Uganda's only international airport and other assets acquired by China for defaulting loans

Sunday, 28 November 2021 - 18:09

Uganda%27s+only+international+airport+and+other+assets+acquired+by+China+for+defaulting+loans+
In what is yet another move to acquire foreign assets on account of default of loans China allegedly has taken over the Ugandan Entebbe International Airport and other assets in the Eastern African country according to foreign media reports.

Earlier the Museveni-led government had signed an agreement with China’s Exim Bank to borrow $207 million to expand Entebbe International Airport @2% interest.

The loan had a maturity period of 20 years including a seven-year grace period, but it had now appeared that the transaction signed with China’s EXIM meant Uganda “surrendered” its only international airport, according to a SaharaReporters.com, a news portal that focuses on Africa.

Uganda, however, sought to renegotiate the deal but without success. Uganda in March 2021 sent a delegation to Beijing hoping to renegotiate the clauses of the deal.

Ugandan President Yoweri Museveni had sent a delegation to Beijing for a renegotiation with the Chinese government.

“The revelation that Uganda government signed an agreement and, among others, waived immunity for its sovereign assets has raised questions about the level of scrutiny and due diligence that bureaucrats conduct before committing the country internationally,” according to a report in allafrica.com

Entebbe International Airport is Uganda’s only international airport and handles over 1.9 million passengers per year.

A number of countries, some in Africa, have had to forfeit national assets for direct control by China after failing to repay commercial loans signed with haste or without proper scrutiny.


Turmeric harvest begins
Monday, 24 January 2022 - 9:05

The purchase of turmeric harvested by farmers has already commenced.Accordingly, it has been decided to buy a kilo of turmeric for Rs 160.Its inauguration... Read More

South Africa v India: Hosts complete ODI series clean sweep in Cape Town
Monday, 24 January 2022 - 7:57

South Africa won a thrilling third one-day international against India by four runs to seal a series clean sweep.Quinton de Kock made 124 as South Africa... Read More

State Veterinary Surgeons' gives one week to resolve issues at Dehiwala Zoo
Monday, 24 January 2022 - 8:59

The State Veterinary Surgeons' Association Sri Lanka states that if the crisis at the Dehiwala Zoo is not resolved within a week, a trade union action... Read More