The Bank of Uganda (BoU) Governor, Dr. Michael Atingi-Ego, has raised concerns over 623 unresolved banking cases that have tied up an estimated UGX 7 trillion ($540 million), describing the funds as dead capital that cannot support economic growth.
Dr. Atingi-Ego made the remarks on Thursday, 4 April 2026, while opening the 2nd Judicial Colloquium on Finance and Banking at Lake Victoria Serena Kigo, themed “The Role of Alternative Dispute Resolution in Resolving Commercial Disputes.”
“Every shilling held in a disputed loan is a shilling that cannot be reinvested into productive sectors. Delayed judgments act as a tax on investment and slow down the impact of monetary policy,” he said.
The governor encouraged judicial officers to adopt Alternative Dispute Resolution (ADR) methods, including mediation, negotiation, and arbitration, which offer faster and less costly solutions for technical and time-sensitive financial disputes. He described ADR as a strategic tool for boosting economic development.
The colloquium, which aims to strengthen ties between the judiciary and the central bank, was co-officiated by Uganda’s newly appointed Chief Justice, Dr. Flavian Zeija, sworn in by President Yoweri Museveni on 22 January 2026.
Analysts note that clearing the backlog could unlock credit and stimulate investment in Uganda, where delays in justice remain a significant challenge. Discussions at the event will continue on practical ADR implementation in the financial sector.
