Sweden cuts aid

Dec 19, 2005

SWEDEN said on Monday it would withhold 65 million Swedish crowns ($8.22m) in budget support from Uganda due to problems with the development of democracy.

By Vision Reporter
and Agencies

SWEDEN said on Monday it would withhold 65 million Swedish crowns ($8.22m) in budget support from Uganda due to problems with the development of democracy.

The problems included the arrest of Ugandan opposition leader Kizza Besigye, although a Swedish foreign ministry statement did not mention him by name.

Out of the total aid, some 25 million crowns will instead be used for disaster relief in war-torn northern Uganda.

The Netherlands also recently withheld six million euros in aid to Uganda.

“It’s their money. They take their decisions. We shall definitely survive,” said state minister for finance Mwesigwa Rukutana yesterday.

“I don’t know their reasons, but I am assuring everybody that we can survive without their money,” he added.

Swedish minister for international development cooperation Carin Jamtin said the Nordic state would carefully monitor elections in 2006 and make a new evaluation of the situation in Uganda.

“I hope the Ugandan government will resume work for a pluralistic political system. This will be of major importance when we discuss a new cooperation strategy during the coming year,” he added.

Besigye was charged with treason and rape, which he denied at the opening of the trial yesterday.

Sweden has this year paid some 280m crowns to Uganda, a foreign ministry official said. The rate of payment has been about 250 million crowns a year over the last seven years.

In April this year, Britain cancelled £5m ($10m) aid, followed by the Irish and Norwegians, citing dissatisfaction with the political transition.

Since the arrest of Besigye in November, several donor countries have expressed concern about political developments in Uganda.

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