UNCDF – DINU Quarterly Progress Report – April June 2020 EU

Development Initiative for Northern Uganda - DINU

Quarterly Report

Title of the Action: Development Initiative for Northern Uganda

Reporting Period: 1st April to 30th June 2020 CRIS Number: DA No: FED/2017/387048

Due Date: 15th July 2020

Submission Date: 17th July 2020

QUARTER I PROGRESS REPORT

ACTION DETAILS Programmeme Development Initiative for Northern Uganda (DINU) Title Action Title: Development Initiative for Northern Uganda (DINU) CRIS No: DA No: FED/2017/387048 Implemented United Nations Capital Development Fund (UNCDF) by: Area of Region Districts covered (38 districts including five new districts) Implementation Abim, Amudat, Kaabong (includes new district Karenga), Kotido, Moroto, Karamoja Nakapiripirit (includes Nabilatuk – new district) Napak Acholi Agago, Amuru, Gulu, Kitgum, Lamwo, Nwoya, Omoro, Pader Alebtong, Amolatar, Apac (includes Kwania- new district) Dokolo, Kole, Lango Lira, Otuke, Oyam Teso Amuria (includes Kapelebyong- new district), Katakwi Adjumani, Arua, Koboko, Maracha, Moyo (includes new district Obongi), West Nile Nebbi, Yumbe, Zombo

Starting date: 21st December 2017 End date: 30 June 2022 Implementing Private Sector Foundation of Uganda (PSFU); Uganda Development Bank Ltd (UDB); Ministry of partner(s): Works and Transport (MoWT); Ministry of Local Government (MoLG); Local Government Finance Commission (LGFC); Uganda Local Government Association (ULGA); Urban Authorities Association of Uganda (UAAU) and the 18 core District LGs (includes 2 new districts of Obongi and Kapelebyong) Direct The direct beneficiaries include small and medium enterprises engaged in agribusiness value beneficiairies addition from 38 districts listed above; Local Government officials both technical and political and members of the community from the 18 core districts of which 5 districts (Amudat, Abim, Adjumani, Moyo and Obongi) benefit from the Road Rehabilitation Fund and 5 districts (Amuria (includes the new district Kapelebyong), Otuke, Yumbe, Omoro and Amudat) benefit from the Local Government Excellence Fund. Final The final beneficiaries will be the people of Northern Uganda from the 38 Districts of beneficiaries programme coverage. Project 54 months Duration: Total budget: EUR 25,852,174 Financial EUR 352,174 contribution. EU financial EUR 25,500,000 contribution: Reporting 1st April to 30th June 2020 10th Quarterly Report period/ No. of report: 2

Specific 1) To increase food security, improve maternal and child nutrition, and enhance household Objective(s) of incomes through support to diversified food production and commercial agriculture and DINU targeted through improving household resilience (notably to climate change) and women by this Action: empowerment; 2) To increase trade of commodities within the region, within the country, and with neighbouring countries through the improvement of transport infrastructures; 3) To strengthen capacity, gender-responsive good governance (core mandate and broad general mandate) and the rule of law at the level of local government authorities and empower communities to participate in improved local service delivery. Specific Result(s) 1.2 Increase market accessibility; of DINU 2.1 Transport infrastructure in the region is improved and climate-resilient; targeted by this 3.1 Capacities of Local governments to manage core public financial processes is strengthened Action: to improve service delivery and local development; 3.2 Upward accountability of Local Governments increased; 3.4 Capacities of local government to deliver services to communities strengthened. Specific 1.2.2 Providing seed capital to incubation projects: design and implement a mechanism for Activity(ies) of providing Business Development Services and seed capital in the form of loans, grants and DINU targeted reimbursable grants to promising projects; by this Action: 2.1.2 Rehabilitation and upgrading of selected numbers of priority districts and community access roads within 4 priority districts (Amudat, Adjumani, Abim, Moyo includes a new district of Obongi) 3.1.1 Strengthen capacities of Local Governments in public financial management; 3.1.2 Strengthen capacities of mandated local government units to efficiently mobilize and equitably allocate and utilize local revenue and resources; 3.1.3 Structured partnership with Associations of Local Authorities and key relevant institutions for research and advocacy on institutional and policy reforms relating to core mandates of local governments; 3.2.1 Support and strengthen LG accountability institutions in their interaction with line ministries and national accountability institutions; 3.2.2 Support the reform and pilot implementation of the Government of Uganda's own annual performance assessment framework for local governments 3.2.3 Incentivize performance of local governments and to stimulate community involvement; 3.4.3 Support districts and communities in road maintenance. 3.4.5 Improve land governance and facilitate the registration of Certificates of Customary Ownership. OPM Improved incomes and sustainable livelihood for the people in the disadvantaged areas Programmeme through improved production and wealth creation. Outcome

