/ 21 December 2005

UK suspends £5m of aid to Uganda

Britain has suspended £5-million of aid to Uganda because of concerns about the country’s political transition leading up to next year’s multiparty elections.

But the United Kingdom has also reallocated £15-million to provide humanitarian relief in the north of the country.

”The situation for many people forced from their homes by the conflict in northern Uganda is desperate. That’s why I am reallocating £15-million to help the United Nations provide food and access to health care to those affected,” Hilary Benn, the Secretary for International Development, said in announcing the moves on Tuesday in the House of Commons.

The £5-million in budget support will be suspended until after elections in February, when the decision will be reviewed, the department said.

Britain and Uganda signed a poverty-reduction budget support arrangement a year ago to provide a grant of up to £145-million over three years.

Britain disbursed £35-million in 2004/05, but withheld £5-million because of concerns about the progress of Uganda’s political transition.

Norway, Ireland, The Netherlands and Sweden have also cut their support to Uganda recently, the department said. — Sapa-AP