Uganda’s financial services industry is poised for a significant shift with the launch of Tamini Insurance Company, the country’s first dedicated Islamic insurance provider, scheduled for March 3, 2026, at Millennium Park in Lugogo.
The event will be officiated by President Museveni and will feature a grand Iftar dinner for fasting Muslims, bringing together business leaders, government officials, and members of the public during the holy month of Ramadan.
The announcement was made during a press conference at the Office of the National Chairman (ONC) in Kyambogo, where officials outlined Tamini’s vision of expanding financial inclusion through Sharia-compliant insurance solutions.
Speaking at the briefing, ONC Manager Hadijah Namyalo Uzeiye welcomed the partnership between Tamini Insurance and Salaam Bank, describing it as consistent with the office’s Ramadan outreach programs aimed at supporting low-income earners and small-scale entrepreneurs.
“As the Office of the National Chairman, we engage vulnerable communities during Ramadan. This time, we are focusing on empowering low-income earners through risk protection,” Namyalo said.
She noted that Uganda’s insurance penetration rate remains low, estimated at about one percent, limiting financial resilience for households and businesses.
“We want to move insurance uptake from one percent to at least three or five percent by creating awareness, especially among ordinary Ugandans who form the majority,” she added.
Namyalo emphasized that insurance is not limited to specific groups, but is a universal financial safeguard.
“You can insure your business, your property, even your family. When disasters happen, they affect us as Ugandans, not as Muslims alone,” she said, underscoring the inclusive nature of Islamic insurance.
A Historic Entry into Uganda’s Market
Tamini Insurance Chief Executive Officer Mohamud Omar described the company’s entry into Uganda as a milestone in the evolution of ethical finance.
“We were officially licensed by the Insurance Regulatory Authority of Uganda as the country’s first dedicated Islamic insurance provider,” Omar said.
He explained that Tamini is part of the Salama Group, a regional player in ethical and Sharia-compliant financial services across East Africa and the Horn of Africa.
Tamini operates as a sister company to Salaam Bank, Uganda’s first Islamic bank, forming what Omar described as a comprehensive ecosystem of Sharia-compliant financial services. Although newly established in Uganda, the company brings regional experience, with established operations in Djibouti and Kenya.
Omar explained that Tamini will operate under the takaful model — an Islamic insurance framework rooted in mutual assistance and shared responsibility.
“Unlike conventional insurance, takaful is built on community participation where members contribute to a common pool that supports participants during times of need,” he said.
Under this structure, policyholders become participants in a shared risk fund managed by the company. Contributions are invested strictly in halal and socially responsible ventures. Any surplus generated from the fund is redistributed among participants, rather than retained solely as corporate profit.
“Our role is to manage the pool on behalf of the community. The funds belong to the participants,” Omar added.
He noted that the company aims to serve communities that have historically avoided conventional insurance products due to concerns about riba (interest) and non-Sharia-compliant investments.
“For a long time, many Muslims stayed away from insurance because of issues related to riba. We are providing peace of mind without compromising beliefs,” he said.
Officials say the introduction of Islamic insurance is expected to complement the growth of Islamic banking services in Uganda, strengthening the country’s financial architecture while supporting entrepreneurship and economic stability.
With President Museveni expected to officially unveil the company at next week’s ceremony, stakeholders describe the launch as a landmark development in Uganda’s insurance and banking sectors — one that could help widen access to financial protection and deepen inclusion across the country.
