September, Friday 20, 2024

Uganda's President Museveni retaliates after being removed from US-Africa trade deal Agoa


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Uganda's president, Yoweri Museveni, has played down the significance of the US decision to expel the country from the African Growth and Opportunity Act (Agoa). The US had previously hinted at taking such action after Uganda passed a controversial anti-homosexuality law. However, Museveni urged Ugandans not to be overly concerned, stating that some actors in the Western world overestimate themselves and underestimate Africa's freedom fighters. Agoa, which provides duty-free access to the US for eligible sub-Saharan African countries, has allowed Uganda to export goods to the US without paying import taxes. Although Uganda does not heavily rely on the US market, the expulsion is said to have minimal economic impact. Last week, US President Joe Biden announced the removal of Uganda, Gabon, Niger, and the Central African Republic from Agoa, citing gross human rights violations and a lack of political pluralism and rule of law. The Ugandan government has expressed confidence in achieving its growth and transformation targets despite opposition. However, Uganda's farmers and small business owners are expected to face challenges due to the expulsion. The removal from Agoa is set to take effect at the beginning of next year. The World Bank had previously suspended new loans to Uganda over the anti-homosexuality bill, and the US State Department has warned about the risks of doing business in the country. Museveni has accused the World Bank of trying to coerce the government through financial means to drop the controversial legislation.