Tag: GreatLakesNews

{Three mass graves have been discovered in central Democratic Republic of Congo, where hundreds have been killed since July in clashes between security forces and a local militia, the top U.N. rights official said on Wednesday.}

At least 400 people have died and 200,000 have been displaced since the fighting broke out with the Kamuina Nsapu militia. Police killed its leader, Kamuina Nsapu, last August, causing the violence to swiftly escalate.

U.N. High Commissioner for Human Rights Zeid Ra’ad al-Hussein urged the U.N. human rights council in Geneva to set up an inquiry “in light of recurrent reports of grave violations and the recent discovery of three more mass graves”.

Zeid gave no additional details about the graves during his remarks to the council, which touched on the human rights situations in dozens of countries. The U.N. rights office in Congo could not immediately provide further details.

Congo’s human rights minister told Reuters she was not able to immediately comment on Zeid’s remarks.

Congo’s government has said it is investigating allegations of rights abuses, including a video last month that appeared to show Congolese troops massacring militia members. However, it has dismissed offers of support from the U.N. rights office in Congo, which it accuses of bias.

Last month, Zeid said there were credible allegations of “massive human rights violations” in central Congo, including of people being targeted by soldiers for their alleged affiliation with Kamuina Nsapu.

The United Nations and rights groups, meanwhile, accuse Kamuina Nsapu of using child soldiers and attacking churches and government buildings.

Before his death, Kamuina Nsapu vowed to rid Kasai Central province of all state security forces, tapping into widespread opposition to the central government in the region.

Militia violence in Congo, a tinder box of conflicts over land, ethnicity and minerals, has been worsened by President Joseph Kabila’s failure to step down when his mandate expired in December, according to analysts.

Millions died in armed conflict in the country’s east from 1996-2003 and dozens of militia groups continue to operate near the Rwandan and Ugandan borders, but such violence in central Congo has been rare until now.

A formal U.N. investigation in central Congo would require action by the human rights or security councils as the zone falls outside U.N. investigators’ current mandate.

Source:Reuters

{The Makerere University authorities have suspended Ms Margaret L. Etuusa, the deputy academic registrar over an award of a contract for handling phones during the just concluded 67th graduation.}

Ms Etuusa, who is in charge of Certificates, Ceremonies and Production Division, was suspended on Tuesday by the acting Vice Chancellor, Prof Okello Ogwang, pending disciplinary action.

“Your written explanation was found not convincing. Accordingly, you are hereby suspended on half-pay with immediate effect and your matter is forwarded to the Appointments Board for Disciplinary action,” Prof Ogwang stated in the letter suspending Ms Etuusa.

“You are required to handover university property within your possession and under your care to the Academic Registrar, with a copy to the director Human Resource before you leave the university,” the letter added.

According to Prof Ogwang, preliminary investigations have shown that Ms Etuusa is the officer at the centre of the controversy of obtaining money from more than 44,000 graduands and guests and “attempting to paint the good image of Makerere University black.”

“It has been discovered that you irregularly handled a process of charging phone owners without approval from the university authorities,” the letter added.

The letter also indicated that Ms Etuusa overstepped her powers and abused her office by single-handedly procuring the phone handler.

Ms Etuusa signed a letter awarding a contract to Exxon Contractors Ltd to keep watch over mobile phones and other gadgets for graduands and guests during the ceremony at a fee of Shs3,000 per phone.

The letter further stated: “You flouted the PPDA provisions and vested yourself with the powers of the Contracts Committee with such a mandate, so your actions are susceptible to fraud, abuse of office and tantamount to gross misconduct contrary to the well-known and laid down procurement laws, policies and procedures.”

Ms Etuusa has also been banned from accessing her office during her suspension.

But in an earlier interview, Ms Etuusa told Daily Monitor that the issue had been used by some individuals within the university administration as a scapegoat to witch-hunt her. She said “the university organs should handle the issue in a manner they deem appropriate.”

