An Act to provide for the protection of the sovereignty of the
people of Uganda; to designate the Department responsible for
peace and security in the Ministry responsible for internal affairs
as the Department responsible for the implementation of this
Act; to provide for the registration and regulation of agents of
foreigners; to regulate the funding and any other assistance to
agents of foreigners and for related matters.

THE PROTECTION OF SOVEREIGNTY ACT, 2026

The Protection of Sovereignty Act, 2026 (Cap 7) is a Ugandan law designed to safeguard the country's sovereignty from foreign interference. It applies to agents of foreigners who engage in political or disruptive activities within Uganda, including representatives of embassies and consulates (subject to diplomatic privileges). The Act sets out strict rules on registration, funding declarations, and prohibited activities, with severe penalties for non-compliance.

<h3>Key Definitions</h3>
Important terms defined in Section 1 include:
<ul>
<li>Agent of a foreigner – any person acting on behalf of a foreign entity in Uganda.</li>
<li>Disruptive activities – actions that undermine public order or government functions.</li>
<li>Foreign policy – the external policy of a foreign state.</li>
<li>Foreigner – a person who is not a Ugandan citizen, or an entity not incorporated in Uganda.</li>
<li>Interest of Uganda – the collective well‑being, security, and prosperity of the people of Uganda.</li>
<li>Political activities – actions aimed at influencing government decisions, policies, or electoral processes.</li>
</ul>

<h3>Who the Act Applies To</h3>
The Act applies to any agent of a foreigner who engages in political activities to further foreign interests, including through digital platforms. It also covers representatives of embassies, high commissions, and consulates, while respecting their diplomatic privileges. However, the Act does not apply to:
<ul>
<li>Money or funding from a foreigner for regulated financial institutions, health facilities, academic research, commercial or domestic use, or faith‑based mission activities.</li>
<li>Lawful foreign direct investment, portfolio investment, diaspora remittances, trade finance, humanitarian assistance, and similar lawful inflows or outflows.</li>
</ul>

<h3>Administration of the Act</h3>
The Minister (responsible for internal affairs) provides policy guidance. The Department for Peace and Security under the Ministry of Internal Affairs handles day‑to‑day implementation. The Department must consult with other bodies such as the Ministry of Foreign Affairs. Its functions include reviewing registration applications, conducting due diligence, inspecting activities, and advising revenue and immigration authorities.

<h3>Registration of Foreign Agents</h3>
No person may act as an agent of a foreigner without being registered and holding a valid certificate from the Minister. Key steps and rights:
<ul>
<li>Application: You must submit personal details, business and residential addresses, information about the foreigner you represent, copies of agreements, and a statement of your activities (including any political activities).</li>
<li>Processing: The Department conducts inquiries within 14 days to assess your suitability (identity, criminal record, solvency, etc.). The Minister decides within 14 days after receiving the Department’s recommendation.</li>
<li>Certificate: Issued for two years and may include specific conditions.</li>
<li>Refusal: If refused, you have the right to receive written reasons within 14 days and may apply to a court for redress.</li>
<li>Renewal: Apply at least three months before expiry. You must show compliance with the certificate’s terms. The Minister must decide within 14 days, following natural justice.</li>
<li>Suspension or Revocation: The Minister may suspend or revoke your certificate only on grounds such as false information, non‑compliance, committing an offence, insolvency, or security threats. You are entitled to a fair hearing.</li>
</ul>

<h3>Prohibited Activities and Offences</h3>
The Act creates several criminal offences to protect Uganda’s sovereignty:
<ul>
<li>Promoting unadopted foreign policy (Section 10): An agent of a foreigner cannot engage in disruptive activities or solicit assistance to promote a foreign policy not approved by Cabinet. Penalty: legal entity – fine up to 100,000 currency points; individual – fine up to 50,000 or imprisonment up to 10 years (or both).</li>
<li>Foreign interference in elections (Section 11): Intentionally influencing electoral choices is an offence. Exemption for nominated Electoral Commission representatives.</li>
<li>Interfering with government operations (Section 12): Organising meetings or activities that obstruct, impair, or hinder a public officer is prohibited.</li>
<li>Economic sabotage (Section 13): Publishing false information or participating in disruptive acts that weaken Uganda’s economic system is an offence.</li>
<li>Performing reserved government functions (Section 6): Only the Government or its approved agents may perform functions listed in the Sixth Schedule of the Constitution. Foreign agents need explicit approval from the relevant agency and Cabinet, unless they hold a valid licence from a regulatory body.</li>
<li>Developing policy without Cabinet approval (Section 7): An agent who knowingly develops and implements Government policy without Cabinet approval commits an offence.</li>
<li>Hindering policy implementation (Section 8): Foreign agents cannot hinder, frustrate, or disrupt policy implementation. Prior approval from the relevant ministry and a formal undertaking are required.</li>
</ul>

