EU Gives Uganda US$680 Million Euros

THE European Union has said it will give Uganda US$683,9 million over the next five years to boost the country’s agriculture sector and develop its rural areas.

 

The EU said it hoped the aid would also help improve infrastructure and help in Uganda’s integration in regional trade bloc the East African Community.

Half the support will go directly towards supporting Uganda’s fiscal bugdet, the EU said in a statement late on Tuesday.

“In focusing on agriculture and rural development the European Commission is aiming at creating conditions for enhanced partnership between the public and the private sectors”, Vincent De Visscher, head of EU delegation, said.

The grant comes after Uganda said it would reduce donor dependence in its national budget from 49% to 30% in the 2008/09 fiscal year.

Uganda’s political opposition warned donors on Tuesday to ensure the funds were not lost in what they described as a “corrupt regime”. — Reuters.