Source:Daily Monitor

{A resolute government on Wednesday withdrew an earlier indication that it was willing to promote doctors one job group higher, but offered them all the pay perks contained in their contested 2013 Collective Bargaining Agreement.}

In an advertisement, the Ministry of Health indicates that the lowest job group — for interns — remains L, while it had earlier agreed to move them to M.

It also wants doctors who abscond duty evicted from government premises, and insists, despite doctors’ calls on Wednesday for one more chance at the negotiating table, that there would be no further talks with medics unless they return to work.

In the meantime, the government has recalled all postgraduate medical students, who are expected to take up positions in the counties.

In the government offer, the senior-most doctors will be in job group T, earning a maximum salary of Sh592,000. Interns will earn a minimum of Sh196,000 and a maximum of Sh206,000.

{{Allowance removed }}

Doctors have been fighting for a minimum salary of Sh325,000 for interns and a starting salary of Sh852,000 for the highest cadres.

The proposed additional Sh10,000 risk allowance has been removed. Also, the extraneous allowance in the new deal is Sh30,000 across all the eight job groups, which differs from the 2013 CBA, which had proposed that medical specialists in job groups S and T receive a Sh40,000 extraneous allowance.

The new offer and tough talk from the government came as doctors termed the decision by President Kenyatta to stop all pay talks with them as “unfortunate” and “shocking.”

They also asked what could have happened in the short period between a court hearing in Nairobi Tuesday morning that raised hopes of a deal, and the announcement in Naivasha later in the afternoon that the government would no longer engage them in talks.

Through their lawyer, Mr Philip Murgor, the medics said they had all along believed they had reached an agreement with the mediation team after they agreed to take a 40 per cent pay increase on Monday evening, only to realise it would not be captured in a new CBA.

“There was joy in court after the hearing because we believed we had ended the stalemate,” said Mr Murgor on the phone yesterday. “I was actually shocked by the threats to deregister the doctors’ union and recall of the previous offer.”

{{Table report }}

The battle for the President’s ear, however, had started earlier, on Monday evening. The clergy mediating the dispute wanted to table their report to State House after expiry of their mandate, and they brought in lawyers to write it for them.

The doctors’ union officials, however, differed with the final report, seen by the Nation, as it, among other things, asked the President to forgive them for disobeying him.
“Having met with the doctors,” the report to the President read, “we can now say that they have expressed their remorse and they humbly request, Sir, for forgiveness.”

It was signed by John Cardinal Njue (Catholic), Archbishop Jackson Ole Sapit (ACK), Rev Julius Mwamba (PCEA), Sheikh Adan Wachu (Supkem), Bishop John Warari (EAK), and Nitin Malde (Hindu Council of Kenya).

The doctors, however, said they had never, in their negotiations, asked the clergy to beg for forgiveness of the President on their behalf, and refused to accompany the preachers to State House as earlier planned. They believe the clergy went ahead to present the contested report to the President.

They also said they were shocked to learn, at the Court of Appeal Tuesday morning, that the clergy had included a paragraph to the effect that they would call of the strike.
The paragraph, towards the end of the report to the court, read: “We have further been informed this morning that the KMPDU is ready to enter into a return-to-work formula and the recognition agreement pending the initialisation of the CBA.”

But doctors said they had not agreed or indicated to anyone that they would call off the strike before signing the CBA as they feared the government might not honour it. When they raised this concern, lawyers for the clergy cancelled the paragraph with a pen before submitting it to the court.

Source:Daily Nation

{The United Nations World Food Programme (WFP) has welcomed a contribution of €5 million from the European Union (EU) to support the Home Grown School Feeding project and boost the nutrition of 20,000 children, mothers and pregnant women in central Burundi.}

“We are very grateful to the EU for this important and timely support, which will contribute to the government’s efforts to improve the food and nutrition security in Burundi,” said Charles Vincent, WFP Burundi Country Director a.i. “The package we plan to provide in Gitega province will not only help children reach their full potential but also improve the overall food security of those we support.”

The funds will contribute to the reduction of food and nutrition insecurity of rural populations affected by the ongoing socio-political situation in Burundi through a project combining support to education, promotion of agricultural production and prevention of malnutrition.

