French financing hits EURO450m in Uganda

Yves Boudot, Director Agence Francaise de Developpment (L), Sophie Makame (M) Ambassador of France to Uganda and Virginie Leroy Country Representative Agence Francaise de Developpment in Uganda during the press conference. (PHOTO BY PAUL TENTENA)

KAMPALA, UGANDA - Having invested over EUR 8.3 billion of commitments worldwide in 2015, 15% up compared to 2012, the French Development Agency (AFD) has achieved another historic year for its activities to promote new economic-growth and both more resilient and inclusive development.

This level of performance is reflected accordingly in Uganda where AFD committed over € 73 million in 2015, doubling its interventions in Uganda over the last two years according to Yves Boudot, Director Agence Francaise de Developpment or the French Development Agency.

Boudot said with a view of supporting sustainable and equitable development in four main sectors: water and sanitation, energy, environment and climate change, private sector, consistent with the main priorities raised by the Government of Uganda and private sector players, and in line with the Sustainable Development Goals (SDGs) and the Paris Agreement on Climate change reached during COP21*, the French government development arm committed all the funds.

“AFD Group has been operating in Uganda for almost twenty years, initially via its subsidiary PROPARCO, then with AFD itself. Since 1998, over €450 million have been injected in development projects in Uganda, with more than € 240 million over the past three years,” said Boudot.

He said they are focused on supporting the energy sector , generation of renewable energy, extension of the national grid and regional interconnection, improved access in rural areas;

“Improving water supply and sanitation systems in urban areas like the Gaba water works and the urban sanitation projects have been key on our agenda,” said Virginie Leroy Country Representative Agence Francaise de Developpment in Uganda.

She said promoting private sector through public-private partnership, credit lines and guarantee scheme to local banks, credit facilities and equity sharing for companies are some of the priorities they are focusing on

Sophie Makame the Ambassador of France to Uganda said they will continue addressing the challenges of climate change: low carbon and climate resilient development strategies, promoting energy efficiency solutions, sustainable management of national parks preserving biodiversity and promoting tourism.

She said they will support the implementation of an ambitious Ugandan contribution to the COP21 process and outcome.

Leroy said they intend to fund the 45m euros Muzizi Hydro Power Project, 37m euros Transmission line to Mbarara through Masaka, fund the Kampala Jinja Express Way at 180m euros as well as funding credit lines to local banks for energy efficiency and renewable energy which are yet to be signed.

AFD is a public institution that implements France’s policy for development financing. It operates on four continents, in over 90 countries and in the French overseas territories, and works on a daily basis to meet its partners’ needs.

By Paul Tentena, Sunday, June 05th, 2016


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