China Takes Over Uganda’s Entebbe International Airport & Other Assets Over $207m Loan

Date: 27-11-2021 8:12 am (1 month ago) | Author: Mister Jay Wonder
- at 27-11-2021 08:12 AM (1 month ago)
Online (m)

Chinese lenders, the Export-Import Bank of China, has taken over the Ugandan Entebbe International Airport and other assets in the country over the failure of the Ugandan government to repay a loan.

This came despite reports that President Yoweri Museveni had sent a delegation to Beijing for a renegotiation with the Chinese government over toxic clauses that exposed the East African country.

The Museveni-led Ugandan government had on Tuesday, 17 November 2015, signed an agreement with Exim Bank to borrow $207 million at two per cent upon disbursement.

The loan had a maturity period of 20 years including a seven-year grace period, but it had now appeared that the transaction signed with the Chinese lenders practically means Uganda “surrendered” its most prominent and only international airport.

The Uganda Civil Aviation Authority (UCAA) revealed some provisions in the Financing Agreement with China that exposed Entebbe International Airport and other Ugandan assets to be attached and taken over by Chinese lenders upon negotiation in Beijing.

According to the Daily Monitor, the Ugandan government waived international immunity in the agreement it signed to secure the loans, exposing Entebbe International Airport to take over without international protection.

In desperation, Uganda in March 2021 sent a delegation to Beijing hoping to renegotiate the toxic clauses of the deal but the officials came back empty-handed as China would not allow the terms of the original deal to be varied.

Last week, Uganda’s Finance Minister, Matia Kasaija, apologised to parliament for the “mishandling of the $207 million loan” from the China Exim Bank to expand Entebbe International Airport.

Progress of works at the airport, built in 1972, has reached 75.2 per cent, with two runways having reached overall completion of 100 per cent.

Entebbe International Airport is Uganda’s only international airport and handles over 1.9 million passengers per year.

Its seizure by China would greatly dent the legacy of the 77-year-old Museveni, who came to power on the back of an armed uprising in 1986.

The development also portends grave danger for other borrowers from China – including Nigeria – as observers fear the country is being sold to the Asian power.

Posted: at 27-11-2021 08:12 AM (1 month ago) | Addicted Hero
- blowout at 27-11-2021 12:10 PM (1 month ago)
At the rate buhari is borrowing, naija's four international airports and Aso rock itself will be owned by China soon.
Posted: at 27-11-2021 12:10 PM (1 month ago) | Gistmaniac
- taypetdun at 28-11-2021 08:28 AM (1 month ago)
Online (m)
That is exactly what the Fulanis are planning to happen in Nigeria, thereafter, they move back to Niger Republic and China will take over Nigeria. Sycophants are clapping hands that Buhari is doing well, when he is planning evil against the country. It will dawn to you all when the time comes.
Posted: at 28-11-2021 08:28 AM (1 month ago) | Upcoming
- constigoldo at 1-12-2021 05:47 PM (1 month ago)
Online (f)
Posted: at 1-12-2021 05:47 PM (1 month ago) | Gistmaniac