“This financial support of the EU is part of the larger envelope provided to respond to the effects of climate change in developing countries,” said Wolfram Vetter, Head of the European Delegation to Burundi. “In Burundi, it will contribute to improve the living conditions of populations who were severely affected by climatic shocks and the recent socio-political situation in the country.”

The EU contribution will enable WFP to purchase food commodities from local smallholders in Gitega province and distribute them to school children through hot school meals made of rice, beans and locally fortified maize flour. The distribution of fresh milk will also be piloted in schools receiving assistance.

School feeding has proven to be effective in increasing attendance rates and was commended by the Government of Burundi during last year’s WFP portfolio evaluation. School feeding is also expected to bring back children who had quit school due to a lack of food at home. At the same time, the market provided to smallholders through purchase of their produce will boost food production and the local economy.

In a country where the chronic malnutrition rate is a shocking 58 percent, the project will seek to prevent malnutrition and stunting by focusing on the first 1,000 days of a child’s life, from conception to a child’s second birthday. Inadequate nutrition during this crucial period can lead to irreversible damage to minds and bodies, affecting a child’s ability to grow, learn and eventually rise out of poverty. People affected by stunting, or reduced growth, are more likely in later life to be ill, to perform poorly at school or drop out of classes, to be less productive at work and even to die early.

Specialized nutrition products, enriched with protein, vitamins, minerals and other nutrients, will be provided by WFP to pregnant and nursing women and children from 6 to 59 months. This is part of a full package of services including nutrition, hygiene and sanitation education.

Source:Relief Web

{Johannesburg (miningweekly.com) – Democratic Republic of Congo (DRC) group Fleurette has responded to criticism directed at it on the Kamoto Copper Company (KCC) royalties issue.}

The issue in question centres on the sale by DRC State mining company Gecamines of royalties from Katanga’s KCC project to a Fleurette-owned entity.

Dan Gertler’s Fleurette states in a media release that international nongovernmental organisation Global Witness has either misunderstood or ignored the basic economics of the deal, which it says produced significant value for DRC State mining company Gecamines and a loss to Fleurette.

The company points out that $3-billion was paid in tax by the Mutanda and KCC assets and laments the failure to note that Gecamines had to use the royalty to cover a pre-existing debt, and also that the DRC government continues to be entitled to royalty payments for KCC and Mutanda.

Owing to Gecamines selling the royalty right before operations at KCC were suspended, Fleurette says that, in addition to the loss of the royalty deal, it lost $190-million on the sale of its equity stake in Katanga.

It explains that Gecamines gave directions to KCC to make the payments due to it direct to Africa Horizons Investment in partial payment of the historic loan.

Fleurette describes as disappointing the jumping to conclusions rather than accepting the demonstrable benefit to Gecamines and the DRC.

Diversified mining and marketing company Glencore last month bought the remaining 31% stake in Mutanda for $922-million and a further 10.25% stake in Katanga for $38-million from Fleurette, its former joint venture partner.

The all-cash transaction, net of loans, resulted in Glencore paying Fleurette $534-million in cash, after taking into account the settlement of outstanding loans payable by Fleurette to Glencore and shareholder loans owed to Fleurette by Mutanda, now operating at full capacity of more than 200 000 t of copper a year.

Gertler said at the time that with the mine operating at full capacity, it was opportune for Fleurette to exit its investment and to reinvest in further brown and greenfield opportunities in the DRC.

Source:Engeneering News

{The final report on the negotiations to end the 93-day-old strike by doctors in public hospitals is set to be presented in the Court of Appeal today.}

The Inter-religious Council of Kenya, who are leading the mediation, officials of the Kenya Medical Practitioners, Pharmacists and Dentists Union (KMPDU and their lawyers are in already court in Nairobi.

{{HOPEFUL }}

This follows a series of closed-door meetings over the weekend that ran until Monday evening, when the doctors’ union officials met with religious leaders.

