Funding was initially suspended in August 2023 following Uganda’s parliamentary passage of the AHA, which sparked widespread international backlash over human rights concerns. At the time, the World Bank declared the legislation incompatible with its core values, prompting a freeze on new project financing.
In a statement to Reuters on Thursday, June 5, a World Bank spokesperson confirmed that financial support would resume, citing the successful implementation of safeguards within ongoing projects."The mitigation measures implemented over the past several months across all ongoing projects in Uganda are now deemed satisfactory," the spokesperson said.
With the resumption of support, the Bank has approved three new development initiatives focused on social protection, education, and assistance for refugees and internally displaced persons. These projects have received board approval and aim to address urgent developmental priorities.
As one of Uganda’s largest external funders, particularly in infrastructure and transportation, the World Bank's funding freeze had left several national projects in limbo and reignited debate about the role of international donors in shaping domestic policy.
The AHA, signed into law by President Yoweri Museveni, is considered among the world’s most punitive anti-LGBTQ+ measures. It includes the death penalty for so-called “aggravated homosexuality”—a term covering acts involving persons with disabilities or cases involving the transmission of HIV—and up to 20 years in prison for “promoting” homosexuality.
While the World Bank’s decision does not indicate endorsement of the law, the move signals a shift in its approach, underscoring the complex interplay between advancing development goals and upholding human rights principles. The decision comes as international condemnation of the law persists and internal scrutiny over its enforcement grows.
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