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Uganda and Korea sign Shs2 trillion loan framework deal

Uganda and South Korea signed a $500M loan deal on Wednesday. Finance Minister Matia Kasaija and Foreign Affairs Minister Cho Tae-yul inked the agreement during the First Korea-Africa Summit in Seoul.

Seoul, South Korea | THE INDEPENDENT | Uganda and the Republic of Korea signed a $500 million (Shs1.9 trillion) loan Framework Agreement, marking a significant boost to bilateral relations and economic cooperation. The signing ceremony, coinciding with the conclusion of the First Korea-Africa Summit, took place at the Korean Ministry of Foreign Affairs in Seoul.

The agreement, covering 2024 to 2028, was signed by Uganda’s Finance Minister Matia Kasaija and Korean Foreign Minister Cho Tae-yul. It is part of the ongoing 2012 Economic Development Cooperation Fund (EDCF) agreement, administered through Korea EXIM Bank.

Under the agreement, Korea will provide Uganda with $500 million in loans over the next four years. These funds will finance various development projects, fostering economic growth and infrastructural development in Uganda.

The Ugandan delegation at the ceremony included Ambassador Elly Kamahungye Kafeero, Director for Regional and International Cooperation, and Ms. Lenina M. Rukikaire, First Secretary at the Ministry of Foreign Affairs.

Minister Kasaija expressed optimism about the loan’s impact, emphasizing its importance for Uganda’s development agenda.

“This agreement marks a new chapter in Uganda-Korea relations. The financial support will be pivotal in implementing key projects that will spur economic development and improve the livelihoods of Ugandans,” he stated.

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