Present from the Inter-religious Council of Kenya were Catholic Church head John Cardinal Njue, ACK Archbishop Jackson ole Sapit, Sheikh Adan Wachu and Lodwar Catholic Bishop Dominic Kimengich.

As he left the venue of the meeting at around 3pm Monday, Cardinal Njue said he was “hopeful that the talks will come up with something”.

The words were echoed by Bishop Kimengich, who added that they were “seeking divine intervention to get to a solution”.

The court gave the parties two days to agree after mediation talks led by the Law Society of Kenya and the Kenya National Commission for Human Rights failed to break the stalemate.

Source:Daily Nation

{On this day, 10 years ago, the first batch of Uganda People’s Defence Forces (UPDF) landed in the war-torn Mogadishu where they have been fighting the Al-Shabaab Islamic militants in one of the most daring peace support operations in the world today.}

By mid-2007, the UPDF, which was the first and only force at that time to deploy there under the African Union Mission for Somalia (Amisom), was controlling less than 10 per cent of the battered capital Mogadishu. However, subsequently other countries joined the AU peace operations and deployed troops to reinforce the UPDF in Somalia with each force or group of forces allocated designated areas for own command and control. Today, the UPDF has pushed the Al-Shabaab to the farthest point—about 200km away from Mogadishu.

In the west of Mogadishu, UPDF has bases in Lego, Afgooye and in southwest, they have forward bases in Baraawe, about 190km from Mogadishu.

Ugandan troops are deployed in Sector One in Benadir region and Banadir, and Lower Shabelle regions while Kenyan troops are responsible for Sector Two comprising Lower and Middle Jubba regions.

Sector Three comprising Bay and Bakool as well as Gedo (Sub Sector 3) is under Ethiopian command. Djiboutian forces are in charge of Sector 4, which covers Hiiraan and Galgaduud areas while Burundian forces are in charge of Sector 5, which covers the Middle Shabelle region.

Djiboutian forces are in charge of Sector 4 that comprises Hiiraan and Galgaduud areas while Burundian forces control Sector 5, which covers the Middle Shabelle region.

The entry of the Ugandan troops into Mogadishu triggered a turnaround of the capital ruined by war and anarchy. The hitherto deserted Mogadishu streets are now buzzing business hubs. Shops open early and close late. The beautiful beaches that were once no-go zones are now coveted leisure centres. Streets have flashing lights, the displaced people are returning home and new high-rise buildings are decorating the horizons of the capital.

However, it would be reckless to say or believe that Al-Shabaab is beaten and baked. Although they have lost their main bases, they remain resilient and capable of inflicting harm of significant havoc. They still possess capacity to carry out deadly attacks of enormous proportions in the captured areas and direct raids on isolated or far-flung AMISOM defensive positions.

The foregoing notwithstanding, the overall security situation in Somalia and particularly Mogadishu has continued to improve every passing day. This is manifested in the diminishing Al-Shabaab activities in the capital and other key centres across the country.

This has been brought about by the work of the UPDF and AU counterparts from other troop contributing countries.

Today livestock exports have resumed after 21 years in limbo; the capital city has seen the first gas station and flight arrivals of up to 40,000 per month; commercial maritime arrivals have increased and air traffic grows at an average of 20 per day.

To achieve this has not been a simple task. It’s no mean feat. The Amisom, which was initially a peacekeeping mission, had to metamorphose into a war-fighting operation because there was “no peace to keep”. They could not keep what did not exist. They had to first create the peace and think out how to keep it.

“We had to prepare for the worst. The environment was hostile. What we found on the ground was different from the expectations,” said Maj Gen Peter Elwelu, the commander of UPDF Land Forces, the commander of the first Ugandan contingent in Somalia in 2007.

The Al-Shabaab hostility in Mogadishu meant that the UPDF had to deploy combat artillery which are rarely applied under normal peacekeeping operations. The UPDF also had to deploy more troops to counter the Al-Shabaab viciousness. In 2007, Uganda had only 1,600 troops in Somalia but currently, there are more than 6,000 troops.

