What You Need To Know About Islamic Banking And Why The Uganda Clergy Got It All Wrong

Uganda has joined a growing number of African countries including Kenya, Tanzania, Nigeria, South Africa and the predominantly Muslim North Africa that have embraced the centuries-old system of Islamic banking also known as Halal banking in some circles. According to the World Bank, Islamic banking has also seen an upsurge in other non-Muslim countries such as the UK, Luxembourg and Hong Kong.

The Uganda Parliament amended the Financial Institutions Act [ PDF : Section 115A] and introduced Islamic banking in January 2016 along with a Central Shari’ah Advisory Board in the Central Bank to regulate banks providing Islamic banking services. A cross section of Christian leaders immediately voiced their opposition to this amendment. An excerpt from a letter addressed to the President of Uganda and signed by Arch Bishop of Church of Uganda Stanley Ntagali as chair of the Uganda Joint Christian Council reads as follows:

“ We regret to note that the introduction of Sharia law in the country opens door to the ultimate operationalisation of fully-fledged Sharia not only in the finance sector as contained in the bill but in all aspects of our national life,” “ [Islamic banking would create a] legal stalemate with the Constitution of Uganda” and that all under this arrangement, all Muslims might be compelled to use only Islamic banking which may deny them the right to freedom of choice .” ~ theObserver

The church leaders further claimed that Islamic banking “creates two parallel financial and economic systems for the population of Uganda; for the Muslims, in conformance to the Sharia law, and the non-Muslims which will promote economic discrimination, and will widen the already-existing income inequalities in the population”.

We decided to do a bit of research so that we can fully understand what exactly Islamic banking is and why the Clergy appear to have such a strong objection to such a system in Uganda. Is the inclusion of the words ‘Islamic’ and ‘Sharia’ the root cause of this vehement aversion to Islamic banking or do clergy’s claims hold some water after all? This is what we found:

Islamic Banking

Dubai Islamic Bank founded in 1975: The first fully-fledged Islamic Bank. Image: Glassdoor

Islamic banking refers to a system of banking or banking activity that is consistent with the principles of the Shari’ah Islamic rules on transactions -known as Fiqh al-Muamalat- which principles emphasise moral and ethical values in all dealings. Shari’ah prohibits the payment or acceptance of interest charges for the lending and accepting of money, as well as carrying out trade and other activities that provide goods or services considered contrary to its principles.

How Islamic banking works

While currently not as profitable as conventional banking, Islamic banking is a global industry worth an estimated $2 trillion with Iran holding almost half of the world’s assets. The Islamic approach to banking differs from conventional banking in a number of ways. To begin with, no interest is charged and in adherence to Islamic practices, it’s haram (forbidden) to invest in businesses such as gambling, and pornography.

For the case of mortgages, rather than lend lend money to buy a property, the bank buys the property outright and the client pays for it in installments but at a higher price ( Murabaha ). The client can also pay monthly payments and rent to the bank until he owns the property.

Other products include Sukuk where the bank lends money and thus owns a certain share of whatever venture the money was used to get into. Pay back is derived from profits until the Sukuk expires and the client buys back the shares from the bank. A similar product known as Mudharaba is similar to a venture capital fund where the Islamic bank provides the funds and the client the entrepreneurship. On the other hand, the Musharaka model involves all parties concerned contributing capital to start a venture from which they will share the profits accrued. The partnership ends when other parties pay back the bank investment in the venture.

In Islamic banking, profit and loss is equally shared by both the businessman and the bank which is also reversely true for profits accrued. In this regard, Islamic banking is considered to be the middle ground between Marxism -the political, economic, and social principles and policies advocated by Marx, notably the theory and practice of socialism- and Capitalism -an economic and political system in which a country’s trade and industry are controlled by private owners for profit, rather than by the state.

The Uganda Clergy shot themselves in the mouth by stating that Islamic banking would in effect deny Muslims freedom of choice as they would be compelled to use only that system of banking. One would reason that writing a letter opposing Islamic banking on those grounds does in fact deny Ugandans, both Muslim and non-Muslim the freedom to choose for themselves which banking system they would better feel comfortable with. Furthermore, it would contravene rules of the Constitution not to cater for this provision.

Embracing Islamic banking needs a bit of open mindedness. A common misconception is that Islamic banking only caters for Muslims which is not true at all. Everyone is welcome. Perhaps Islamic banking would be better understood as a halal way of banking much like the widely acceptable halal food preparation guidelines.

