Gulu: MPs assess performance of World Bank infrastructure loans

Parliament’s committee on the National Economy has embarked on the verification process of key  infrastructure projects in the 10 new cities, that are being funded by the Wolrd Bank under the USMID project.

John Bosco Ikojo, the chair of the National Economy Committee, said the utilisation $360 million from the multilateral lender will be scrutinised to the letter.

“Our committee (on National Economy) is mandated to pass all loans that government of Uganda sources. We are now doing everything possible to ensure that there is actually value for money. We can not keep passing loans whose value remains high in terms of interest rates and yet the impact on the population is low," Ikojo, said.

Speaking to the media during a field visit in the northern city of Gulu where the committee inspected over 11.7kms of roads, the lawmaker said that any additional funding targeting the new cities and municipalities will only be entertained after assessing what implementing units have achieved.

"This project (USMID) ends within a year’s time from now. But how the $360M have been utilised by the 22 municipalities and 10 cities must be of interest. They can only secure additional funding if their schedules for implementation is right and the outcomes are tangible," he said.

The Committee on National Economy, inspected ongoing works on six key roads including Nelson Mandela Road, Lakana Odonkara, Vincent Opiyo, Onono, Oola Lubaru and Francis Barabanawe roads.

Gulu city was allocated Shs 41 billion under the USMID-Additional Funding, part of which has since been utilised in constructing 11.7km of both inner city roads and new ones.

"Gulu is unique, the reason it secured higher funding than other cities and municipalities under the $360m credit line intended for 10 cities and 22 municipalities as well as refugee host districts. Previous high poverty incidents explains the reason behind the funding to Gulu City roads. We pray they continue to do well in their implementation," said Dr Kenneth Kayom, the Senior Urban Specialist at USMID AF.

This field inspection of the World Bank funded roads under the new cities comes when Ugandans continue to feel the heat on heavy domestic and external debt burden estimated at over Shs 73 trillion.

Muhammed Mabonga, a businessmen in Gulu city said he is lucky to have the capacity to compare progress of Gulu with some of the new cities such as Mbale, where is says implementation has been much slower than Gulu.

"If you look at this place (Gulu), it is more neat than Mbale. The quality of engineering is good. What they add now are more street lights," Mabonga said.

Chain Railway 18 Group is the firm contracted to build most of the road networks in Gulu city.