{{Commanders}}

Maj Gen Elwelu was followed by commanders: Brig Geoffrey Golooba; Brig Bakasumba; Brig Katsigazi; Brig Michael Ondoga; Brig Paul Lokech; Brig Sam Okiding; Brig Dick Olum; Brig Sam Kavuma; and Brig Kayanja Muhanga.

According to UPDF records, a total of 44,999 soldiers have served in Somalia for the last 10 years both on repeat deployment and first-time deployment. Many have been to Somalia several times while others have served there once, but it could not be readily established how many of them have served on repeat deployment or first-time deployment. Some have served there twice or thrice.

The number of UPDF troops in Somalia started increasing in 2010 when Al-Shabaab intensified attacks against Uganda-manned bases. In 2010, the force was increased from 1,600 to 4,723. The number was increased again in 2011 as AMISOM prepared for the final assault on Al-Shabaab in Mogadishu and later spread its operations outside the capital. The UPDF increased its troop strength from 4,723 to 6,223. The same number remained until 2014 when it was reduced to 6,040.

Wages and revenue
Each of the 22,000 Amisom soldiers is entitled to $868 (Sh3,038,000) every month. However, the respective governments deduct $200 from each soldier as administration costs. This means a soldier takes home $668 per month. Earlier, between 2012 and 2014, each soldier was entitled to $1,028 before the European Union, which is the chief AU financier of AMISOM, cut the budget by 20 per cent.

In the case of Uganda, which has over 6,000 troops in Somalia, the government earns $1,208,000 every month from the soldiers’ allowance deductions. At the beginning of 2007, government was deducting $100 from $500 each soldier was earning. The allowances were later increased to $800 in 2009 and to $ 1,028 in 2012. The government accordingly also increased the monthly deductions to $200 that year, with each soldier taking home $828 between 2012 and 2015.

Between 2007 and 2011, government deducted a monthly fee of $100 from 14,246 who served in Somalia during that period. In the last 10 years, government has received $90,892,800 [Shs319 bn] as deductions from the soldiers’ allowances. The net pay to the soldiers in the last 10 years has grown to $385m [1.347 trillion].
Government also gets reimbursements from the UN for the wear-and-tear of its military equipment. According to sources, the United Nations pays $6 per day for a Sub-Machine Gun (SMG).

Every bullet that is fired is also paid for by the United Nations. According to the Memorandum of Understanding between the UN and Uganda, the UPDF manages and maintains all the equipment under the arrangement of Wet Lease arrangement. Different weapons including heavy equipment like tanks, Armoured Personnel Carriers (APCs) are deployed in Somalia.

However, sources say heavy weapons like tanks are not paid for because they are not on the list of UN-agreed weapons to be deployed in Somalia.

It’s not clear how much Uganda is paid for these military hardware but the Deputy Army Spokesperson Maj Henry Obbo said it’s money from these UN reimbursements that UPDF is going use to construct a modern hospital worth about Shs100bn for the army.

“The money we receive from the UN for use of our equipment will be used to construct a hospital in Mbuya,” he said.

{{Casualties}}

There are no publicly available records of Uganda’s casualties in Somalia because the issue has been kept a secret by all Troop Contributing Countries yet the soldiers who die on duty as agreed to by the UN Security Council and AU deserve to have their sacrifice publicly recognized.

There have been speculation that between March 2007 and January 2015, Amisom lost “perhaps over 4,000” troops but the figure has been disputed by the troop contributing countries.

Maj Obbo said they cannot reveal the number of deaths among their troops nor the casualties of the enemy killed in battle.
“We cannot reveal the number [on our side] nor can we tell you how many Al-Shabaab fighters we have killed because we didn’t go to Somalia to kill but to help Somalis get peace,” he says. However there is some information about the Amisom casualty toll available at the Stockholm International Peace Research Institute (SIPRI) yearbooks published for 2009 and 2014. Mr Paul Williams, a professor of international affairs at George Washington University who has done research projects on Amisom fatalities, says a study done by Stockholm International Peace Research Institute (SIPRI) in 2014 found that between January 1, 2009 and December 31, 2013, Amisom lost 1,039 soldiers.

