| In the context of the current instability and increasing uncertainty of the international situation,it is of great significance to build a closer China Africa community of common destiny.China Africa financial cooperation is one of the important contents of the "China Africa ten cooperation plans".The development of Chinese banks in Africa is related to the smooth promotion of China Africa economic and trade cooperation and China’s investment strategy in Africa,and whether China can share the achievements of Africa’s future development.At the same time,Chinese banks’ investment in Africa is a powerful catalyst for the internationalization of RMB and Chinese non-financial enterprises develop in Africa.The entry of Chinese banks into Africa is of great significance to the economic development of China and Africa.Previous studies mostly focused on the overall situation of African Banking Industry and one aspect of banking supervision in African countries,and less on the supervision of banking laws in African countries from the perspective of national law and departmental law.At present,some Chinese banks have invested and developed in Africa.For example,Bank of China established a branch in Zambia in 1997 and China Construction Bank also established a branch in Johannesburg,South Africa in 2000.Industrial and Commercial Bank of China acquired a 20% stake in standard bank group in South Africa,becoming the bank’s largest shareholder.In 2016,the Banque Sino Congo pour L’Afrique(BSCA),established jointly by the Agricultural Bank of China,the Congolese government and private investors,opened a new model of friendly cooperation between the two countries in the financial field.The research on Banking Law in African countries even lags behind the development of practice.Against the background that East African countries are trying to establish an East African Central Bank,Uganda is the first country to announce that it will establish its own central bank.Since Uganda’s independence,its banking laws and regulations have been stable and consistent.Therefore,it is of great practical and academic significance to study the laws and regulations of banks in Uganda.This paper studies the legal supervision of banks in Uganda and puts forward some suggestions for Chinese banks to invest in Uganda.Firstly,this paper analyzes the evolution of Uganda’s financial regulators in detail.During the British colonial period,Britain established the East African currency board,which has the function of "half a bank supervision institution".When East African countries became independent,each East African country tried to establish a unified central bank,and then failed.After Uganda’s independence,a modern central bank,the Central Bank of Uganda,was established.This paper divides the legal supervision of banks in Uganda into four parts: the legal supervision of bank access,the legal supervision of internal mechanism,the legal supervision of business behavior and the legal supervision of withdrawal in Uganda.Finally,it thinks about the investment of Chinese banks in Uganda and puts forward some suggestions.Market access is the restrictive management of newly established banking financial institutions by banking regulatory institutions.Legally,it means the examination of the bank’s business qualification,ability,corresponding right ability and behavior ability.This chapter summarizes the legal supervision of bank access in Uganda into three aspects:Institutional access,business access and legal supervision of director and senior management access.From the perspective of entry,Chinese banks investing in Uganda should abide by the minimum capital requirements,pay attention to promoting financial inclusiveness and pay attention to the restrictions on equity holding in the application materials.Since there is no requirement for the nationality of directors,it is suggested that the members of the board of directors should be Chinese,and the personal information of directors should also be true and effective.The Central Bank of Uganda has put forward regulatory requirements for the internal mechanism of banks in the form of law.The essence of internal mechanism supervision is the prudential supervision of banks.This chapter studies the two pillars of prudential supervision.Micro prudential supervision includes corporate governance supervision,capital supervision,internal control supervision and risk management supervision.Macro prudential supervision includes countercyclical tools and the identification and supervision of systemically important banks.The Central Bank of Uganda also puts forward regulatory requirements for banking activities.This part of the article studies the supervision of bank credit management and anti money laundering measures in Uganda,the protection measures for financial consumers in Uganda,and the supervision of bank mobile payment business in Uganda.From the perspective of operation,Chinese banks investing in Uganda should hold and transfer shares according to law,abide by labor laws and regulations,manage company assets according to law and issue loans according to law.The core issue of sustainable operation of Chinese banks is to properly select and restrict directors.The Ugandan government attaches great importance to combating money laundering crimes,so Chinese banks should strictly implement the provisions on anti money laundering and anti-corruption.Uganda’s sustainable operation also needs to pay attention to the localization development of banks and practice the social responsibility of banks.Bank withdrawal involves not only the takeover and liquidation of banks,but also the change of articles of association,bank merger and reorganization,deposit protection of bank customers and so on.This chapter studies the legal supervision of these problems.From the perspective of the withdrawal of Chinese banks from Uganda,there are mainly two situations.One is that the insolvent debt is liquidated.In this case,it should be handled in time from the first step,that is,the Bank of Uganda requires the bank to make up the capital,otherwise it will cause irreparable losses to shareholders.The second is to sell the bank for some reason,which must be approved by the Bank of Uganda. |
