President Yoweri Museveni has said that the introduction of Islamic Banking system will go along way in exposing Uganda to different banking systems.
“Using the two different banking systems creates room for open competition in financial institutions,” he said.
The President was today speaking during a meeting with the visiting Qatar group of investors at State House, Entebbe.
The Qatar Vice Chairman and Chamber Coordinator, Mousa Ali Abu Azab and the Chairman of International Development Company, Ahmed Hussain Al-Khalaf, led the delegation.
The Islamic banking system, also known as non-interest banking, is based on the principles of the economics of a lender and an investor sharing profit and loss and equity participation.
The Qatari delegation, who have shown interest in investing in the banking business, agriculture, agro and beef processing as well as oil and gas refining, were informed by the President that Uganda with a population of 40 million offers good business opportunities.
He said that using Uganda as their base, they can also exploit market opportunities from the 180 million people in the East African Region, the Common Market of Eastern and Southern Africa (COMESA) area and the African continent in general teeming with untapped market potential.
Regarding the establishment of meat processing plant, President Museveni assured the Qatar investors that Uganda has a number of ranchers with the capacity to provide beef.
“Here, we have cholesterol free beef which entails good investment for export,” he said. He assured them that he will link the Qatari investors with the popular ranchers in the country to ensure that the project takes off.
Mr. Mousa Ali Abu Azab said that the Islamic Banking system is very stable and offers a sure guarantee in enterprises with services that are better for investors. He revealed that the system has been successful elsewhere naming Europe as a case in point.