China cancels $50million Uganda debt

UGANDA and China yesterday signed five bilateral agreements, one of which cancelled a US$50m (sh90b) debt owed by Uganda, reports Felix Osike. The visiting Chinese Vice-president, Hu Jintao, and Ugandan officials led by his counterpart Dr. Wandira Kazibwe, signed the agreements at Kampala International Conference Centre. Li Bijian, the second secretary at the Chinese Embassy, said, "Uganda is the first African country to get the write off," since China made a number of pledges at the Forum of China-Africa Cooperation ministerial meeting in Beijing in October last year. Hu Jintao, 59, is here on a three-day official visit. He arrived at Entebbe airport at 3.20pm. He is accompanied by a delegation of over 80 people including his wife, Liu Yongqing, ministers Ji Peiding, Jiang Yikang, Wang Yang, Sun Guanxiang, He Yiting, Governor of Bank of China Yang Zilin, security, medical staff and reporters He was received at the airport by Kazibwe and 11 ministers who included Edward Rugumayo, Alfred Mubanda, Syda Bumba, Steven Kavuma, Miria Matembe, Muruli Mukasa and John Nasasira. Alicia Barikurungi and Virginia Nampera of Kampala Parents and Greenhill Primary schools presented a bouquet of flowers before cultural groups entertained Jintao. Uganda is the only African country he has visited on his five-leg trip in Asia and Africa. It is the first visit to Uganda by a high-ranking Chinese official since diplomatic relations were established in 1962. The Chinese foreign affairs minister, Tang Jiaxuan, was in Uganda for bilateral talks in 1999. On his arrival at Entebbe, Jintao said, "I am here in Uganda to enhance mutual understanding and friendship between our two countries and two people's and to expand the existing friendly relations and cooperation." China made a cash donation of US$80,000 for the fight against the deadly Ebola disease which has killed over 150 people since it broke out in the northern Uganda district of Gulu. Other agreements signed yesterday include the economic and technical cooperation agreement. China has also pledged to construct a multi-storey building in Kampala for the foreign affairs ministry. The two countries also signed a deal for the drilling of oil on Lake Albert. China has also extended interest free loans and grants, including about US$40m for building a food research facility. Ends.