<h3>Funding Declarations and Restrictions</h3>
To ensure transparency and prevent illicit financing:
<ul>
<li>Declare all funding sources (Section 21): Agents must declare the source of their funding to the Minister. A false or misleading declaration carries a fine of up to 70 currency points (approx. UGX 1.4 million) or imprisonment up to 5 years (or both).</li>
<li>Declare foreign funding over 20,000 currency points (Section 22): Financial support exceeding that amount in 12 months must be declared. Failure is an offence – legal entity: fine up to 100,000 currency points; individual: fine up to 50,000 or imprisonment up to 10 years. The money is forfeited to the State.</li>
<li>Funding for disruptive activities (Section 23): Soliciting or accepting funds intended to overthrow the government or engage in disruptive activities is an offence. Directors of legal entities also face liability.</li>
<li>Foreign funding to government bodies (Section 24): Such funding automatically becomes public funds and must be managed under the Public Finance Management Act.</li>
<li>Reporting by supervised institutions (Section 25): Before paying money to a foreign agent, an institution must ensure the agent has declared the source. Monthly reports to regulators are mandatory. Non‑compliance is an offence with a fine up to 200,000 currency points.</li>
<li>Submission of returns (Section 26): Agents must submit returns to the Minister detailing funds received and how they were used.</li>
</ul>

<h3>Inspection and Enforcement</h3>
Inspections of foreign agents can only be carried out under a court order. You must not obstruct the inspector, provide false documents, or refuse to comply. Penalty: fine up to 2,000 currency points or imprisonment up to 7 years (or both). All government ministries and agencies must cooperate fully with the Minister and Department to ensure the Act is implemented effectively.

<h3>Penalties at a Glance</h3>
<ul>
<li>Legal entities (companies, NGOs, etc.): Fines up to 100,000 or 200,000 currency points depending on the offence.</li>
<li>Individuals: Fines up to 50,000 currency points, imprisonment up to 10 years, or both.</li>
<li>Special offences: False declaration – up to 5 years; obstruction of inspection – up to 7 years.</li>
<li>A currency point is defined in the laws of Uganda – currently 1 currency point = UGX 20,000 (subject to change).</li>
</ul>

<h3>Your Rights and Duties</h3>
Every Ugandan has a duty to promote the sovereignty of the people. The Act reinforces that government actions must prioritise Uganda’s interests. If you are an agent of a foreigner, you have the right to a fair process in registration, renewal, and any suspension or revocation. You also have the right to challenge adverse decisions in court. The Minister may issue regulations to implement the Act, and these must be laid before Parliament.

For specific legal advice, consult a qualified lawyer or the Ministry of Internal Affairs.

Supervised institutions in Uganda must follow strict rules when paying money to agents of foreigners. Before any payment, the agent must declare the source of the funds and provide proof of declaration as required by section 22(1). Institutions are also required to submit a monthly report to the relevant regulator detailing any funds transferred to a foreign agent. Failure to comply with the verification requirements is a criminal offence carrying a fine of up to 200,000 currency points, which equals 4 billion Uganda Shillings. These rules aim to ensure transparency and prevent illicit financial flows through foreign agents.

Learn how supervised institutions must verify source of funds before paying foreign agents, submit monthly reports, and face fines up to 4 billion UGX for non-compliance.

Section 25: Reporting Foreign Funding and Penalties for Non-Compliance

submitting proof of declaration of funds required under
section 22 (1).

A supervised institution shall not pay out any money to an
agent of a foreigner without the agent of a foreigner—

 A supervised institution shall submit a monthly report to
the relevant regulator, relating to any funds transferred to an agent
of a foreigner through the supervised institution in accordance with
regulations prescribed by the relevant regulator.

A supervised institution that contravenes subsection (1),
commits an offence and is liable, on conviction, to a fine not exceeding
two hundred thousand currency points.

Section 25: Reporting Foreign Funding and Penalties for Non-Compliance

25.Reporting of foreign funding

Plain English Summary