The figure was broken down as: 200 in 2009; 300 in 2010; 94 in 2011; 384 in 2012, and 261 in 2013.

Besides, during 2014, Amisom told SIPRI that it had suffered a further 69 fatalities as a result of hostile action, bringing the overall casualty total to 1,108 troops.

{{The six key points }}

1. 44,999 soldiers have served in Somalia for last 10 years including those on repeat deployment.
2. 59 Battalions have been deployed and fought in Somalia.
3. 10 Contingent commanders have served since 2007.
4. The net pay to the soldiers in the last 10 years is $385m [about1,385 trillion].
5. Government has made $90,892,800 (Shs327b) as deductions from the soldiers’ allowances.
6.Commanders: Maj Gen Elwelu was followed by commanders; Brig Geoffrey Golooba, Brig Jack Bakasumba, Brig Geoffrey Katsigazi, Brig Michael Ondoga,Brig Paul Lokech, Brig Sam Okiding,Brig Dick Olum, Brig Sam Kavuma, and Brig Kayanja Muhanga.

Source:Daily Monitor

{Exploration and extraction of oil and natural gas in Zanzibar is scheduled to start any time from now, using a special aircraft known as drone in dry land and ocean.}

Zanzibar Minister of Lands, Water, Energy and Environment, Salama Aboud Talib, said preliminary works on the exploration and extraction of oil and natural gas will begin in Pemba block.

“This is to inform the public in Unguja and Pemba that soon works on exploration and extraction of oil and natural gas will start in Pemba block in Zanzibar. The block comprises of dry land in all the isles and ocean surrounding the isles,” she explained.

The minister revealed that Bell Aerospace Enterprise Limited from the United Kingdom will execute the works, using drones to study rocks beneath the earth for oil and natural gas, the process that is expertly known as “Airborne Full Tensor Gravity Gradiometry Survey.”

The minister said the exploration and extradition works on the block will take four months, assuring the public that the works will not have any effect on residents and that they should continue with their duties as usual.

The Zanzibar government has asked ‘wananchi’ to collaborate with experts who will be performing the exercise to avoid work delays on the exploration and extraction stages.

“It is clear that the public in Zanzibar has for a long time waited for commencement of exploration of oil and natural gas and final extract of the precious natural resource.

We all believe this resource will help the growth of our economy,” she explained.

Source:Daily News

{President Museveni’s ambitious grand plan to have Uganda Airlines fly again as soon as possible has encountered a headwind with the government stuck on how to raise the initial capital to get the project off the ground.}

An official familiar with the multi-billion dollar project, told Sunday Monitor this week that approaching an external source (China’s EXIM Bank being on top of the list) was initially discussed as the immediate alternative at hand for government to raise the initial investment capital. However, due to the ever changing competing priorities, “there is a second thought on borrowing to finance a project whose returns are very debatable” notwithstanding available reports on the cost-benefit analysis of a national carrier.

The National Planning Authority, which, together with ministry of Works, is spearheading the project, had last year indicated that the initial capital expenditure required to fly Uganda Airlines again was earlier put at $400m (Shs1.4 trillion).

Since the revival plans started on recommendation of a report by government agencies, including the Uganda Development Corporation, Civil Aviation Authority and National Planning Authority, the plan was/is for government to buy and operate its own aircrafts like South Africa, Ethiopia and neighouring Kenya; for which they needed to borrow at least $331m (Shs1.1 trillion) to purchase six aircrafts for starters.

The official also intimated that President Museveni is very keen on “borrowing the Ethiopian experience, and probably having the Ethiopians help Uganda get the first foot on the ground—including sharing of technical staff.

Ethiopian Prime Minister Hailemariam Desalegn left the country yesterday (Saturday) afternoon after a three-day state visit, but it is still unclear whether during talks with President Museveni—at State House on Thursday and at Kisozi farm on Friday—the two discussed the matter.