REPORT HIGHLIGHTS: The report presents the progress made by the Programme during the period from 1st April to 30 June 2020. The key highlights of the report are as follows:

During the reporting period, the Government of Uganda like other governments across the world instituted a nationwide lockdown to curb the spread of COVID-19, which was declared a pandemic by the World Health Organisation on March 11th, 2020. Since then, the government has begun to ease nationwide lockdown put in place on March 30th, 2020, allowing for some businesses to open, both public and private transport to run. However, some restrictions for example curfew from 7:00pm to 6:30am remain in place. The UNCDF Country Office in Uganda continues to employ teleworking methods during this time. We continued implementation of activities largely using digital options and limited physical interaction for activities of high importance.

With co-funding from DINU, UNCDF in collaboration with Makerere University (College of Business and Management Sciences) and other relevant ministries, agencies and departments undertook a socio- economic assessment on the impact of COVID-19 on small and medium enterprises (SMEs); and the local government fiscal space and service delivery. The assessments were informed by the work of UNCDF across the country including operations of the designated interventions under DINU programme. The final products of the assessments, two reports (the Uganda Business Impact Survey 2020 and the Impact of COVID-19 on Local Government Fiscal Space and Service Delivery) were officially launched in May 2020 by the Minister of Trade, Industry and Cooperatives and the Minister of Local Government, respectively. The Uganda Business Impact Survey, 2020 was launched and discussed via a televised event with representation from the European Union. The reports highlight the impact on both sectors and provide recommendations on how to survive the pandemic and beyond. (Links to both reports are available in the media section.)

The Uganda Business Impact Survey has been particularly instrumental in informing and shaping the government relief package for the private sector instituted since then. In particular, the government acted on such report recommendations as setting up a dedicated loan facility for SMEs (via UDBL), deferment of PAYE and corporate taxes, provision of credit through SACCOs and microfinance institutions to support micro and small-scale enterprises, etc. The Survey has been hailed by the government and other partners as a strong example of a robust evidence-based contribution to the government policy-making process.

UNCDF submitted an addendum to the European Union on the proposed re-purposing of funds and downsizing the land component. This will strengthen and scale up already ongoing activities which include: - strengthening pre-investment and post investment business development services (BDS) to SMEs; and providing partial credit guarantees. - From the bid evaluation and contracting process, the tentative total bid prices for all the road (405km) sections revealed a deficit. Therefore, an additional allocation on the District Road Rehabilitation Fund (DRRF) is considered to fully implement the road rehabilitation programme. - The Local Government Excellence Fund (LGEF) has been operational in five LGs (Amudat, Amuria, Omoro, Otuke and Yumbe) and has so far leveraged over €331,485.52 from partners, and projects have directly supported livelihoods of over 34,000 people in the five districts. Additional, four districts (Zombo, Napak, Agago and Kole) are proposed in line with the selection criteria.

Under the Food Security, Livelihoods & Nutrition component, the programme intensified efforts to provide 4

seed capital to incubation projects in a bid to promote SME agro value addition and job creation in Northern Uganda. Uganda Development Bank Limited (UDBL) disbursed UGX 236,802,000 resulting into a cumulative disbursement of (UGX 388,596,734) to Kana Grain Millers Ltd out of UGX 470,557,500 of the total approved loan. The START Management Board approved two additional firms that were submitted to UDBL bringing the total to eight firms forwarded to UDB for financial closure. The eight projects with a total project value of UGX 10 Bn will receive UGX 2.5 Bn from the START Facility in the form of concessional loans and partial credit guarantees leveraging UGX 3.6 Bn from other financing institutions including UDB and UGX 4.7 Bn from the SMEs own contribution. These projects will create additional income for up to 50,000 farmers (50% of them women and young people) in five districts, reduce post-harvest losses from five to 10 percent and will translate into a 30 to 50 percent increase in profits for the enterprises and their members.

The START Facility Board also approved UGX 830m Small Business Recovery Fund (SBRF) out of the START facility as a pilot fund to provide interest free working capital loans to SMEs shortlisted under START facility and affected adversely by the impact of COVID-19. By end of June 2020, we received 55 applications and 17 applications selected to benefit from up to EUR 10,000 (UGX 40m) in interest free working capital loans repayable in 12 months. The SBRF is expected to support businesses facing liquidity challenges and possible closure arising from government restrictions to control the spread of COVID-19. The START Facility convened two management board meetings online resulting in the approval of two project proposals and the SBRF. Under the rehabilitation and upgrading of selected priority district and community access roads in the four districts of Abim, Adjumani, Amudat and Moyo (including the newly formed Obongi district), implementation is now on track as the preparation of detailed engineering designs, tender documents, and tender action has been completed. The consultant SPEA Engineering (S.p.a in Joint venture with TB3 Global Limited) submitted and presented the final project report and the assignment will end on 10th July 2020.

