In an attempt to help the East African country, a credit of $205 million has been offered to Uganda by India to expand its infrastructure for electricity distribution and boost the local workforce through investments in the agricultural sector.
The statement released in Kampala, also informed that Mr Narendra Modi , Prime Minister of India and Mr Yoweri Museveni , President of Uganda also discussed the reform of the UN Security Council. Mr Modi was on a two day visit to Uganda, to strengthen bilateral ties between the two countries.
A loan of $141 million will be given to construct electricity transmission lines to Kampala and its substations. Another $64 million will be spent on agriculture and dairy production, said the statement.
The relationship between the two countries goes way back to the 19th century when the British brought in large number of Indians into East Africa to build a railway from the coast of the Indian Ocean into the hinterland, concluding in Uganda’s west. Many Indian labourers stayed back after the construction of the railway and established themselves as a large and economically successful community.
During Dictator Idi Amin rein, he accused them of exploiting the country, subsequently expelling them from Uganda, handing over their business to the locals. Some of them returned back to the country, under the leadership of President Yoweri Museveni and are prosperously growing in many sectors including manufacturing, retail and services.
Museveni and Modi “reaffirmed the need for a comprehensive reform of the UN Security Council, including its expansion, to make it more representative and responsive to the geopolitical realities of the 21st century.”