Germany Withholds Nyagak Power Project Cash

By Nelson Wesonga

German government development bank, Kreditanstalt für Wiederaufbau (KfW), has withheld a Shs35 billion grant for Nyagak III hydropower project in West Nile.

State minister for Energy, Simon D'Ujanga, attributed KfW decision to the delay by the project's developer - who was supposed to raise debt finance to build the Shs70 billion-project - to reach financial close.

Consequently, KfW, which had set aside €8 million (about Shs36 billion), of the $19.39 million (Shs70 billion) required for the project, decided to channel its money elsewhere.

READ MORE: http://www.monitor.co.ug/News/National/Germany-withholds-Nyagak-power-pr...