The Deputy Speaker, Thomas Tayebwa has urged the European Union Parliament to expedite the process of removing Uganda from its anti-money laundering and terrorism financing grey list.
Tayebwa made the request while meeting the Deputy President of the European Union Parliament, Antonella Sberna in Brussels, Belgium on Wednesday, 10 February 2025.
Over the years, Uganda has amended several laws to meet the delisting requirements. The most recent amendment was the Anti-Money Laundering Act, which now excludes non-governmental organizations (NGOs), churches and other charitable organisations from the list of accountable entities. “Parliament, for the first time, amended seven laws in two weeks because we were rushing to meet the requirements,” Tayebwa told his EU Parliament counterpart.
While the EU Commission’s department overseeing anti-money laundering issues acknowledges that Uganda has met the necessary requirements, only the EU Parliament has the authority to officially delist the country. The EU considers the Financial Action Task Force’s (FATF) grey list when creating its own. Uganda was removed from the FATF grey list in February 2024 but remains on the EU’s list.
Uganda’s delisting requires the passage of a resolution by the EU Parliament
However, the resolution includes six countries, only four of which have met the delisting requirements. “The European Union Commission has indicated its support for splitting the resolution so that the four compliant countries can be removed. We cannot continue paying for the sins of those who have not complied. However, we were informed that the European Parliament rejected this proposal,” Tayebwa said .
Tayebwa explained that being on the grey list negatively impacts trade and investment.
Uganda currently has a trade surplus with the EU, which stood at US$130.67 million in 2024. He noted that during a recent meeting, EU investors and ambassadors told President Museveni that delisting Uganda would allow them to access cheaper and more attractive funding to invest in Uganda.
Otuke County MP, Hon. Paul Omara who is of the Deputy Speaker’s delegation highlighted that Uganda’s presence on the grey list affects its credit rating by agencies making it harder to access credit from multilateral organisations and global banks. “Uganda will only be able to access credit at higher interest rates,” he explained.
Uganda’s Ambassador to Belgium, HE Mirjam Blaak echoed similar concerns, stating that investors have repeatedly urged her to push for Uganda’s delisting. “I have met companies interested in Uganda’s tourism sector, but they say, ‘banks refuse to provide guarantees because Uganda is still on the grey list’,” she explained. Tayebwa also called for further scrutiny of the Regulation on Deforestation-Free Products (EUDR), a law designed to ensure that products entering EU markets do not contribute to deforestation anywhere in the world.
He argued that in Uganda and other developing countries, the law could disproportionately harm the poorest communities. “This law will severely impact small-scale farmers in Uganda and Africa. Such non-tariff barriers will hit the poorest of the poor the hardest,” Tayebwa said.
Distributed by APO Group on behalf of Parliament of the Republic of Uganda.
