The World Bank has made a revelation that it will not be considering new loans to Uganda after the East African country earlier this year enacted an anti-gay bill that rights groups and others have condemned.
In May, the World Bank had deployed a team to Uganda after the law was enacted and determined that additional measures were necessary to ensure projects align with the bank’s environmental and social standards.
In a statement that was released this week, the World Bank Group expressed that no new public financing to Uganda will be presented to its Board of Executive Directors until the efficacy of the additional measures has been tested. “Our goal is to protect sexual and gender minorities from discrimination and exclusion in the projects we finance. These measures are currently under discussion with the authorities,” the statement added.
Prescribed as the death penalty for some homosexual acts, the anti-gay legislation was signed into law in May and it has received widespread support at home, and Ugandan officials have been defiant amid concern that partners such as the World Bank and others might withdraw resources over the legislation. Some officials have suggested that the funding threats are inappropriate.
The World Bank statement also went on to makeit clear, that despite the latest decision, it remains “committed to helping all Ugandans – without exception – escape poverty, access vital services, and improve their lives.”
The U.N. Human Rights Office has said the Ugandan law is “draconian and discriminatory,” describing it as “a recipe for systematic violations of the rights” of LGBTQ+ people and others. The U.S. has warned of economic consequences.
Activists and some academics have gone as far as challenging the law in court, but it remains unclear when hearings will start taking place.
