Uganda to Clear $14m Debt South Sudan Owes Its Traders
Local Editor
Uganda's parliament recommended that its government pays outstanding arrears amounting to $41m to 10 Ugandan companies that supplied maize and sorghum to the government of South Sudan.
Under the Uganda South Sudan Grain Traders and Suppliers Association Ltd, 10 Ugandan companies supplied maize and sorghum to 10 South Sudan states under the Strategic Grain Reserves Suppliers for $56m between 2008 and 2010.
However, although the money was to be paid in five instalments, South Sudan government only paid the first instalment of $15m, leaving a debt of $41m.
A civil war broke out in the young nation in December 2013 killing tens of thousands of people and displacing over 2 million civilians.
On Tuesday, however, Parliament's Committee on National Economy, recommended that government of Uganda pays the balance of $41m to traders who have been verified under their association, on behalf of the South Sudan government.
Meanwhile, South Sudan is expected to pay back the money it owes Uganda based on a repayment schedule agreed upon between the two governments in a five-year bilateral agreement running from 2018 and 2022.
Source: News Agencies, Edited by website team
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