President Yoweri Museveni has assented to three Bills that will regulate the construction, financing and valuation of the housing sector.
The President assented to the Building Control (Amendment) Bill, the Mortgage Refinancing Institutions Bill and the Valuation Bill.
The Building Control (Amendment) Act, 2025, will provide for the composition of the Board and its powers, the composition of Building Committees, and the streamlining of the procedure for the approval of building permits and occupational permits.
The law will, in particular, align the composition of the Board and the Building Committees, increase the penalty for persons who carry out building operations without a valid building permit issued by a Building Committee and streamline the procedure for approval of building permits and occupation permits where the Building Committee fails to make a decision on an application for a building permit or occupation permit.
The Mortgage Refinancing Institutions Act will regulate the establishment of mortgage refinancing institutions, provide for the functions of the Central Bank in relation to mortgage refinance business, provide for the conduct of mortgage refinance business and provide for corrective actions and liquidation.
The law will require mortgage refinance institutions to provide long-term funding to primary mortgage lenders by re-financing or pre-financing mortgage portfolios for a long period of time of at least five years.
This will enable primary mortgage lenders to offer mortgages to the public at more affordable interest rates, manageable payment instalments, Iong-term payment durations and extending to borrowers, a grace period prior to repayment of the loan.
Thus, the law will lead to increased access to financing for primary mortgage lenders that, in the long term, will have an effect of facilitating affordable housing in Uganda.
The Valuation Act, on the other hand, provides for the Office of the Chief Government Valuer to undertake statutory valuations to establish the Institute of Certified Valuers of Uganda and the Council as its governing body, to provide for membership of the institute to regulate practicing valuation and for a Professional Code of Ethics for certified valuers and practicing valuers.
The law also stipulates offenses and penalties relating to valuation, general rules of valuation, including purposes of valuation and valuation standards.
The Valuation Act, therefore, seeks to develop and implement a comprehensive regulatory framework for the valuation function in Uganda that will yield professionalised valuers who are well-regulated to provide quality valuation services.