Our readers should note that during the economic meltdown that sent shock waves across the globe, those banks following Sharia guidelines were largely unaffected simply because they don’t engage in speculation. The principles which govern this banking system appear to be sound.

Sydney Mugerwa is a seasoned consumer tech writer based in Kampala, Uganda, with a passion for reviewing the latest gadgets and smart devices. From smartphones and wearables to smart home products and cameras, Sydney breaks down the complexities of consumer tech, making it easy to understand through detailed reviews and how-to guides. His mission is to simplify tech jargon and help readers make informed decisions in the ever-evolving world of technology.

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Talkio Mobile , Uganda’s newest telecommunications service provider, is excited to announce a groundbreaking partnership with Banana Life Investments, a leading chain of mobile phone and retail shops. This strategic alliance aims to bring Talkio’s innovative telecom services closer to Ugandans.

This collaboration will leverage Banana Life Investments’ extensive retail network of 26 stores strategically located across Uganda in major malls, towns, and cities to provide customers with unparalleled convenience. Through this partnership, Talkio Mobile will offer its full suite of services, including SIM cards, airtime, and exclusive product offerings at any Banana Life Investment location.

This partnership is more than a business initiative—it’s a shared commitment to transforming lives. By integrating Talkio Mobile’s forward-thinking services & nationwide reach with Banana Life Investments’ retail footprint, the two brands are setting a new standard for customer convenience and inclusivity.

READ ALSO: 5 Things You Need to Know About Talkio Mobile: New Telecom Company in Uganda

“This partnership aligns perfectly with our mission of connecting Ugandans to innovative and transformative telecom solutions,” said Vianne Allan Ahura, CEO of Talkio Mobile. “By leveraging Banana Life Investments’ trusted presence and nationwide footprint, we are not only expanding our agent network but also bringing our services closer to the communities we serve. This collaboration ensures that our online customers can now enjoy a seamless offline experience right at their doorstep. Together, we are empowering Ugandans with the tools they need to stay connected, grow their businesses, and unlock new opportunities.”

Solomon Ssemuyaba, the assistant general manager at Banana Life Investments, echoed this sentiment: “We are proud to join hands with Talkio Mobile to deliver innovative, customer-centric solutions. This partnership represents our shared vision of fostering a connected future for Uganda. Together, we are redefining what convenience and accessibility mean for our customers.”

The partnership goes beyond retail distribution, introducing joint initiatives aimed at value addition and personalized service. Customers can expect seamless access to:

• SIM Card Sales : Available at all Banana Life Investments locations.
• Talkio phone number bookings : Book your preferred Talkio number at any Banana Life Investments location.
• Airtime Services : Recharge easily through in-store purchases.
• Customer Support : Friendly and knowledgeable staff trained to assist with Talkio Mobile products and services.

Additionally, the two companies plan to launch promotional campaigns and expand services to even more locations, ensuring no Ugandan is left behind in the digital transformation.

Solomon Obwot is a tech writer based in Kampala, Uganda, with extensive experience in the local tech startup ecosystem. He covers the latest news and analysis on consumer tech, writes in-depth smartphone reviews, and conducts insightful interviews with industry experts. Solomon is also a passionate podcaster, sharing his knowledge and engaging in discussions about Africa’s rapidly growing tech landscape. Send emails to [email protected]

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The Mobile World Congress (MWC) Barcelona , the world’s largest exhibition for the mobile industry, has just concluded. This annual event gathers leading technology brands to unveil groundbreaking mobile, AI, and digital solutions innovations. At MWC 2025, TECNO showcased a range of AI-driven products, reinforcing its commitment to cutting-edge technology.

The key launches included:

• CAMON 40 Series – AI-powered smartphones with One-Tap FlashSnap and advanced mobile imaging features.
• MEGABOOK S14 – The world’s lightest 14-inch OLED laptop, featuring AI-enhanced multitasking and Snapdragon® X Elite.
• MEGABOOK T14 Air & K15S – Lightweight ultrabooks with AI capabilities and extended battery life.
• TECNO AI Glasses Series – Smart eyewear integrating AI imaging, translation, and AR display.

