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LGBTQ+ Rights

Ugandan leader defiant after World Bank cuts off loans over anti-LGBTQ law

Ugandan President Yoweri Museveni has denounced the World Bank's decision to suspend new funding in response to a law targeting LGBTQ+ people, accusing the lender of using money to try to "coerce" the country's government.

A gay couple in Uganda with a Pride flag on 25 March 2023.
A gay couple in Uganda with a Pride flag on 25 March 2023. © AP
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The World Bank said on Tuesday that Uganda's Anti-Homosexuality Act, which imposes the death penalty for certain same-sex acts, contradicted its values.

The bank will not consider new public financing for Uganda until it can be sure that projects it finances in the country do not discriminate against sexual and gender minorities, it said.

In a statement on Wednesday night, Museveni said that Uganda would not give in to pressure from foreign institutions.

"It is, therefore, unfortunate that the World Bank and other actors dare to want to coerce us into abandoning our faith, culture, principles and sovereignty, using money. They really underestimate all Africans," he said.

Uganda's President Yoweri Museveni at the state house in Entebbe, Uganda, on 9 November 2019.
Uganda's President Yoweri Museveni at the state house in Entebbe, Uganda, on 9 November 2019. © AFP / Sumy Sadurni

Museveni said that Uganda had other sources for loans and was trying to reduce borrowing in any case. 

While the president said that oil production expected to start by 2025 would provide additional revenues, he added he hoped the World Bank would reconsider its decision.

The bank's move will force Uganda to revise its budget. The government will shortly ask parliament to vote on a revised 2023-2024 plan to reflect the potential financial impact of the lending suspension, junior finance minister Henry Musasizi told parliament on Thursday.

Billions of dollars

The World Bank has an existing portfolio of $5.2 billion (€4.7 billion) in Uganda, although projects already underway will not be affected.

Uganda's health ministry, which is among recipients of the World Bank funds, issued a circular after its announcement reiterating that no one should be denied medical services.

The ministry said that healthcare providers and workers were "not to discriminate, stigmatise any individual who seeks health care for any reason, gender, religion, tribe, economic or social status or sexual orientation".

Rights campaigners had voiced concerns that following the new law, healthcare providers might report LGBTQ+ people seeking medical care to the police, or that people would be wary of going to hospital for fear of being stigmatised.

The United Nations, several governments and global rights groups have condemned Uganda's law, which makes "aggravated homosexuality" a capital offence and imposes penalties for consensual same-sex relations of up to life in prison.

The United States has also threatened to cut aid and investment in Uganda since the measures were signed into law in May.

(with newswires)

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