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Uganda to import oil from South Sudan

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KAMPALA, UGANDA - will start importing crude oil from Sudan as a measure of curbing the soaring prices of fuel, President Museveni has said.
Many believe the high fuel prices  have been a major contributor to the country's runaway inflation rate.

The high inflation rate in Uganda (14.1%) has led to a rise in the cost of living leading to demonstrations and riots that have led to some deaths and tainted the image of the country.
It has as well scared away tourists hence crippling the tourism industry.
President Yoweri Museveni during his swearing in for a new five year term in Kampala last week, assured that the importation of crude oil to be  refined by the country, will tremendously bring down the cost of fuel. Analysts have welcomed the president's new twist of ideas as his government had confined its self on the issue that it cannot do anything to bring down fuel prices "because this is an international problem."
"I think the government is starting to think otherwise which is very good for the country," says Dr. Aaron Mukwaya a Makerere University lecturer, adding that though the areas of suggested importation are facing civil conflicts that might make it more expensive than thought. The oil rich region of Abyei in Sudan is currently facing a civil war.
Museveni also promised that by the year 2016, Uganda is expected to move from a least developed country to a modern economy or a middle income economy.
"You cannot have a modern economy without a foundation. NRM has done a lot in laying a foundation of   developing infrastructure, education, health and other needed kinds of development," Museveni said.
The President said there are several projects that will see the country's growth in many sectors transportation, education, health, agriculture and scientific research.
He explained that the new government will embark on urgent projects like irrigation to improve farming, electricity development, roads, and railways.
Museveni added that the development of Information and Communications Technology will continue as a measure of easing communication for Ugandan citizens.
He said all sectors of the economy need to be improved to enable Uganda turn into modern economy.
On the issue of sky rocketing food prices, the president affirmed that high food prices was a temporary issue that was caused by the long drought with no rain that resulted in poor or low yields.
On fuel prices, Museveni assured that negotiations will start between Uganda, Sudan and Southern Sudan to import crude oil reportedly to be relatively cheaper.
He said the government will analyze the cost of fuel to Eldoret to ascertain if the high fuel prices were justifiable. This will be done with a view to solve the problem of the the high cost of living.
Another opportunity mentioned was the construction of oil refineries which will enable Uganda get her own oil expected in the next three years.

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