Jan Stryjak, Associate Director at Counterpoint Research, shared, “In the past year, we have observed significant advancements in the field of AI. AI will continue to drive transformative changes in our daily lives. In this critical period for the economic development of emerging markets, TECNO’s AI technologies are unlocking potential for diverse needs.”

“The application of AI technologies is crucial and urgent in emerging markets. We’re committed to bridging the digital gap between emerging and mature markets,” said TECNO CMO, Laury Bai. “TECNO is taking a practical approach to make AI more accessible, ensuring users in emerging markets can access AI and cutting-edge technologies.”

Laury Bai, TECNO CMO

Driven by its commitment, TECNO has forged a robust partnership with MediaTek, establishing a joint AI laboratory dedicated to accelerating advancements in AI. At the event, James Chen, Vice President of Product and Technology Marketing at MediaTek, emphasized, “The synergistic R&D efforts between TECNO and MediaTek are set to democratize AI technology. Our collaboration powers a seamless, interconnected AI experience, bringing users a future of truly connected intelligence.”

James Chen, Vice President, Product and Technology Marketing at MediaTek

CAMON 40 Series Powered by AI One-Tap FlashSnap Revolutionizes Smartphone Snapshot Photography

TECNO’s Global Product Launch Officer, Olivier Mas, officially unveiled TECNO’s next-generation AI-driven products. Attendees at TECNO’s launch event witnessed the highly anticipated debut of TECNO’s new CAMON 40 Series, a device that embodies TECNO’s legacy of excellence in mobile imaging. Featuring One-Tap FlashSnap Mode and TECNO AI, the series sets a new benchmark in smartphone photography, delivering exceptional snapshot capabilities and AI-enhanced user experiences.

Olivier Mas, TECNO Global Product Launch Officer

The CAMON 40 Series exemplifies a commitment to innovation that transcends hardware and software, extending into strategic partnerships that deliver cutting-edge AI solutions to emerging markets. Matt Waldbusser, Managing Director of Global Solutions and Consumer AI at Google Cloud, remarked, “Our collaboration with TECNO on the CAMON 40 Series is a standout example. Leveraging Google Cloud’s capabilities, we’ve introduced groundbreaking features such as Ask Ella, AI Image Generator, AI Writing, and AI Translate. I am particularly impressed by the industry-leading and competitive edge of some of these innovations. For instance, TECNO’s AI supports text translation in 136 languages, voice translation in 44 languages, and photo translation in 51 languages. We are excited to further strengthen our partnership with TECNO, unlocking limitless potential to bring advanced yet practical AI capabilities to emerging markets in a convenient and secure manner.”

Matt Waldbusser, Managing Director of Global Solutions and Consumer AI at Google Cloud

The CAMON 40 Series’ innovative One-Tap FlashSnap leverages AI to enhance imaging capabilities, revolutionizing mobile photography. AI optimizes camera startup and continuous shooting for instant captures, while AI-powered multi-frame processing intelligently reduces noise and enhances details, delivering sharper, more refined images. Additionally, the BestMoment algorithm analyzes motion patterns, automatically selecting the optimal frames for precise, high-quality shots in dynamic scenarios, ensuring users an unparalleled mobile imaging experience.

TECNO CAMON 40 Demonstrates the Cutting-Edge FlashSnap Capability

To delve deeper into the imaging prowess of the CAMON 40 Series, TECNO invited Frédéric Guichard, CEO of DXOMARK, to share the image performance of CAMON 40 Pro. Frédéric highlighted, “The CAMON 40 Pro 5G has demonstrated exceptional imaging and performance capabilities in our rigorous evaluations. We’ve been particularly impressed with photo performance being the best for devices under 600$, and the 1st eligible device to our Smart Choice Label.”

Onsite photo of Frédéric Guichard, CEO of DXOMARK

Beyond its advanced rapid-capture functionality, the integration of TECNO AI further enhances the device’s capabilities. Intelligent imaging, a 360° AI Call Assistant, and productivity tools elevate creativity and efficiency. Powered by MediaTek’s latest chipsets, the series ensures smooth performance, fast processing, and extended battery life. With a sleek, durable, and water-resistant design, it seamlessly blends style with practicality for modern users.

