Kampala: 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 that projects met the bank's environmental and social standards.
"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.
"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.
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 UN 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 US has warned of economic consequences.