Uganda is set to receive more than $2 billion in new concessional financing from the World Bank over the next three years, marking the restoration of lending after a nearly two-year suspension linked to the country’s anti-LGBTQ legislation, as reported by Reuters.
Permanent Secretary and Secretary to the Treasury, Ramathan Ggoobi, said the funds will target key growth sectors such as transportation, energy, ICT, agriculture, and other critical development areas. He noted that the support demonstrates renewed confidence in Uganda’s economic management and reform agenda.
The investment comes as Uganda positions itself as an emerging crude oil producer, with production expected to begin by mid-2026. The World Bank’s renewed engagement is seen as a boost to the country’s fiscal stability and infrastructure development, Reuters added.
Analysts believe the new financing will help reduce Uganda’s reliance on high-cost domestic borrowing while supporting long-term economic transformation. However, they emphasize the need for transparent implementation and effective monitoring to ensure that the funding delivers measurable results.
