MPs block sh9b for L. Victoria project

Sep 16, 2003

UGANDA stands to lose a US$4.5m (about sh9b) World Bank loan offer, if the MPs on the national economy committee continue disputing the achievements of the Lake Victoria Environment management Project (LVEMP).

By Cyprian Musoke

UGANDA stands to lose a US$4.5m (about sh9b) World Bank loan offer, if the MPs on the national economy committee continue disputing the achievements of the Lake Victoria Environment management Project (LVEMP).

The US$25m World Bank-funded project depleted its funds and the ministry of Finance was lobbying the Mps to allow the loan to fund the transition to LVEMP II.
Appearing before the MPs yesterday, finance state minister Mwesigwa Rukutana said the Government was given up to November 22 for the offer to expire.

He appeared with the minister of state for Water, Maria Mutagambwa, the finance permanent secretary, B K Kabanda, as well as LVEMP and NEMA officials.

“The World Bank has extended a credit effectiveness of four months, running out November 22. If we miss it four times, who will take us seriously?” Rukutana said.
However, the Mps, who visited the site, demanded an audit of the first phase.

“We want to make an evaluation and comparison with Kenya and Tanzania, to see whether it is necessary to give you more money,” the chairman of the committee, Nandala Mafabi (Budadiri West), said.

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