President Museveni has launched Tamini General Insurance, Uganda's first Islamic insurance firm, and rallied the Muslim community to invest in commercially viable economic ventures.
Tamini General Insurance, a conglomerate of Salaam Group, is designed to offer Sharia-compliant insurance services based on mutually beneficial terms with joint guarantees for both insurers and the insured.
The event took place at Millennium Park - Lugogo in Kampala during an Iftar dinner organised by the Senior Presidential Advisor on Political Affairs and Head of NRM National Chairman's Office, Hajjat Hadijah Namyalo.
"Salaam Bank and Tamini, you are welcome to Uganda. Uganda is a growing market with over 45 million people. The population will reach 100 million by 2050. You are in Uganda at the right time," President Museveni said.
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He urged the Muslim community to prioritise investment in productive and commercially viable ventures rather than consumptive spending.
President Museveni applauded Salaam Group for extending inclusive financial services and products that cater to both low- and middle-income earners, describing their operations as a comprehensive financial cycle offering both financing and insurance options.
"Insurance is about preparing so that in case anything goes wrong, you have backup. When you borrow, you invest -- but what if things do not go as planned? I thank Tamini Insurance for completing the cycle," he stated.
The President further explained that the government is committed to implementing interest-free wealth creation initiatives such as the Parish Development Model (PDM), noting that the six per cent annual charge is intended to control inflation and maintain fund stability.
He encouraged the Muslim community to take advantage of such government programmes.
"We should work to eliminate poverty by getting everyone out of poverty. PDM will help to ensure the remaining 30 percent of Ugandans also get out of poverty," he said.
President Museveni also directed PDM management committees to adopt a matrilineal approach in selecting beneficiaries for model funds.
He explained that a matrilineal system, based on kinship through the female line, would ensure broader inclusion of families -- including those in polygamous households -- compared to a patrilineal approach, which may exclude some women-led families.
Additionally, he commended women for their active participation in economic activities that positively impact households and the national economy. He pledged to increase funding support for Muslim women's families from Shs2 billion to about Shs20 billion.
Mr. Mohamed Bahdon, Group CEO of Tamini Insurance, outlined three operational pillars for the firm in Uganda: ethical investment, transparent oversight, and collective participation -- all aimed at advancing financial inclusion.
He noted that Islamic-based insurance will provide affordable options and help redefine Uganda's insurance landscape while aligning with the country's Vision 2040 agenda.
"A farmer who accesses Halal financing from Salaam Bank to grow his crop can now insure that crop through Tamini," Bahdon said. "This will result in Uganda's economic transformation from a consuming nation into a producing nation."
The Chief Executive Officer of the Insurance Regulatory Authority (IRA), Alhaji Ibrahim Kaddunabbi Lubega, reported that Uganda's insurance sector has grown to over Shs2 trillion, with higher projections expected following the introduction of Sharia-based Islamic insurance by Tamini General Insurance.
He added that the global Sharia-based insurance market is currently valued at USD 36.6 billion and is projected to surpass USD 75 billion by 2033. Uganda's adoption of the model presents significant growth opportunities for the country's insurance sector.
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Hajjat Namyalo noted that Tamini General Insurance will focus particularly on the informal sector, including market vendors and communities in disaster-prone areas.
Sheikh Muhammad Yunus Kamoga, a Tabliq Muslim sect leader, thanked President Museveni for pardoning individuals who had previously fallen afoul of the law, mentioning himself and prominent city motor car dealer Hajji Muhammad Ssebuufu.
He requested a presidential pardon for two prominent Muslims currently under detention.
He also commended the President for fostering unity among Muslims, promoting religious inclusivity, and supporting the establishment of Muslim education and financial institutions in Uganda.
