KAMPALA, Uganda— President Yoweri Museveni has rejected a proposal by the National Social Security Fund (NSSF) to finance the construction of a government administrative offices campus in Bwebajja, calling the deal “extortionist” and “broad day theft.”
The proposed deal would have seen NSSF lend the government UGX 1.3 trillion at an interest rate of 21%, with the total repayment amounting to UGX 4.7 trillion. However, Museveni was furious with the terms, saying that the government could access cheaper funding from international lenders at interest rates as low as 2-3%.
During a recent Cabinet meeting, Museveni personally attended and expressed his discontent with the NSSF proposal. He argued that the government should prioritize locally-sourced funding with more favorable terms, rather than relying on expensive loans from institutions like NSSF.
Prime Minister Robinah Nabbanja attempted to intervene, pleading with Museveni to allow the NSSF team to review their proposal and submit a revised version. However, Museveni was unmoved, and the proposal was ultimately deferred.
The government administrative offices campus project aims to bring together all government ministries, departments, and agencies (MDAs) in one location, increasing efficiency and reducing the need for rented office premises. The project is expected to help decongest Kampala City and promote economic growth.
The Ministry of Presidency is the implementing agency for the project, and officials from the Ministry, along with those from the Office of the Prime Minister (OPM) and the Gender Ministry, have been tasked with reviewing the proposal and submitting a revised version that addresses the President’s concerns
