Govt seeks sh290b loan from World Bank

By Joyce Namutebi

The Government is seeking a $115m loan (over sh290b) from the World Bank for the Oil Region Development Project, Ernest Kiiza the minister of State for Bunyoro affairs, has said.

He said recently that the loan would be used to work on Kyenjojo-Kabwoya road and for infrastructure development in Hoima Municipality, Bulisa town and Masindi Municipality, as well as for provision of electricity in the said areas.

“We hope to secure the money this year,” Kiiza said in an interview about the ministry’s focus for this year.

He revealed that the Government is to spend sh71b on compensation and resettlement of people where the oil refinery is to be built. So far, he said, close to sh10b has been paid out and the exercise would be completed this year.

Six companies from the UK, China, Germany, US and Norway have so far been short-listed to build the oil refinery, the minister said. Construction is expected to start this year under a public private partnership.