Uganda will receive an emergency loan worth $491.5 million (Sh52 billion) from the International Monetary Fund (IMF) to help cushion its economy from the impact of the coronavirus.
IMF said in a statement on Wednesday that key sectors of the East African economy such as tourism have taken a heavy blow from the crisis.
The effect has been compounded by a lockdown of the entire population to curb the spread of the virus.
“The weakening economic conditions emanating from the Covid-19 pandemic have put significant pressures on revenue collection, expenditure, reserves and the exchange rate, creating urgent large external and fiscal financing needs,” the IMF said.
Countries receiving loans extended under the IMF's Rapid Credit Facility pay no interest and have 10 years to return the money, according to the Fund's website.
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