Uganda in talks with World Bank to reverse loan freeze decision over anti-LGBTQ+ law

By Kenya September 27, 2023

Ugandan officials say they are confident the World Bank will reverse a decision to halt new loans that was imposed after the East African nation enacted controversial anti-gay legislation, which the lender said contradicts its core values.

Ministry of Finance Deputy Secretary Patrick Ocailap is quoted by Bloomberg as saying that negotiations with the World Bank are “progressing very well” and Kampala expects the decision will be rescinded by the time the government concludes budgeting for the next financial year in February.

The World Bank halted new financing to Uganda in August over the controversial Anti-Homosexuality Act signed into law in May, which prescribes the death penalty for certain same-sex acts described as "aggrevated homosexuality".

Uganda’s Finance Ministry said in preliminary estimates earlier in September that international budget support could plunge 99% in the fiscal year starting on July 1, 2024.

“By the time we conclude the budget for the next financial year it will be over, and we shall be back on track for normal operations,” Ocailap said, adding that talks commenced a week after the Washington-based lender’s August 8 decision.

The World Bank is Uganda’s biggest lender, accounting for roughly 55% of its multilateral external debt stock.

Cumulatively, its loan pipeline to Uganda over the 2024-2025 financial year stands at $1.7bn, a major chunk of the $5.4bn in loans and grants the bank had earmarked for disbursement to the country.

The decision by the World Bank to stop new loans is already having negative impacts on the local currency, which slumped by almost 4% against the dollar.

Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

Zimbabwean gold miners re-elect group head days after conviction for attempting to smuggle bullion

A union of Zimbabwean small-scale gold miners has "unanimously" reelected their president, two weeks after she was fined $5,000 for attempting to smuggle 6kg of gold worth $300,000 to Dubai. The ... more

South Africa’s bid to tackle energy crisis starts bearing fruit, senior emerging markets economist says

Electricity outages in South Africa have become increasingly frequent in recent years. This year alone, state-owned power utility Eskom has implemented 334 days (as of November 30) of such ... more

Nigeria has potential to become leader in lithium-ion batteries, AfDB says

Nigeria could become a leader in the manufacturing of lithium-ion batteries used in cell phones, laptops and electric vehicles (EVs), the African Development Bank (AfDB) has said. In its ... more

Follow Us On

Most Read

  1. Top Ukrainian politician David Arakhamia gives seventh confirmation of Russia-Ukraine peace deal agreed in March 2022
    9 days ago
  2. Armenia marks new era with French military purchases
    7 days ago
  3. LONG READ: The boomerang effect: sanctions hurt Europe more than Russia
    4 days ago
  4. Putin's approval rating up to 85% in November, Russians happy with the country's direction
    1 day ago
  5. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    1 month ago
  1. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    1 month ago
  2. Top Ukrainian politician David Arakhamia gives seventh confirmation of Russia-Ukraine peace deal agreed in March 2022
    9 days ago
  3. Russia overtakes Germany to become fifth biggest economy in the world in GDP on a PPP basis
    3 months ago
  4. Armenia marks new era with French military purchases
    7 days ago
  5. Lavrov confirms Ukraine war peace deal reached last April, but then abandoned
    2 months ago

Reports

SELECT `n`.`nid` AS `id`, `n`.`title`, 'bne IntelliNews' AS authors, 'bne IntelliNews' AS bylines, `wc`.`field_website_callout_value` AS `summary`, `smc`.`field_social_media_callout_value` AS `social`, `pd`.`published_at` AS `date`, `p`.`field_publication__tid` AS `publication_id`, `fm`.`uri` AS `image`, `fspcaption`.`field_story_photo_caption_value` AS `image_credit`, `fspcredit`.`field_story_photo_credit_value` AS `image_author`, `ws`.`field_website_sections_tid` AS `section_id`, `fdfs`.`field_subject_tid` AS `subject_id`, `db`.`body_value` AS `body`, `fm2`.`uri` AS `pdf`, `et`.`field_enable_tracking_value` AS `tracking`, `ht`.`field_head_tags_value` AS `headTags`, `bt`.`field_body_tags_value` AS `bodyTags` FROM `node` AS `n` LEFT JOIN `field_data_field_website_callout` AS `wc` ON wc.entity_id = n.nid LEFT JOIN `field_data_field_social_media_callout` AS `smc` ON smc.entity_id = n.nid LEFT JOIN `publication_date` AS `pd` ON pd.nid = n.nid LEFT JOIN `field_data_field_publication_` AS `p` ON p.entity_id = n.nid LEFT JOIN `field_data_field_story_picture` AS `sp` ON sp.entity_id = n.nid LEFT JOIN `file_managed` AS `fm` ON fm.fid = sp.field_story_picture_fid LEFT JOIN `field_data_field_story_photo_caption` AS `fspcaption` ON fspcaption.entity_id = n.nid LEFT JOIN `field_data_field_story_photo_credit` AS `fspcredit` ON fspcredit.entity_id = n.nid LEFT JOIN `workflow_node` AS `wn` ON wn.nid = n.nid LEFT JOIN `field_data_field_website_sections` AS `ws` ON ws.entity_id = n.nid LEFT JOIN `field_data_field_subject` AS `fdfs` ON fdfs.entity_id = n.nid LEFT JOIN `field_data_body` AS `db` ON db.entity_id = n.nid LEFT JOIN `field_data_field_file` AS `ff` ON ff.entity_id = n.nid LEFT JOIN `file_managed` AS `fm2` ON fm2.fid = ff.field_file_fid LEFT JOIN `field_data_field_enable_tracking` AS `et` ON et.entity_id = n.nid LEFT JOIN `field_data_field_head_tags` AS `ht` ON ht.entity_id = n.nid LEFT JOIN `field_data_field_body_tags` AS `bt` ON bt.entity_id = n.nid WHERE (n.status = 1) AND (n.type = 'article') AND (n.nid = 294434) AND (wn.sid= 3) AND (p.field_publication__tid IN (2465,2851,3184,3159,3266,3264,3270,3265,3267,3268,3269,3171,3168,3185,3170,1346,1345,3180,3175,3254,3249,1207,1208,3181,3231,3177,3186,3178,1003,3187,2975,3204,3198,3188,3202,3196,3250,3189,3160,3161,3312,3313,3173,3314,3315,3167,3259,3257,3263,3258,3260,3261,3262,3174,3316,3165,3192,3163,3282,3190,2811,3256,3317,3162,3318,3191,3297,3182,3179,3166,3319,3376,3320,3172,3255,3169,1008,3203,3197,3321,3252,3164,1307,3322,3183,3220,3176,3201,3323,1327,1020,1006,1009,1013,1014,1018,1005,1328,1010,1011,1002,1012,1311,1330,1017,1016,1019,1004,1001,1334,1335,1336,1015,1337,1338,1339,1340,1341,2496,2501,2517,2529,2506,2505,2524,2513,2526,2537,2489,2490,2520,2536,2488,2532,2500,2515,2503,2493,2527,2523,2510,2525,2498,2499,2528,2507,2487,2511,2521,2502,2491,2519,2497,2492,2514,2495,2509,2512,1629,3358)) LIMIT 1
Dismiss