'Media, hotels hit by CSOs institutional bank account freeze'

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Civil society organisations (CSOs) in Uganda have warned that the freezing of their institutional bank accounts is beginning to ripple across sectors, with the media and hospitality industry among the hardest hit.

Speaking during a joint press conference held at Eureka Place Hotel in Ntinda on Monday, (March 23), civil society actors said recent actions by the Financial Intelligence Authority (FIA) and the Uganda Bankers Association (UBA) have not only disrupted NGO operations but also affected businesses that depend on them.

“There is an ongoing weaponisation of the Financial Intelligence Authority (FIA) and the Uganda Bankers’ Association (UBA) to freeze bank accounts,” said Andrew Karamagi, a lawyer representing the Pan African Lawyers Union.

The press briefing, organised by the Centre for Constitutional Governance (CCG) led by Dr Sarah Bireete, brought together several organisations, including Forum for Women in Democracy, Innovations for Democratic Engagement and Action (IDEA), Katiba Heritage Foundation, ActionAid Uganda, Women for Uganda, and representatives from the women’s movement.

Karamagi explained that the freezing of accounts has created a chain reaction, affecting service providers such as hotels that host NGO events, media houses that rely on NGO advertising and partnerships, and numerous employees whose livelihoods depend on the sector.

“Hotels are losing business from conferences and workshops, while media houses are losing advertising revenue and partnerships. This is no longer just about NGOs—it is about the wider economy,” he said.

Dr Bireete, the executive director of CCG, echoed similar concerns, warning that the crackdown on civil society could soon extend to other sectors, including the media.

“After the closure of CSOs, I can assure you that you, the media, will be next if you don’t ask the hard questions,” she said.

She also urged journalists to take a more investigative role in holding institutions accountable, especially amid what she described as shrinking civic space.

CSOs argue that the freezing of accounts and suspension of organisations is part of a broader pattern of repression, particularly during politically sensitive periods such as elections.

They pointed to previous incidents, including the 2017 raids on NGOs during the presidential age limit debate and the 2021 suspension of 54 organisations, as evidence of recurring state overreach.

The organisations further raised concerns about the impact of the NGO (Amendment) Act 2024, which dissolved the NGO Bureau as an independent entity and placed its functions under the Ministry of Internal Affairs.

According to the CSOs, this transition has created a regulatory vacuum, resulting in arbitrary decisions such as the recent suspension of at least 10 organisations without due process.

They also accused the FIA and UBA of acting beyond their legal mandates by freezing accounts without court orders.

Citing past High Court rulings, the groups maintained that the FIA cannot indefinitely freeze accounts without presenting evidence before a competent court, warning that such actions undermine the rule of law.

Efforts by New Vision to obtain a comment from FIA officials were unsuccessful, as calls to known contacts went unanswered by press time. Similarly, attempts to reach UBA executive director Wilbrod Owor were unsuccessful.

Beyond institutional concerns, the CSOs highlighted the broader socio-economic consequences of the ongoing crackdown. They warned that reduced NGO activity could limit access to essential services such as healthcare, education, and legal aid, particularly in vulnerable communities.

They also noted that the NGO sector is a major employer and a significant contributor to foreign exchange inflows, meaning that continued financial restrictions could destabilise the economy.

“As if the foregoing excesses are not enough, the ongoing Regulatory Impact Assessment seeks to create a state-controlled NGO Fund to dictate funding,” Karamagi added, warning that such proposals could further stifle the sector.

The organisations have now called for the immediate unfreezing of affected accounts and reinstatement of suspended entities. They also urged the government to withdraw restrictive proposals and respect constitutional rights to association, expression, and participation.

Despite the challenges, the CSOs reaffirmed their commitment to continue their work.

“We are not enemies of the State,” they emphasised. “We are partners in the pursuit of a better Uganda.”