Bank of Uganda Warns on Islamic Banking


The Bank of Uganda has warned that the Islamic banking may fail in the country if it is abused by commercial banks.
According to Justin Bagenda, the executive Director supervision at Bank of Uganda, the commercial banks that are to embrace the new form of banking need to be aware that Islamic banking can backfire despite the good associated with it.
Bagenda argues proponents of Islamic Banking to ensure there is massive sensitization so that people understand and appreciate this form of banking before entering into any related contracts.