Parliament approves loans worth 6.1tn between 2023/24

Parliament has approved loans worth Shs6.169 trillion between 2023 to 2024, with the construction of roads in Kampala and other parts of Uganda accounting for the biggest chunks of the funds.

According to the House performance report, parliament approved 8 resolutions authorizing the government to borrow money for varius activities.

The first loans approved was the Shs3.076Trn from both the African Development Bank and Spanish Government to fund the rehabilitation of Kampala-Malaba meter gauge railway.

Government also secured another loan worth Shs1.775Trn from both the World Bank and French Gov’t for the construction of roads in Kampala and surrounding districts.

The agricultural sector also benefitted from the loans approved by Parliament, following the approval of Shs1.228Trn loan from the World Bank to fund Smart Agriculture, while another Shs3.5Trn loan was secured from the local commercial banks to fund the national budget.

The Chinese Gov’t also extended a Shs546.542Bn loan to the ICT sector for the extension of the national data infrastructure while another Chinese investor committed to construct Masaka-Mutukula Road at a cost of Shs691.680Bn with Government meant to refund the money after completion of works.

Written by Damali Mukhaye