or otherwise.
We, certify that all the information contained in and accompanying this form is
complete and accurate to the best of our knowledge, information and belief and that
72
there are no other facts relevant to this application of which the Bank of Uganda
should be aware.
1. …………………………… …………………………
Name Position held
…………………………… ……………………………
Signed Date
2. …………………………… …………………………
Name Position held
…………………………… ……………………………
Signed Date
73
BEFORE ME,
…………………………………………………
Commissioner for Oaths
74
SCHEDULE 6
FORM A
Regulation 25 (3)
(CONFIDENTIAL)
BANK OF UGANDA
To be completed for every transaction for foreign exchange being remitted (as a
send service).
75
Declaration by sender: I declare that the information I have provided on this
money remittances send form is true and correct.
Signature of sender.................................................................................
Date.........................................................................................................
* * Where it is applicable.
* Instrument or mode of transmission may include Swift, TT, Card or as may be
specified.
76
FORM B
Regulation 25(3)
(CONFIDENTIAL)
BANK OF UGANDA
MONEY REMITTANCE (RECEIVE) FORM
The Foreign Exchange Act, 2004
Value Date..............………….………………………………………..
Beneficiary’s details......................…………………….……………
Name....................………...……………………………………………
Address in Uganda....................................……………………………
Telephone. ……………………...............................................………...
E-mail....................………………………...........................………...
Source country..........................………………………………………
Code...............................................………...…………………………
Source: ………………………………………………………………
Currency Instrument (Mode of Amount Exchange Commission Amount
transmission) Rate in UShs.
Sender’s details:
Name.............................................................…………….....................
Address.........................................………........…...............................
Occupation ..........................................……………..............................
Nationality...............................................…………………………......
77
Declaration by beneficiary: I declare that the information I have provided on this
money remittances receive form is true and correct to the best of my knowledge and
belief.
Signature of Customer............................................……………...........
Date............................................................................……………........
78
SCHEDULE 7
FORM A
Regulation 27(1)(a)
U.S.Dollar
Pound Sterling
Euro
Kenya Shilling
Tanzania Shilling
S. A. Rand
………………………………………
Signature of Forex Bureau Operator Stamp…………………..
79
FORM R
Regulation 27(1) (b) and (c)
To: Director,
Non Banking Financial Institutions Dept.,
Bank of Uganda,
P.O. Box 7120, Kampala
Tel: 041 258441/6, 258739, Fax No. 258739
5. Transfers
(a) NGO Inflows
80
(b) Government Grants
(c) Worker’s remittances
(d) other transfers
7. Portfolio Investment
(a) Government
(b) Bank
(c) Other
8. Loans
(a) Loan Received
(i) Private
Short term (< 1 year)
Long term (> 1 year)
(ii) Government
(b) Loan Repayment (Principal)
9. Interbureaux
10. Bank/Bureaux
TOTAL:
Ug. Shilling Value:
To be submitted to the office of the Director Non Banking Financia Institutions, not
later than five working days after the end of the month for which the return is being
made.
81
FORM P
Regulation 27(1) (b) and (c)
To: Director,
Non Banking Financial Institutions Dept.,
Bank of Uganda,
P.O. Box 7120, Kampala
Tel: 041 258441/6, 258739, Fax No. 258739
Email: NBFI_RETURNS@bou.or.ug
4. Service Payments
(a) Transportation
(a1) Freight
(a2) Passenger
(a3) Other
(b) Communication services
(c) Construction services
82
(i) Other business services
(j) Personal, cultural, and recreational
services
(k) Government services, n.i.e.
5. Transfers
(a) NGO Outflows
(b) Government Grants
(c) Worker’s remittances
(d) Other transfers
7. Portfolio Investment
(a) By Government
(b) By Banks
(c) By Other
8. Loans
(a) Loans Extended
(i) Private
Short term (< 1 year)
Long term (> 1 year)
(ii) Government
(b) Loan Repayment (Principal)
9. Bank/Bureaux
TOTAL:
83
FORM C
Regulation 27(1) (d)
Please consult the dealer for guidance if you are not sure of the box to tick
Source of Funds
Transaction between Ugandan Residents [ ] (d) Insurance and re-insurance [ ] Foreign Direct Eq.
