Mutebile told a meeting in Kampala on Friday that the opportunity to borrow non-concessional – expensive money – to meet infrastructure needs has become very tempting, especially in anticipation of oil revenues, which serve as collateral for borrowing from international markets.
The report draws on secret documents and first-hand testimony to detail the means by which one of South Sudans most significant economic institutions has been co-opted to serve the personal aims of President Salva Kiir.
When Uganda confirmed existence of commercially viable petroleum reserves in the Albertine Graben in 2006, the biggest question whether oil reserves would become a blessing or a curse to the country. Hoima, once a sleepy town and district has since the discovery of oil and gas been bustling with activity. The momentum has been higher this year with plans to construct an oil refinery and an international airport ahead of first oil by 2020.
Last month, President Yoweri Museveni and his Tanzanian counterpart, John Pombe Magufuli, commissioned construction of the oil pipeline at Mutukula border in Kyotera District. Hoped to be one of the longest, 1,445km pipeline will run from Hoima in Uganda to Tanga in Tanzania. It is estimated to cost 3.55 billion US dollars, approximately 12.6 trillion Uganda Shillings.
For the last three years he has been working, Nickson Ayebare, a graduate from Makerere University hasn't been able to even build a house for his family.
But when Uganda starts pumping oil a few years from now, Ayebare hopes, the story will be very different.
The reported world record oil discovery rate of 90 percent in Uganda appears to have earned the country suitors it previously never imagined with fifty applications for licenses to explore and produce oil in the country presently waiting approval of government.
The recent oil discoveries by Tullow Oil in Kenya has continued to attract increased excitement and interest among the oil companies and the countryâ€™s population although there is yet no commercial discovery, according to a Petroleum official.