It will be the “most dangerous”, the “most unfair” and the “most wicked” law. These were some of the superlatives used by a section of leaders in Acholi sub-region and the team from the Gulu NGO Forum to describe the Protection of Sovereignty Bill, 2026.
Speaking at a press conference at the Northern Uganda Media Club (NUMEC) on Monday, Kilak South MP, Dr. Gilbert Olanya, said the bill is merely “political”, adding that it targets dissenting voices like opposition leaders and non-governmental organisations (NGOs).
“We are rallying people across the country to reject the bill because it not only targets opposition leaders but also affects every Ugandan,” said Dr. Olanya.
The bill, which was tabled before parliament last week by General David Muhoozi, the State Minister for Internal Affairs, aims to regulate foreign funding of entities deemed to be “agents of foreigners” by the government. The proposed law prohibits organisations from receiving over 400 million Uganda shillings (107,000 USD) in foreign funding annually without prior ministerial approval and also gives severe penalties amounting to 4 billion Uganda shillings for organisations and 2 billion Uganda shillings for individuals—or up to 20 years in prison—for receiving unauthorised foreign financial support.
The bill has since sparked widespread national debate, creating uncertainty in the development sector, fear of shutting down organisations and restricting civic sources by strictly regulating foreign funding. Critics warn the bill could label organisations or individuals as “agents of foreigners”, impose severe criminal penalties, and also halt essential services in critical sectors such as health, human rights, and environment, among others.
“The bill needs to be squashed because it is really dangerous to every Ugandan who is living abroad but having investments in the country,” added Dr. Olanya, who also doubles as the Chairperson of the parliament’s Public Accounts Committee (Local Government).
Dr. Olanya also questioned the motivation behind proposing the bill, yet the current parliament is “currently withdrawing old bills” as it prepares to be dissolved next month. (In Uganda’s parliamentary system, pending bills generally expire when a Parliament concludes its term.)
Gulu NGO Programme Associate Kenneth Lubangakene described the bill as “wicked”, cautioning that it would also affect the “welfare of Ugandans, who are relying on support from the diaspora” and also cripple Uganda’s economy by shrinking its national tax base.
“We have many people whose living expenses, like medical or education, are supported by people from the diaspora,” he says.
“This bill will also block entrepreneurs [in the diaspora] from setting up a business due to the complications of transferring start-up capital. This is so unfair.”
Amplify, lobby and issue memorandums
Mr Lubangakene added that the bill is “autocratic” since it undermines financial transactions regardless of its intent, stating that it is a “calculated effort to overthrow the 1995 Constitution by shifting power from people to the executive agencies with unchecked authority.”
He said, “The media should amplify the bill for the public to know how it affects them; the people in the diaspora who are being labelled as ‘foreigners’ must lobby international partners; human rights bodies should highlight the risks to Financial Direct Investments (FDI).”
He added: “The citizens should also organise local petitions and engage their area MPs locally; the private sector should issue joint memorandums through their associations, whereas development partners should conduct reviews of aid effectiveness and also communicate clearly that the bill creates an environment that is incompatible with international standards of cooperation, human rights and commitment to achieving Sustainable Development Goals and Vision 2023.”
Uganda receives an estimated Shs 10 trillion annually in external grants and financing, with the NGO sector alone contributing between Shs 1.5 trillion and Shs 2.5 trillion each year.
Bungatira Sub-County LCV Councillor Balington P’Ongwech noted that the proposed Sovereignty bill is being weaponised to “control Ugandans by keeping them poor” by “keeping resources in the hands of the few people in power in Uganda”.
“We all know the government is coming up with this law to silence [opposition leaders] like Bobi Wine because he is getting support from abroad, yet we already have anti-money laundering laws and the NGO Act in place,” he says.
“We should say ‘no’ to the law because it will destroy our economy. The government claims that it wants to help its citizens move to middle-income status—but how will that happen with this bill in place? It does not make any sense at all.”
