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Uganda to stop receiving money from World Bank. New lending halted over anti-LGBTQ law

Uganda to stop receiving money from World Bank. New lending halted over anti-LGBTQ law

Image source: © canva
Weronika Paliczka,
10.08.2023 13:00

Uganda is on the verge of financial trouble. All because of an anti-LGBTQ+ law that the World Bank says goes against its core values.

Uganda can expect problems in receiving new lending from the World Bank. The reason is the anti-LGBTQ law, signed on 29 May by Uganda's President Yoweri Museveni, which stipulates the death penalty for "serial offenders" and transmission of a terminal illness such as HIV/AIDS. The capital punishment also applies to gay couples who have entered into intimate relations before the age of 18, Reuters reports.

After the law was passed, Joe Biden, among others, spoke about plans to apply sanctions and restriction of entry into the United States against anyone involved in serious human rights abuses or corruption. Now the US government has been joined by the World Bank which declared halting new loans to Uganda. Previous loans will, however, continue to be disbursed.

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The World Bank's reaction to Uganda’s anti-LGBTQ law

A statement published on 8 August announces that no new lending to Uganda is possible until the anti-LGBTQ law is not changed.

Uganda’s Anti-Homosexuality Act fundamentally contradicts the World Bank Group’s values. We believe our vision to eradicate poverty on a livable planet can only succeed if it includes everyone irrespective of race, gender, or sexuality. This law undermines those efforts. Inclusion and non-discrimination sit at the heart of our work around the world.

- The World Bank

The Bank's statement goes on to say that no new forms of funding will be presented to the Board Executive Directors. Change will only occur when Ugandan law changes.

Uganda's immediate response

Uganda's Foreign Minister Okello Oryem described the World Bank's move as unjust and hypocritical. Speaking to Reuters, the minister said that "there are many Middle East countries who do not tolerate homosexuals, they actually hang and execute homosexuals. In the US many states have passed laws that are either against or restrict activities of homosexuality... so why pick on Uganda?"

Uganda is one of 38 countries in Africa that still criminalises homosexuality. Countries and territories where same-sex relationships are legal include South Africa, Mozambique, Lesotho, Botswana, Angola, Seychelles, Madagascar, Rwanda, Chad, São Tomé and Príncipe, Democratic Republic of Congo, Gabon, Equatorial Guinea, Congo, Central African Republic, Saint Helena, Ascension ISland, CÎte d'Ivoire, Republic of Cabo Verde, Niger, Mali, Guinea-Bissau, Benin and Burkina Faso.

Interestingly, some African countries prohibit male homosexual relationships, while allowing female relationships. These include the southern part of Nigeria, where Sharia law does not operate, Zambia, Zimbabwe, Malawi, Eswatini, Mauritius, Kenya, Sierra Leone and Ghana.

Source: Reuters

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