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- OPEC Fund provides US$30 million loan to improve rural transportation in Uganda
OPEC Fund provides US$30 million loan to improve rural transportation in Uganda
February 7, 2024: The OPEC Fund for International Development (the OPEC Fund) is extending a US$30 million loan to support the development of a key transportation link in Uganda. The rehabilitation of the Katine-Ochero road will provide better, faster and safer transport connections in the central-east region of the country. The project is co-financed by the Islamic Development Bank (IsDB) and the government of Uganda.
OPEC Fund Director-General Abdulhamid Alkhalifa said:
“Reliable infrastructure is a precondition for complex supply chains and the ability to move goods and services across borders. This improves socio-economic opportunities, especially for rural communities. We are pleased to upgrade this vital connectivity link and look forward to further expanding our long-standing cooperation with Uganda.”
The OPEC Fund Director-General signed the loan agreement today in Kampala with Matia Kasaija, Minister of Finance, Planning and Economic Development for Uganda, during a visit by an OPEC Fund delegation to the country. The mission agenda included discussions of potential new cooperation and visits to existing projects.
The Katine-Ochero road is located in the central-eastern region of Uganda in the Soroti district. The 70 km road will be upgraded from gravel to a paved road, which will allow for faster and safer travel, offering local rural communities improved travel connections. The development will also benefit local small businesses by providing access to marketplaces and shops.
To date, the OPEC Fund has provided around US$290 million to support sustainable development in Uganda, financing more than 20 projects in education, health, transportation, agriculture and energy.
About the OPEC Fund
The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed about US$27 billion to development projects in over 125 countries with an estimated total project cost of more than US$200 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA+, Outlook Stable by S&P. Our vision is a world where sustainable development is a reality for all.