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Ease of Doing Business in

Uganda

Uganda Download Profile (1776.3KB, pdf)
Region Sub-Saharan Africa
Income Category Low income
Population 39,032,383
GNI Per Capita (US$) 670
City covered Kampala

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 115 116 up
1
57.77 57.10 down
0.67
Starting a Business 165 162 down
3
71.30 69.26 up
2.04
Dealing with Construction Permits 151 153 up
2
57.19 56.42 up
0.77
Getting Electricity 161 168 up
7
44.78 42.61 up
2.17
Registering Property 116 118 up
2
55.81 55.38 up
0.43
Getting Credit 44 42 down
2
65.00 65.00
-
Protecting Minority Investors 106 101 down
5
50.00 50.00
-
Paying Taxes 75 76 up
1
74.71 74.18 up
0.53
Trading across Borders 136 141 up
5
58.90 57.78 up
1.12
Enforcing Contracts 64 63 down
1
60.60 60.60
-
Resolving Insolvency 111 104 down
7
39.40 39.80 down
0.40

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank: 116

DB 2016 Rank: 118

Change in Rank: up2

DB 2017 DTF (% points): 55.81

DB 2016 DTF (% points): 55.38

Change in DTF (% points): up0.43

Standard Property Transfer
Property value: UGX 92,896,585
City: Kampala
Indicator Uganda Sub-Saharan Africa OECD high income
Procedures (number) info_outline 10.0 6.2 4.7
Time (days) info_outline 42.0 59.7 22.4
Cost (% of property value) info_outline 2.6 8.0 4.2
Quality of the land administration index (0-30) info_outline 10.5 8.4 22.7
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Request a search and obtain Consent form to transfer at the Registry of Lands

    Agency: Registry of Lands

    The process starts by requesting a search of the property in the Registry of Lands. The requester has to fill out a form indicating the details of the property to be searched. The Registry gives a Bank Advice Form (BAF) with the amount to be paid, which one takes to the bank to pay in full. The Consent Form has a dual purpose, because it is the same form that is used for the payment of taxes, so even in instances where the land is owned in freehold and there is no need to obtain consent to transfer, the same form will be used to determine tax payments owed and to make payment.
    1 day paid in procedure 2
    2

    Pay Search Fee and Stamp Duty at designated Commercial Bank

    Agency: Commercial Bank

    To facilitate the official fees payment process, the government now allows citizens to pay at one of the designated pool of commercial banks. For every procedure in which fees are paid, one first begins the procedure at the land registry, obtains a Bank Advice Form (BAF) there with the amount due, takes the BAF to the bank, pays that amount plus bank fees, and obtains a receipt that will later be presented again at the land registry to complete the procedure. Because all official fees are now paid at more than one bank, citizens do not need to pay and come back the following day to obtain the receipt.
    1 day UGX 25,000 (UGX 10,000 search fee + UGX 2,500 bank fee, UGX 10,000 Consent fee + UGX 2,500 bank fee)
    3

    Conduct a search at the Registry of Lands

    Agency: Registry of Lands

    Parties conduct a search at the Registry of Lands. The receipt of payment of the search fee from the bank must be presented. At this time one also picks up the consent to transfer application.
    4-7 days paid in procedure 2
    4

    Lawyer drafts sale agreement

    Agency: Lawyer

    It is not mandatory to use a lawyer to draw up the sale agreement or conduct the transaction, but in our case it would be common practice.
    1 day 1% - 2% property value (to conduct entire transaction)
    5

    Valuation of property for transfer purposes by Chief Government Valuer's Office

    Agency: Chief Government Valuer office

    A government valuer will determine the value of the property for transfer purposes and for assessing and paying stamp duty. The Government Valuer does not necessarily physically visit the property that he/she is allocated to value. That office has approximated values of properties in the different parties of the city on which the valuers base their valuation for tax purposes
    2 weeks no cost
    6

    Obtain assessment form for payment of stamp duty from Uganda Revenue Authority

    Agency: Uganda Revenue Authority

    Once the Chief Government valuer has given his consent on the cost, the file is taken to the Uganda Revenue Authority, where an assessment form for Stamp duty is provided. At that time, the name of the designated bank will be provided.
    2-3 days no cost
    7

    Payment of stamp duty at the designated commercial bank

    Agency: Commercial Bank

    Stamp duty must be paid at the commercial bank before registration. To control the revenue from official fees, the government now requires that they be paid only at the commercial bank. In the first instance there is an assessment form which is taken to the bank and payment is made. The Bank will inform the Uganda Revenue Authority that payment has been received. There is a reconciliation process between the Bank and the Uganda Revenue Authority which can take up to 3 days.
    3-5 days 1% of property price (of the government’s valuation)
    8

    Obtain assesment of registration fee

    Agency: Registry of Lands at Kampala Capital City Authority

    The sale agreement is given to the Kampala Capital City Authority for assessment of Registration Fee. An assessment form is given providing the amount to the paid for Registration Fees. This form will also provide the name of the designated bank where payment is to be made.


