World Bank's $2 Billion Boost: Reviving Uganda's Development Phase

The World Bank will provide Uganda with over $2 billion in financing over the next three years for economic development. The funding follows a suspension due to Uganda's anti-LGBTQ law. This financial injection aims to fuel growth across various sectors, coinciding with Uganda's expected oil production surge.

The World Bank is set to extend more than $2 billion in new financing to Uganda over the next three years, according to top finance ministry official, Ramathan Ggoobi. This announcement comes after a suspension of nearly two years, prompted by Uganda's stringent anti-LGBTQ law.

The funding aims to boost economic development across crucial sectors including transportation, energy, ICT, and agriculture. "I am glad to announce that concessional financing is back," stated Ggoobi. The paused funding had previously pushed Uganda to seek more expensive domestic loans.

As Uganda negotiates a new Extended Credit Facility with the IMF, expected oil production in 2026 anticipates elevated growth rates by the 2026/27 fiscal year. The World Bank's commitment marks a critical turning point for Uganda's financial strategy and growth trajectory.

(With inputs from agencies.)