Tayebwa Urges EU to Delist Uganda From Anti-Money Laundering List

• Feb 20, 2025

Uganda’s Deputy Speaker, Thomas Tayebwa, has called on the European Union (EU) Parliament to fast-track the process of removing Uganda from its anti-money laundering and terrorism financing grey list. He made the appeal during a meeting with Antonella Sberna, the Deputy President of the EU Parliament, in Brussels, Belgium, on February 10, 2025.

Uganda has taken several steps to comply with delisting requirements by amending key laws. One of the latest amendments to the Anti-Money Laundering Act removed non-governmental organizations (NGOs), churches, and other charitable groups from the list of accountable entities. Tayebwa emphasized Uganda’s commitment, noting that Parliament amended seven laws within two weeks to meet EU requirements.

Despite Uganda’s compliance, only the EU Parliament has the authority to officially remove the country from the list. The EU follows the Financial Action Task Force (FATF) grey list when making its own determinations. Uganda was removed from the FATF grey list in February 2024 but remains on the EU’s list.

Uganda’s delisting requires the EU Parliament to pass a resolution. However, the resolution includes six countries, only four of which have met the requirements. Tayebwa revealed that while the European Commission supported separating the compliant countries, the EU Parliament rejected the proposal.

“The EU Commission agrees that compliant countries should be delisted separately, but the European Parliament refused. Uganda should not be punished for the non-compliance of others,” Tayebwa stated.

Remaining on the grey list negatively affects Uganda’s trade and investment prospects. Tayebwa pointed out that Uganda has a trade surplus with the EU, which stood at $130.67 million in 2024. EU investors and ambassadors recently told President Museveni that delisting Uganda would improve access to cheaper and more attractive investment financing.

Otuke County MP Paul Omara, part of Tayebwa’s delegation, highlighted that the grey listing also affects Uganda’s credit rating. Global banks and multilateral organizations view listed countries as high-risk, making it harder to access credit at favorable rates. “Uganda will only be able to secure credit at higher interest rates,” Omara explained.

Uganda’s Ambassador to Belgium, Mirjam Blaak, echoed these concerns, stating that many investors are hesitant due to the grey list status. She noted that some companies interested in Uganda’s tourism sector have struggled to obtain financial guarantees from banks.