Museveni signs law targeting foreign influence despite economic warnings

Uganda’s President Yoweri Museveni has signed into law a controversial bill aimed at curbing foreign influence, despite strong criticism from the central bank and international institutions warning that the measure could have serious economic consequences.

The “Protection of Sovereignty” law, passed by parliament earlier this month, criminalises the promotion of what it describes as the “interests of a foreigner against the interests of Uganda.”

It also requires individuals acting on behalf of foreign entities to register with authorities.

The latest measure could tighten restrictions on civil society, development partners and professionals engaged in donor-funded programmes, while supporters argue it is necessary to safeguard national sovereignty from external interference.

The legislation further bars anyone working under foreign influence from developing or implementing government policy without official approval.

Violators face penalties of up to 10 years in prison and substantial fines.

Museveni, 81, who has ruled Uganda since 1986, has frequently accused foreign actors of interfering in the country’s internal affairs and has often alleged that political opponents receive external funding.

His office confirmed in a statement issued late Sunday that the president had assented to the bill, effectively bringing it into force.

However, the law has sparked concern from financial and development institutions.

Central Bank Governor Michael Atingi-Ego warned that the legislation could significantly reduce foreign financial inflows and weaken Uganda’s foreign exchange reserves, describing the potential outcome as an “economic disaster for our country.”

The World Bank also raised objections, cautioning that the law could criminalise a wide range of routine development and aid-related activities, potentially complicating international cooperation and investment in Uganda.