Investment []
Currency Holdings/Deposits e.g. savings [ ] (e) Financial services c
(f) Travel Portfolio Investment []
Exports of Goods (11) Business/Official [ ] (a) Government []
(a) Gold exports (non-monetary gold) [ ] (12) Education [ ] (b) Banks []
(b) Repairs on goods [] (13) Medical [ ] (c) Other
(c) Goods procured in ports by carriers [ ] (14) Other Personal []
(d) Goods for processing [ ] (g) Computer and information services [ ] Loans []
(e) Coffee and other exports [ ] (h) Royalties and licence fees [ ] (a) Loan received c
(i) Other business services [ ] (a1)By comm. Banks []
Income Receipts (j) Personal, cultural, and Short term (< 1 year) []
(a) Interest received on external assets [ ] recreational services [ ] Long term (> 1 year) []
(b) Dividends/profits received [ ] (k) Government services, n.i.e. [ ] (a2) Others []
(c) Wages/Salaries [] (i) Private []
Transfers Short term (< 1 year) []
Service Receipts (a) NGO inflows [] Long term (> 1 year) []
(a) Transportation [ ] (b) Government grants [] (ii) Government []
(a1) Freight [ ] (c) Worker’s remittances [ ] (b)Loan repayment []
(a2) Passenger [ ] (d) Other transfers []
(a3) Other [] Interbank []
(b) Communication services [ ] Interbureaux [] Bank/bureaux []
(c) Construction services []
Other (Please specify) _______________________________
…………………………………………………
Authorised Dealer’s Official Stamp & Signature
84
FORM D
Regulation 27(1) (d)
BANK OF UGANDA
Serial No:…………………
Form RTC (Purchases)
This form should be completed by the customer/authorised dealer for all sales of
foreign exchange by the customer to the authorised dealer.
Particulars of Seller
Name...................................................................................….
Address in Uganda ............................................................…
Nationality.................................. Passport No./ID. .........…...
Signature of Customer ............................................................
Date ...............................................
85
FORM E
Regulation 27(1) (d)
Form P (Sales)
Serial No:
Name…………………………………….
Address in Uganda………………………
Occupation ………………………………
Nationality………Passport No./ID………
Signature of Customer ……………………
Date ………………………………………
Particulars of Buyer*
1. Loan Reference ……… Physical address in Uganda ………………
2.Principal……………… Occupation……………………………
3. Interest ………………. Nationality………Passport No………
4. Commissions ………... Signature of customer……………………
Date: …………………………………
Authorised Dealer’s signature & stamp
86
SCHEDULE 8
FORM A
Regulation 27 (3)(a)
Weekly return for the week ended…………………
BANK OF UGANDA
MONEY REMITTANCE (SEND) WEEKLY RETURN
The Foreign Exchange Act, 2004
Total
Ug. Shs.
Value
To be submitted to the office of the Director Non Banking Financial Institutions
Dept. not later than the first working day after the end of the week for which the
return is being made .........................................................................
Authorised dealers’ Stamp & Signature
87
FORM B
Regulation 27 (3)(b)
Weekly return for the week ended…………………
BANK OF UGANDA
MONEY REMITTANCE (RECEIVE) WEEKLY
RETURN
Total
Ug. Shs.
Value
To be submitted to the office of the Director Non Banking Financial Institutions
Dept. not later than the first working day after the end of the week for which the
return is being made .........................................................................
Authorised dealers’ Stamp & Signature
88
FORM C
Regulation 27 (3)(c)
BANK OF UGANDA
Total
Ug. Shs.
Value
To be submitted to the office of the Director Non Banking Financial Institutions
Dept. not later than the first working day after the end of the week for which the
return is being made .........................................................................
Authorised dealers’ Stamp & Signature
89
FORM D
Regulation 27 (3)(d)
Total
Ug. Shs.
Value
To be submitted to the office of the Director Non Banking Financial Institutions
Dept. not later than the first working day after the end of the week for which the
return is being made .........................................................................
Authorised dealers’ Stamp & Signature
90
FORM E
Regulation 27 (3)(e)
(CONFIDENTIAL)
Monthly return for the month of…………………
BANK OF UGANDA
MONEY REMITTANCES MONTHLY RETURN
THE FOREIGN EXCHANGE ACT, 2004
Name of Authorised Dealer:
________________________________
(Inflow/Outflow)
91
FORM F
Regulation 27 (3)(e)
Monthly position return for the month of………………………
BANK OF UGANDA
MONEY REMITTANCES MONTHLY RETURN
THE FOREIGN EXCHANGE ACT, 2004
Non Banking Financial Institutions Dept,
Bank of Uganda,
P.O. Box 7120, Kampala
Name of Authorised Dealer: ______________________
Monthly position Returns of Money Remittances of Foreign
Exchange
Monthly position/Balances
CURRENCY USD GBP € Kes TZs SAR ¥
(1)Total forex funds (undisbursed
as at the end of the previous
month ie b/fwd in that month)
(2)Inward Transfers (Received
during that month)
(3) Total 1+2 (during that month)
(4) Disbursements to
beneficiaries in that month
(5)Undisbursed at the end of that
month
(This information is from money remittances receive and send
form)
Indicate the account(s) where the undisbursed amounts are
currently held.
1. ……………………………………………………………
2. ……………………………………………………………
3. ……………………………………………………………
4. ……………………………………………………………
E. TUMUSIIME-MUTEBILE,
Governor, Bank of Uganda
92