• Contact Us
  • About Us
  • Advertise
  • Donate
  • Login
Watchdog Uganda
  • Home
  • News
    • National
    • Politics
    • World News
    • Media Outreach Newswire
    • Africa News
    • Tourism
    • Community News
    • Luganda
    • Sports
      • Football
      • Motorsport
  • Op-Ed
    • #Out2Lunch
    • Conversations with
    • Politics
    • Relationships
  • Business
    • Agriculture
    • CEOs & Entrepreneurs,
    • Companies
    • Finance
    • Products
    • RealEstate
    • Technology
  • Entertainment
    • Lifestyle
  • People
    • Showbiz
      • Salon Mag
  • Special Report
    • Education
    • Voices
  • Reviews
    • Products
    • Events
    • Hotels
    • Restaurants
    • Places
  • WD-TV
  • Donate
  • China News
No Result
View All Result
  • Home
  • News
    • National
    • Politics
    • World News
    • Media Outreach Newswire
    • Africa News
    • Tourism
    • Community News
    • Luganda
    • Sports
      • Football
      • Motorsport
  • Op-Ed
    • #Out2Lunch
    • Conversations with
    • Politics
    • Relationships
  • Business
    • Agriculture
    • CEOs & Entrepreneurs,
    • Companies
    • Finance
    • Products
    • RealEstate
    • Technology
  • Entertainment
    • Lifestyle
  • People
    • Showbiz
      • Salon Mag
  • Special Report
    • Education
    • Voices
  • Reviews
    • Products
    • Events
    • Hotels
    • Restaurants
    • Places
  • WD-TV
  • Donate
  • China News
No Result
View All Result
Watchdog Uganda
No Result
View All Result

‘No bailouts for you’- Governor Mutebile tells off distressed banks

Watchdog Uganda by Watchdog Uganda
7 years ago
in News
1 0

Warning: Trying to access array offset on value of type bool in /home/90/81/2028190/web/wp-content/themes/jnews/class/Image/ImageNormalLoad.php on line 70

Warning: Trying to access array offset on value of type bool in /home/90/81/2028190/web/wp-content/themes/jnews/class/Image/ImageNormalLoad.php on line 73
ShareTweetSendShare

By our reporter

Bank of Uganda Governor Prof Emmanuel Mutebile has disclosed that bailing out distressed banks would be extremely dangerous because it would allow the banks to continue running in the same manner that caused their crisis.

Mutebile revealed this while speaking at the Annual Bankers Conference that took place at Kampala Serena Hotel on Tuesday.

He said BoU has no obligation to bail out any distressed bank because the central bank’s role is to protect depositors of the commercial banks and not the shareholders.

“The BoU has no obligation to bail out a distressed bank(s) by providing it with liquidity support in the hope that it will somehow be restored to financial health. Such an option would be extremely dangerous,” said Mutebile.

The governor further noted that a bailout would send a signal to other players in the financial sector that mismanagement carries no consequence for the owners and managers which would completely undermine the financial system.

On the other hand, Mutebile also explained that although the central bank was incessantly criticized when it took over Crane Bank in December 2016, BoU had no other option other than putting Crane Bank under administration and later selling it.

But Mutebile admitted that Crane Bank intervention was the most problematic out of the five interventions which the central bank has undertaken since 2010. This was due to its size and magnitude of losses that the bank had incurred. Nonetheless, Mutebile said the Crane Bank debacle was successfully handled.


Do you have a story in your community or an opinion to share with us: Email us at editorial@watchdoguganda.com
ShareTweetSendShare

Related Posts

News

Reason Over Regulation: President Yoweri Museveni Urges Ugandans to Embrace Science and Reason in Natural Resources Management

8th July 2025 at 09:15
Sudhir Ruparelia is the undisputed king of Kampala
Business

Why Sudhir Ruparelia is Ahead of John Bosco Muwonge in the Class of Billionaires

8th July 2025 at 00:42
Community News

Youths back Museveni: Ivan Muluga leads Kaliro youth league to endorse President for 2026-2031

7th July 2025 at 23:01
Next Post

Video: Leader of Opposition on why she escorted Bobi Wine to police and why she is aganist the Social Media tax

  • Prostitution in Uganda- Courtesy Photo

    10 dangerous hotspots known for prostitutes in Kampala

    1118 shares
    Share 447 Tweet 280
  • Silent Billionaire Bosco Muwonge Buys Mukwano Arcade at UGX 250 Billion Cash Down

    44 shares
    Share 18 Tweet 11
  • LIST: New salary structure for civil servants starting July 2020 out; scientists, lecturers get juicy pay rise

    2287 shares
    Share 915 Tweet 572
  • Who is Bosco Muwonge, Uganda’s elusive real estate billionaire?

    29 shares
    Share 12 Tweet 7
  • Uganda’s Billionaires 2025: Once Again Sudhir Ruparelia Leads a Resilient Pack

    46 shares
    Share 18 Tweet 12
Facebook Twitter

Contact Information

Watchdog Uganda is a portal for solution journalism, trending news plus cutting edge commentaries in the fields of politics, security, business, tourism, entertainment, technology, agriculture, climate change, environment, public health et al. We also give preference to Ugandan community news and topical discussions. The portal also publishes community news and topical discussions.

Email: editorial@watchdoguganda.com
To Advertise:Click here

Latest News

Reason Over Regulation: President Yoweri Museveni Urges Ugandans to Embrace Science and Reason in Natural Resources Management

8th July 2025 at 09:15
Sudhir Ruparelia is the undisputed king of Kampala

Why Sudhir Ruparelia is Ahead of John Bosco Muwonge in the Class of Billionaires

8th July 2025 at 00:42

Check out

  • Trending
  • Comments
  • Latest
Minister Muruli Mukasa

LIST: New salary structure for civil servants starting July 2020 out; scientists, lecturers get juicy pay rise

24th May 2020 at 10:45
Pregnant woman

Shock as 17-year old boy impregnates his two sisters during Covid-19 lockdown 

17th June 2020 at 08:17
Sudhir Ruparelia is the undisputed king of Kampala

Billionaire Sudhir’s wisdom on how to invest in real estate

0

How a boy’s destiny turned from cotton grower to communications guru

0

Reason Over Regulation: President Yoweri Museveni Urges Ugandans to Embrace Science and Reason in Natural Resources Management

8th July 2025 at 09:15
Sudhir Ruparelia is the undisputed king of Kampala

Why Sudhir Ruparelia is Ahead of John Bosco Muwonge in the Class of Billionaires

8th July 2025 at 00:42

© 2025 Watchdog Uganda

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • News
    • National
    • Politics
    • World News
    • Media Outreach Newswire
    • Africa News
    • Tourism
    • Community News
    • Luganda
    • Sports
      • Football
      • Motorsport
  • Op-Ed
    • #Out2Lunch
    • Conversations with
    • Politics
    • Relationships
  • Business
    • Agriculture
    • CEOs & Entrepreneurs,
    • Companies
    • Finance
    • Products
    • RealEstate
    • Technology
  • Entertainment
    • Lifestyle
  • People
    • Showbiz
      • Salon Mag
  • Special Report
    • Education
    • Voices
  • Reviews
    • Products
    • Events
    • Hotels
    • Restaurants
    • Places
  • WD-TV
  • Donate
  • China News

© 2025 Watchdog Uganda