MEGABOOK S14, the World’s Lightest 14-inch OLED Laptop, Inspires Creators and Game Lovers

The MEGABOOK S14 is TECNO’s first OLED laptop and the industry’s lightest 14-inch OLED laptop, featuring a 2.8K OLED display and incredibly weighing only 899g (31.7oz). The laptop is equipped with the outstanding power of the Snapdragon® X Elite compute platform, the flagship chipset for AI PCs from Qualcomm Technologies, and integrates TECNO’s world’s first self-developed edge-side large-scale AI model, to achieve AI-enhanced multitasking.

World’s Lightest 14-inch Laptop MEGABOOK S14

Specifically designed for next-gen AI productivity, TECNO AI enhances the Ella AI Assistant, AI-powered PPT generation, AI-driven image search, smart albums, and offline meeting transcription with multilingual support. The External Graphics Dock, equipped with a powerful NVIDIA graphic card, delivers scalable, high-performance capabilities for design, gaming, and content creation. The laptop’s 2.8K OLED display with a 120Hz refresh rate ensures exceptional visuals, while DTS:X Ultra dual 2W speakers, Wi-Fi 6E, fingerprint login, and PC Manager optimize connectivity and user experience.

TECNO’s strategic partnership with Qualcomm Technologies was a highlight of the TECNO AI Ecosystem Product Launch event, demonstrating a shared vision for the future of AI PCs. Kedar Kondap, SVP & GM of Compute and Gaming at Qualcomm, took the stage to discuss the integration of Qualcomm’s cutting-edge PC chipset into the new MEGABOOK S14 laptop, underscoring TECNO’s commitment to delivering high-performance computing solutions.

Kedar Kondap, SVP & GM of Compute and Gaming at Qualcomm

In addition, TECNO also introduced several standout new products. The featherlight 999g (35.2oz) ultrabook MEGABOOK T14 Air, features high-speed storage and LPDDR5 memory, while the ultra-thin, all-metal MEGABOOK K15S, equipped with a powerful 70Wh battery and supported by a 65W PD GaN charger, offers a smarter and more long-lasting user experience. Both devices are empowered by TECNO AI with advanced AI capabilities such as AI Album and AI Voice Assistant, making them perfect companions for all aspects of life.

The Next Game-Changing Tech Innovation: See the World with the TECNO AI Glasses Series

TECNO’s new AI Glasses Series also took center stage with the introduction of TECNO AI Glasses Pro and TECNO AI Glasses, reimagining eyewear with cutting-edge imaging, intelligent interactions, and a sleek aesthetic. The TECNO AI Glasses feature an aviator design, while the Pro model showcases a browline style, both embodying timeless elegance and modern fashion.

TECNO AI Glasses Redefine the Way People See the Future

Equipped with a 50MP high-definition camera, the series integrates an OV50D sensor, a 100° ultra-wide-angle custom lens, and an AI ISP imaging chip, forming a mobile-grade imaging system. This system lets users capture stunning, high-resolution photos with advanced AI noise reduction and HDR capabilities. With real-time translation supporting over 100 languages, TECNO AI’s Ella empowers accurate translation even for less common languages, as well as voice control, AI-powered object recognition, and intelligent information summaries for ultimate convenience.

Additionally, the AI Glasses Pro features a MicroLED display with 7th-gen resin waveguide technology, offering a 30° field of view, over 1,500 nits of brightness AR display, and a lightweight, ultra-thin design. The AR display allows users to effortlessly enjoy features like translation display, navigation, information prompts, and teleprompting.

Equipped with a 250mAh battery, these glasses offer over 11 hours of music playback and 8 hours of mixed use with just 30 minutes of charging. An advanced ultra-linear speaker, bass enhancement, and spatial sound deliver an immersive audio experience, while Wi-Fi 6 and Bluetooth 5.4 ensure seamless connectivity.

With these innovative launches, TECNO is setting new standards in mobile imaging and AI-enhanced technology, shaping a more connected and empowered future for consumers in emerging markets. Once again, TECNO has showcased its cutting-edge innovation on the global stage at MWC. With the brand essence of “Stop at Nothing”, TECNO’s relentless pursuit of innovation is making AI-powered technology more accessible, allowing consumers to experience the future ahead of time.

Solomon Obwot is a tech writer based in Kampala, Uganda, with extensive experience in the local tech startup ecosystem. He covers the latest news and analysis on consumer tech, writes in-depth smartphone reviews, and conducts insightful interviews with industry experts. Solomon is also a passionate podcaster, sharing his knowledge and engaging in discussions about Africa’s rapidly growing tech landscape. Send emails to [email protected]

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