In a bold move aimed at curbing the controversial practice of money lenders seizing national identity cards as collateral, Uganda’s Prime Minister, Robina Nabbanja, announced that the introduction of Digital (Electronic) Identity Cards (E-IDs) will significantly address the issue.
The Prime Minister’s remarks came during a plenary session in response to a question raised by Moureen Osuru, the Women Representative for Arua City, who sought clarity on the government’s strategy to put an end to the illegal practice.
Nabbanja condemned the confiscation of National IDs by money lenders as a “deplorable practice” that undermines citizens’ rights and dignity.
She assured the public that the government is committed to ensuring that national identity cards remain in the possession of their rightful owners and are used solely for their intended purpose.
The introduction of E-IDs is expected to reduce reliance on physical identity cards, thus making it harder for money lenders to misuse them as loan collateral.
“This will limit the dependency on physical National IDs, providing an alternative means for citizens to access essential services without fear of exploitation,” Nabbanja stated.
She also urged citizens to cooperate with the authorities in combating the practice, calling on them to report any incidents of confiscation to ensure the return of their IDs.
“The government cannot fight this battle alone; citizens must stand up against this illegal practice to protect their rights and maintain the integrity of their national identity cards,” she emphasized.
The E-ID initiative is seen as a major step towards digital transformation in Uganda, offering both enhanced security and convenience for citizens, while addressing long-standing issues of identity theft and misuse in the financial sector.