    The documentation shall include:

    Signed sale agreement (obtained in Procedure 4)

    Receipts of stamp duty payment (obtained in Procedure 7)

    Companies’ resolutions to buy and sell

    1 day no cost
    9

    Payment of registration fee at the designated commercial bank

    Agency: Commercial Bank

    Registration fees must be paid in a designated commercial bank to continue with the registration process. Parties must pay: UGX 22,500 (UGX 20,000 in fees + 2,500 bank fee) + UGX 20,000 (registration of companies' resolutions).
    1 day UGX 22,500 (UGX 20,000 in fees + 2,500 bank fee) + UGX 20,000 (registration of companies' resolutions)
    10

    The transfer documents are lodged at the Registry of Lands

    Agency: Registry of Lands

    The transfer documents lodged at the Registry of Lands, where they will be transmitted to the Registrar who will pass the Instrument of Transfer. The file goes to typing and is then sent to the Commissioner in charge of land registration for verification. The registrar cancels out the old owner in handwriting and signs against the new owner. The buyer and seller must now provide a passport size photograph.


    The documentation shall include:

    Receipts of payment for registration fees (obtained in Procedure 9=

    Photo ID of both Seller and Buyer

    Owner's copy of the title


    The Land Registry is currently undergoing a file digitization process. This involves scanning all paper files and creating a computer database. This may sometimes reduce the speed of transactions, where a necessary file is unavailable to the parties.
    7-15 days (already paid at the bank)

  • Measure of quality
    Answer Score
    Quality of the land administration index (0-30) 10.5
    Reliability of infrastructure index (0-8) 3.0
    What is the institution in charge of immovable property registration? Department of Land Administration, KCCA (Kampala Capital City Authority)
    In what format are the majority of title or deed records kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Computer/Scanned 1.0
    Is there an electronic database for checking for encumbrances (liens, mortgages, restrictions and the like)? No 0.0
    In what format are the majority of maps of land plots kept in the largest business city—in a paper format or in a computerized format (scanned or fully digital)? Paper 0.0
    Is there an electronic database for recording boundaries, checking plans and providing cadastral information (geographic information system)? No 0.0
    Is the information recorded by the immovable property registration agency and the cadastral or mapping agency kept in a single database, in different but linked databases or in separate databases? Different databases but linked 1.0
    Do the immovable property registration agency and cadastral or mapping agency use the same identification number for properties? Yes 1.0
    Transparency of information index (0–6) 3.5
    Who is able to obtain information on land ownership at the agency in charge of immovable property registration in the largest business city? Anyone who pays the official fee 1.0
    Is the list of documents that are required to complete any type of property transaction made publicly available–and if so, how? Yes, online 0.5
    Link for online access: http://mlhud.go.ug/faqs/
    Is the applicable fee schedule for any property transaction at the agency in charge of immovable property registration in the largest business city made publicly available–and if so, how? Yes, online 0.5
    Link for online access: http://mlhud.go.ug/department-of-land-registration/
    Does the agency in charge of immovable property registration commit to delivering a legally binding document that proves property ownership within a specific time frame–and if so, how does it communicate the service standard? Yes, online 0.5
    Link for online access: http://mlhud.go.ug/department-of-land-registration/
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the agency in charge of immovable property registration? No 0.0
    Are there publicly available official statistics tracking the number of transactions at the immovable property registration agency? No 0.0
    Number of property transfers in the largest business city in 2015:
    Who is able to consult maps of land plots in the largest business city? Only intermediaries and interested parties 0.0
    Is the applicable fee schedule for accessing maps of land plots made publicly available—and if so, how? Yes, online 0.5
    Link for online access: http://mlhud.go.ug/lands-managment/department-of-surveys-and-mapping/
    Does the cadastral or mapping agency commit to delivering an updated map within a specific time frame—and if so, how does it communicate the service standard? Yes, online 0.5
    Link for online access: http://mlhud.go.ug/lands-managment/department-of-surveys-and-mapping/
    Is there a specific and separate mechanism for filing complaints about a problem that occurred at the cadastral or mapping agency? No 0.0
    Geographic coverage index (0–8) 0.0
    Are all privately held land plots in the economy formally registered at the immovable property registry? No 0.0
    Are all privately held land plots in the largest business city formally registered at the immovable property registry? No 0.0
    Are all privately held land plots in the economy mapped? No 0.0
    Are all privately held land plots in the largest business city mapped? No 0.0
    Land dispute resolution index (0–8) 4.0
    Does the law require that all property sale transactions be registered at the immovable property registry to make them opposable to third parties? Yes 1.5
    Is the system of immovable property registration subject to a state or private guarantee? Yes 0.5
    Is there a specific compensation mechanism to cover for losses incurred by parties who engaged in good faith in a property transaction based on erroneous information certified by the immovable property registry? No 0.0
    Does the legal system require a control of legality of the documents necessary for a property transaction (e.g., checking the compliance of contracts with requirements of the law)? Yes 0.5
    If yes, who is responsible for checking the legality of the documents? Registrar; Lawyer; Interested Parties.
    Does the legal system require verification of the identity of the parties to a property transaction? Yes 0.5
    If yes, who is responsible for verifying the identity of the parties? Lawyer; Interested Parties.
    Is there a national database to verify the accuracy of identity documents? No 0.0
    For a standard land dispute between two local businesses over tenure rights of a property worth 50 times gross national income (GNI) per capita and located in the largest business city, what court would be in charge of the case in the first instance? The High Court of Uganda-Land Division
    How long does it take on average to obtain a decision from the first-instance court for such a case (without appeal)? Between 2 and 3 years 1.0
    Are there any statistics on the number of land disputes in the first instance? No 0.0
    Number of land disputes in the largest business city in 2015:
    Equal access to property rights index (-2–0) 0.0
    Do unmarried men and unmarried women have equal ownership rights to property? Yes 0.0
    Do married men and married women have equal ownership rights to property? Yes 0.0