President Yoweri Kaguta Museveni has officially launched Tamini General Insurance, Uganda’s first Sharia-compliant insurance firm, and called on the Muslim community to prioritise investment in commercially viable ventures as a pathway to wealth creation and poverty eradication.
Tamini General Insurance, a subsidiary of Salaam Group, is designed to offer Islamic insurance services based on Sharia principles, providing mutually beneficial risk-sharing arrangements and joint guarantees between the insurer and the insured.
Welcoming the investors, President Museveni described Uganda as a fast-growing market with vast opportunities.
“Salaam Bank and Tamini, you are welcome to Uganda. Uganda is a growing market with over 45 million people. The population will reach 100 million by 2050. You are in Uganda at the right time,” he said.
He urged Muslims to channel their resources into productive economic ventures rather than consumptive spending, emphasizing that insurance plays a critical role in safeguarding investments.
“Insurance is about preparing so that in case anything goes wrong, you have backup. When you borrow, you invest — but what if things do not go as planned? I thank Tamini Insurance for completing the cycle,” the President noted.
Support for Interest-Free Initiatives
President Museveni reiterated government commitment to interest-free wealth creation programmes such as the Parish Development Model (PDM). He clarified that the 6 percent annual charge attached to PDM funds is meant to control inflation and ensure sustainability of the revolving fund.
“We should work to eliminate poverty by getting everyone out of poverty. PDM will help to ensure the remaining 30 percent of Ugandans also get out of poverty,” he said.
The President also directed PDM management committees to adopt a matrilineal approach when selecting beneficiaries.
He explained that tracing kinship through the female line would promote inclusion, particularly in polygamous and women-led households, compared to the traditional patrilineal system that may exclude some families.
He further commended women for their strong participation in economic activities and pledged to increase financial support to Muslim women’s groups from Shs2 billion to Shs20 billion.
Expanding Financial Inclusion
Tamini Insurance Group CEO, Mr. Mohamed Bahdon, outlined three operational pillars for the company in Uganda: ethical investment, transparent oversight, and collective participation.
He said the firm aims to expand financial inclusion through affordable Sharia-compliant insurance products aligned with Uganda’s Vision 2040.
“A farmer who accesses Halal financing from Salaam Bank to grow his crop can now insure that crop through Tamini. This will result in Uganda’s economic transformation from a consuming nation into a producing nation,” Bahdon said.
The Chief Executive Officer of the Insurance Regulatory Authority, Alhaji Ibrahim Kaddunabbi Lubega, revealed that Uganda’s insurance sector has grown to over Shs2 trillion in gross written premiums and is expected to expand further with the introduction of Islamic insurance.
He noted that the global Sharia-based insurance market is currently valued at USD 36.6 billion and is projected to surpass USD 75 billion by 2033, presenting significant growth opportunities for Uganda.
Hajjat Namyalo said Tamini will pay special attention to underserved groups, particularly players in the informal sector such as market vendors and communities in disaster-prone areas.
Meanwhile, Sheikh Muhammad Yunus Kamoga, a leader in the Tabliq Muslim sect, thanked President Museveni for what he described as his continued support and pardons extended to Muslims who had previously fallen afoul of the law.
He also appealed for clemency for two prominent Muslims currently under detention.
The launch of Tamini General Insurance marks a significant milestone in Uganda’s financial sector, introducing Sharia-compliant risk management solutions aimed at broadening access to insurance and strengthening economic participation among Muslim communities.