Financial Crime World

Ugandan Crime Statistics: Shocking Loss of Shs1.8 Trillion to Criminal Activities in 2023

In the year 2023, Ugandans suffered substantial financial losses due to various criminal activities, according to the Uganda Police Force (UPF) annual crime report.

Alarming Increase in Financial Losses

The total amount stolen or swindled from Ugandans was a staggering Shs1.8 trillion, an alarming increase from the Shs859b recorded in 2022. Despite the overall decline in crime prevalence by 1.5 percent, this figure is a matter of concern.

Major Categories of Crime

The largest chunk of these losses, totaling Shs723b, can be attributed to cases of obtaining money by false pretence. This category of crime saw a significant increase in 2023, targeting both foreign investors and locals with promises of quick riches.

  • Obtaining money by false pretence (Shs723b)

Recovered Finances

The Ugandan police force managed to recover only Shs80b out of the total amount lost.

Types of Losses

  • Cash thefts (Shs175b)
  • Property lost through general crime (Shs112b)
  • Banks losses (Shs87b)

Concerns and Challenges

Phone snatching (Shs506b): Phone thefts saw a significant increase of 6.8 percent in 2023. Thieves primarily used snatching to steal mobile phone handsets and have evolved to use these devices to breach passwords, leading to mobile money or bank account withdrawals.

  • Regions with highest instances of phone thefts: Kampala Metropolitan Police North, Rwizi Police Region, and Kampala Metropolitan Police South.

Advanced technology and cyber forensic investigators: The process of investigating phone thieves is expensive and time-consuming due to a shortage of advanced technology and cyber forensic investigators.

Corporate Crimes

Corporate crimes such as causing financial loss, embezzlement, and bank fraud accounted for over Shs200b in losses.

  • Rising number of fraud cases
  • Weak laws and Uganda’s placement on FATF grey list

Government Response

In response to these concerns, the Ugandan government has enacted reforms to address the issues highlighted in the crime report, including mandatory disclosure of beneficial owners for companies, trusts, and offshore investments. The new executive director of the Financial Intelligence Authority, Samuel Were Wandera, has revealed that these reforms have impressed the Financial Action Task Force (FATF), potentially leading to Uganda being removed from the grey list by this month.