Uganda’s Parliament has given approval for three loans totaling over Shs5.2 trillion, which includes Shs3.5 trillion from local commercial banks for the supplementary budget, Shs1.227 trillion from the World Bank for smart agriculture, and Shs554.689 billion from China for the e-government infrastructure project. Despite concerns from opposition members, the loans have been sanctioned, further escalating the country’s debt, which exceeded Shs88.80 trillion by the end of August 2023.
Key Points:
- Parliament of Uganda approves loans totaling over Shs5.2 trillion for supplementary budget, smart agriculture, and e-government infrastructure.
- Shs3.5 trillion from local commercial banks for the supplementary budget.
- Shs1.227 trillion from the World Bank for smart agriculture.
- Shs554.689 billion from China for the e-government infrastructure project.
- The country’s debt stands at over Shs88.80 trillion as of August 2023.
- Opposition members resist the approval, highlighting concerns about financial discipline and borrowing when funds are already available.
- Majority committee report dismisses opposition arguments and approves the loans.
- Opposition’s minority report emphasizes the risk of financial indiscipline and increased debt distress.
- Statehouse noted as a major beneficiary of past supplementary budgets.
