Joyce Namugambe
Civil society organisations under their umbrella the Civil Society budget advocay group (CSBAG), have expressed concern over the negative consquencies from the decission made by the world bank, to stop public loans application from Uganda is to cause to the Ugandans, especially in isdues concerning service delivery, the economy and public finanancial management.
This follows the fact that the world bank is no longer willing to fund Uganda on grounds that the President signed the Anti homosexuality bill, which according to the world bank, is violation of human rights.
According to CSBAG, this decision has far-reaching consequences on the realisation of Uganda’s Vision 2040 and achievement of the Sustainable Development Goals by 2030, which is just 7 years from now.
Adressing the press at head offices in Ntinda, the CSBAG executive director Julius Mukunda noted that the World Bank has over the years, offered financing to support Uganda’s development agenda and to date, Uganda has 30 active World Bank Projects and13 projects in the pipeline which amount to USD 13.9bn (UGX. 51trn). USD 9.5bn(UGX. 35trn) of this is for the 30 active projects and USD 4.43 million (UGX. 16 billion)is for the 13 projects in the pipeline which are affected by the World Bank.
Mukunda added that Uganda has the largest outstanding multilateral debt stock of UGX 29.91 trillion including arrears largely from the World Bank financing arm, the International Development Association which represents 55% followed by ADF with 19%, IMF with11 %, IDB 5% and other funders.
Mukunda showed concern that they note that this decision by the World Bank, being a major development funding partner might induce other development partners especially from the OECD countries to follow suit. In this regard, a lot of uncertainty lingers as to whether the IMF will take a similar decision, being the other Bretton Woods Institution apart from the World Bank. Uncertainty is never good for business and economic growth projections.
He noted that as of March 2023, the World Bank projects that have a direct impact on the ordinary people (citizens and non-citizens) living in Uganda include, Uganda Development Response to Displacement Impacts project has supported(US$150 million or UFX 555 Bn), Uganda Skills Development Project has benefited US$ 100.00 million or UGX 370Bn), Uganda Multi-Sector Food Security and Nutrition Project has supported (UGX102Bn), Health Systems Strengthening Project has supported :(USD 144 million or UGX532.8 Bn), Albertine Region Sustainable Development Project has supported USD 153 million or UGX 566.1 bn)among others.
CSBAB therefore cautions Government to re -examine its spending patterns with main objective of further cutting down on its public administration cost through the following quick measures as this is the time to review the public service salary structure to harmonise and promote equal pay based on hierarchy, if it is to help Ugandans through this challenging storm.
They recommend that away from rhetoric to action in corruption fight, Government must be more agilein the fight against corruption, which thrives in the public sector, adding that in FY 2021/22 alone, Government officials failed to account for close to UGX3.5 billion according to the OAG, which tendencies must not be tolerated, and the responsible officers must be brought to book and public resources recovered.
The CSBAG strongly believe that there is still room for dialogue between the Government of Uganda and the World Bank to reconsider its decision on halting funding to Uganda and they were encouraged by the statement of the Head of State, on seeking dialogue with the world Bank.
