The state minister for finance in Uganda, Henry Musasizi, has expressed optimism regarding the ongoing negotiations between the Ugandan government and the World Bank concerning the resumption of aid. The discussions have been characterized as promising by the minister, who shed light on the progress made during the talks. This update comes amidst concerns raised by Members of Parliament (MPs) regarding the accuracy and consistency of Uganda’s external debt figures.
Minister Musasizi outlined the extensive negotiations between the Ugandan government and the World Bank. He explained that significant progress had been achieved, with the World Bank providing specific benchmarks that Uganda needed to meet. These benchmarks, according to the minister, encompassed the provision of information and evidence to address the concerns raised by the World Bank.
Musasizi affirmed the government’s commitment to addressing these concerns by consistently providing requested information and resolving the issues raised during negotiations. The minister conveyed an optimistic outlook, assuring that both parties would reach a mutually beneficial agreement, minimizing concerns about the World Bank’s earlier decision to suspend aid.
The minister’s statements were made during an appearance before the National Economy committee, chaired by John Bosco Ikojo, representing Bukedea County for the National Resistance Movement (NRM) party. The discussion arose in response to the World Bank’s suspension of aid, following the enactment of the Anti-Homosexuality Act in May 2023, underlining the significance of these negotiations.
Kimaanya-Kabonero MP Abed Bwanika from the National Unity Platform (NUP) raised a question during the committee’s session, prompting Minister Musasizi’s response. The issue at hand revolved around concerns regarding the accuracy and consistency of Uganda’s external debt stock figures, a matter that has been under scrutiny.
The issue of inconsistent external debt figures was further emphasized by Chairperson Ikojo during the engagement with Ministry of Finance officials, which included Minister Musasizi and the Executive Director of the Uganda Bureau of Statistics (UBOS), Dr. Chris Mukiza. Ikojo emphasized that there were discrepancies in the reported external debt figures, with the Minister stating the external debt figure as UGX 52.2 trillion, while the Ministry of Finance’s bulletin indicated UGX 50.6 trillion for the same period ending on June 30, 2023.
The resolution of these discrepancies and the positive momentum in the negotiations between the Ugandan government and the World Bank carry significant implications for the country’s financial stability and its ability to access international aid.
Uganda’s External Debt Stock Figures (June 30, 2023)
| Source | External Debt Figure (UGX) |
|---|---|
| Minister Musasizi | 52.2 trillion |
| Ministry of Finance | 50.6 trillion |
