KAMPALA.The World Bank Group has warned Parliament that the draft Protection of Sovereignty Bill if enacted into law will criminalise core development work and disrupt the operations of international institutions.
In a formal submission to Parliament dated April 23, the World Bank Group said provisions in the Protection of Sovereignty Bill, 2026 risk capturing routine activities such as policy dialogue, research publication and stakeholder engagement — functions central to its mandate.
“A significant concern is that the Bill criminalizes conduct that closely aligns with the WBG’s core work,” the institution said, pointing to clauses that penalise efforts to “influence the development of policy” or organise meetings that promote positions not yet adopted by government.
The Bank warned that such provisions could extend to ordinary engagements between government and development partners, including conferences, consultations and technical discussions on policy options.
According to the submission, individuals could face fines or imprisonment of up to 20 years, while organisations risk financial penalties, for activities that fall within standard development cooperation.
The Bank also raised concerns about provisions that could interpret publication of economic assessments — including fiscal analysis, creditworthiness reviews and governance reports — as actions that “weaken” Uganda’s economic standing.
“These could be perceived… as ‘weakening or causing insecurity’ with respect to Uganda’s economic standing,” the submission noted, referencing clauses in the Bill.
The World Bank Group actively supports Uganda through the International Development Association (IDA), with a portfolio exceeding $4 billion as of late 2025 focusing on sustainable infrastructure, agriculture, and social protection.
Key initiatives include the $540 million Uganda Cities and Municipalities Infrastructure Development (UCMID) program to enhance urban services and climate-smart projects.
The bank also recently promised to provide funding for the standard gauge railway project.
Legal implications
While affirming Uganda’s sovereign right to legislate, the World Bank cautioned that the Bill does not adequately distinguish between international organisations operating under treaty obligations and other foreign actors.
“The Bill… could materially affect how the World Bank Group — and other multilateral development banks — operate in Uganda,” it said, urging Parliament to clarify the scope and ensure alignment with international obligations.
The institution highlighted its legal immunities under international agreements, including protections from legal process and taxation, warning that the Bill in its current form could conflict with those frameworks.
The submission adds weight to earlier criticism by Kampala-based lawyer Dominic Adeeda, who accused the Bill’s chief defender, Attorney General Kiryowa Kiwanuka, of presenting an idealised version of the law that diverges from its actual text.
Adeeda argued that the legislation grants excessive ministerial discretion, duplicates existing offences and creates jurisdictional confusion among state agencies.
“It is overly broad and vague… an open invitation to arbitrary and unrestrained administration,” he said in a recent critique.
Debate sharpens
The Attorney General, in a newspaper commentary earlier this week, defended the Bill as necessary to regulate foreign influence, safeguard national security and strengthen accountability, citing gaps in existing laws governing NGOs and foreign funding.
But the emerging pushback from both legal practitioners and a major multilateral lender underscores the stakes of the legislation, which could reshape Uganda’s engagement with donors, investors and civil society.
Parliament now faces a delicate balancing act: preserving national sovereignty while maintaining investor confidence and compliance with international commitments.
The Bill is currently before a joint parliamentary committee for scrutiny, with stakeholders expected to submit further views before it returns to the House for debate.