After Uganda passed an anti-gay law earlier this year that was denounced by rights groups and others, the World Bank announced that it will not consider fresh loans to the East African nation.
After the law was passed in May, the World Bank sent a team to Uganda to assess the situation and found that more steps were required to guarantee projects adhered to the bank’s environmental and social requirements.
“No new public financing to Uganda will be presented to our Board of Executive Directors until the efficacy of the additional measures has been tested,” the World Bank Group said in a statement on Tuesday.
“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,” it added.
The anti-gay law, which calls for the execution of specific homosexual conduct, was approved in May. Ugandan officials have been resolute despite worries that partners like the World Bank and others would withhold financing due to the legislation, despite the fact that it has broad domestic support. The financing threats have been criticised by several officials as being improper.
It was not possible to quickly reach Uganda’s finance authorities for comment, who have been attempting for months to obtain additional funds from the nation’s primary multilateral lender.
The World Bank statement noted 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.
The law has been contested in court by activists and some academics, although it is yet unclear when proceedings will start.
More than 30 of the 54 nations in Africa have laws against homosexuality.
