Business 10 May 2026 Daily Monitor (Uganda)
Commercial Court Launches Two-Week Mediation to Resolve 320 Banking Cases
The Commercial Division of the High Court is holding a two-week mediation drive targeting over 320 banking and credit-related disputes, aiming to clear case backlogs and free up billions of shillings. Source: https://www.monitor.co.ug/uganda/news/national/commercial-court-targets-320-banking-cases-in-two-week-mediation-drive-5453998
The Commercial Court in Kampala has initiated a focused two-week mediation program designed to tackle more than 320 banking and credit disputes. This effort aims to alleviate the significant backlog of cases and unlock substantial funds currently tied up in lengthy legal proceedings. The initiative is part of the Judiciary’s regular mediation fortnights.
Bank of Uganda Governor Michael Atingi-Ego highlighted the economic impact of unresolved cases, referring to the frozen capital as “dead capital” that hinders reinvestment and economic growth. He emphasized that Alternative Dispute Resolution (ADR) methods like mediation offer a quicker and more cost-effective solution for complex commercial disagreements.
Chief Justice Flavian Zeija echoed these concerns, criticizing the misuse of court processes, such as frivolous injunctions, to delay loan recovery. He stated that the Judiciary is adopting a “zero tolerance” approach to such tactics and promoting ADR as the primary method for resolving commercial disputes, stressing that “Alternative dispute resolution is no longer an alternative but the way to go.”
The mediation fortnight, running from May 18 to May 29, specifically addresses disputes concerning loan recovery, debt restructuring, collateral enforcement, and banker-customer conflicts. Some of these cases have been pending for up to ten years.
Justice Anne Mugenyi Bitature, Head of the Commercial Court, reported that as of May 6, 2026, there were 1,730 pending banking and credit cases, with 326 selected for this mediation, valued at approximately Shs200 billion. The court is optimistic about settling at least half of these cases during the exercise, with hopes of unlocking the Shs200 billion into the economy.
The Commercial Court is currently managing over 8,000 pending cases overall. This mediation drive is expected not only to reduce the backlog but also to establish a sustainable framework for efficiently handling similar commercial disputes in the future, thereby boosting confidence in Uganda’s financial system by freeing up capital and restoring trust between lenders and borrowers.