Works minister Monica Azuba-Ntege confirmed to this newspaper on Wednesday they had [that day] forwarded a White Paper to Cabinet outlining the several modalities of getting the project off the ground.

“The ministry of Finance gave us a certificate of implication for the project, and this will guide the discussions,” she said. “Some of the modalities are; whether we should operate the entity as a statutory corporation, through Public Private Partnership (PPP)/co-financing, or we should just bring an investor to operate it—but that is all subject to discussions.”

Asked when Cabinet was likely to discuss the matter, Ms Azuba said “hopefully” next Wednesday but “well, at least we submitted it.”

Like our sources intimated, the minister, however, expressed misgivings on government borrowing/turning to China’s EXIM Bank to secure funding for the project, saying “our preoccupation right now is getting money for the oil roads that are required to facilitate oil production” in the oil belt, Albertine Graben, in South Western Uganda.

This newspaper disclosed on Thursday that government is tabling a loan request of more than $500m (Shs2 trillion) to Exim Bank, which will be supplemented by withdrawals from the Petroleum Fund, and additional funding from the ongoing budgetary cuts for financing 10 oil roads and a bridge in the Albertine Graben.

Government is in great anticipation of a cash advance of $2.8b (Shs8 trillion) from Exim Bank for financing the construction of the first phase of the Standard Gauge Railway (SGR)—the 273km line running from Malaba to Kampala.

Exim Bank already is financing other government’s expensive signature projects, among others the $2.2b (Shs7 trillion) Karuma (600MW) and $590m (Shs2 trillion) Isimba hydro-power dams, $500m (Shs1.8 trillion) Kampala-Entebbe Expressway and $200m for expansion of the Entebbe airport.

A report, the Presidential Economic Council Paper on the Revival of Uganda’s National Carrier, prepared by government agencies tasked to plot the process, recommended that if Uganda Airlines is to be revamped, government should consider buying brand new aircraft instead of leasing.

Attempts to reach the National Planning Authority were futile as our repeated calls were not answered by press time.

During his inaugural address to Cabinet last year, President Museveni termed the lack of a national airline “a big shame,” criticising Kenyan, Ethiopia and South African “brothers” for ditching the comradeship and instead opting to exploit Ugandans. “I thought that our brothers in Ethiopia, Kenya, South Africa, etc. having airlines would serve all of us. That, however, is apparently not the case,” he said.

Finance minister speaks out.

The minister of Finance, Mr Matia Kasaija, yesterday said reviving the national carrier is not a top priority in our economy at the moment.

“We don’t have money for it right now. We have already reached our borrowing limit and as such, we are prioritising roads at the moment,” he said.
The Finance minister said they would focus on the airline after tackling the key priority areas at the moment.

NPA report on the project.

“Government will purchase the aircraft using loan finance sourced internationally at an interest rate of 5 per cent per annum and over periods of 7-10 years (One A330-200 cost is estimated at $109.5m (Shs372 billion). Two are required, while a CRJ900 costs $27.96m (Shs95b),” the report points out.

Money matters. Government proposes to borrow $331m (Shs1.1 trillion) for the purchase of six aircraft to ply both regional and international routes. One of the possible sources of the borrowed funds is the PTA Bank, which the report notes, has shown the intention to finance the project.

The 89 page blue print notes that the revamped national airline would be spending about $45.2m (Shs156.6 billion) annually on leasing expenses for six aircraft.

Golden days. Uganda initially had an airliner, established in May 1976 under the Idi Amin government but was in 2001 liquated over heavy debts that stood at a tune of more than $6m (about Shs21b). The liquidation, a painful reality, did not settle in well with a number of stakeholders, who blamed government for deliberately killing the airline. – Jonathan Adengo

{{The numbers }}

238b

The government will inject $70m (Shs238b) for operating the airline as start-up capital and working capital.

{{1.1trillion}}

The government proposes to borrow $331m (Shs1.1 trillion) for the purchase of six aircraft to ply both regional and international routes.

Source:Daily Monitor