We completed the bid evaluation for civil works contracts (11 lots). Nine out of 11 civil works contracts were signed, and sites handed over to the successful contractors to begin construction works. The evaluation of two lots (one in Adjumani and the other in Moyo) are still undergoing administrative review and quality assurance checks.

Procurement of the supervision consultant (Kom Consult Ltd) to support the districts during the construction stage was completed and the consultant was introduced to the MoWT, the European Union and the districts. The consultant has started on the assignment and even participated in the site handover for nine lots. The nine lots have been handed over to the contractors to start construction and this is scheduled to be completed in the 1st quarter of 2021. This is expected to provide at least 250 jobs to community members during the construction period, in particular the unemployed youth.

Under the Good Governance component, the programme team conducted online meetings with implementing partners to evaluate progress made on work plan activities and recommendations on how best to continue with implementation activities despite the current disruptions caused by the COVID-19 pandemic. The team conducted work plan reviews with all the partners.

Local Government Excellence Fund (LGEF): LGs have continued to report progress on the various projects. Omoro DLG embarked on market construction (80% complete), Amuria DLG has constructed Wera livestock market (85% complete), in Kapelebyong (new district curved out of Amuria), designs, drawings and BoQs for Obalanga Market planned for upgrading and rehabilitation are in advanced stages for approval by the

MoLG. Otuke DLG is procuring a contractor for the second phase for constructing the business and governance center. Yumbe DLG has identified a contractor awaiting clearance from the solicitor general before award to construct Okubani market. Amudat DLG in Karita market has commenced construction works.

Local Revenue Enhancement Grant (LREG): Some of the LGs have embarked on implementation of the Local Revenue Enhancement Plans which exercise was halted due to the nationwide lockdown. Amudat District was able to conduct the following activities; radio sensitization on property rates through Kalia FM in Kenya, 150 LST/LHT tax payers sensitized on payment of LST/LHT, 80 Sub County staff and leaders were trained on revenue mobilization, registers for the staff working with development partners updated, a district wide registration of employees, properties, traders, businesses and NGOs was conducted, four dialogue and sensitization meetings on new revenue sources and issues of royalties were conducted, data on new revenue sources collected, revenue and property valuation lists updated, books of accounts and revenue collection counterfoils were procured and distributed, including valuation of all business enterprises.

Yumbe district conducted tax education/mobilization and sensitization and registration and enumeration of taxpayers in six of the 13 sub counties, other planned activities were stalled as a result of the COVID-19 pandemic. The district made a co-funding payment of UGX 20,837,487.

In collaboration with LGFC, during the quarter we embarked on efforts to provide support to local governments to create tax registers and develop a comprehensive taxpayers registers for at least 6 revenue sources (LST, Trading licenses, market dues, property rates, Local Government Hotel Tax, forest produce fees).

In the efforts to further improve the local fiscal space, the project working with local government sector actors with the help of a consultant completed data collection and engagement with stakeholders and developed a draft report on the feasibility of new (alternative) financing options for local governments. The report currently under review recommended a pooled project finance modality for the cities and LGs in Uganda given their current level of revenue collection and the legal framework. The report will be validated and further developed in the coming quarters.

Specific Result (FA) 1.2: Increase market accessibility Specific Activity (FA) 1.2.2-Providing seed capital to incubation projects: design and implement a mechanism for providing Business Development Results/ Services and seed capital in the form of loans, grants and reimbursable grants to promising projects Activities The following activities were accomplished during the quarter: - UDB disbursed the second tranche of funds worth UGX 236,802,000 to Kana Grain Millers Ltd bringing the cumulative disbursement to UGX 388,596,734 out of UGX 470,557,500 total approved loan. Total funds disbursed by UDB to

SMEs by June 2020 stood at UGX 582,096,654 ref. (Summary schedule available at the end of the report). - START Management Board approved two companies (Lakwat Ranchers Ltd & Windwood Millers Ltd) for submission to UDB. The two companies have signed term sheets with UDB worth UGX 800,000,000 (inform of loans and partial credit guarantees from START Facility) leveraging UGX 3,333,763,437 from other UDB funds. - UNCDF disbursed UGX 1,198,572,000 to UDB in respect of approved loans for four projects during the quarter. This brings the total funds disbursed by UNCDF to UDB since the start of START Facility to UGX 2,469,629,420 for all the eight projects under UDB. - UDB rejected the proposal submitted by Your Choice Agro Processors Ltd that had applied for UGX 207,200,000. The facility was meant to support expansion of agro processing project in Lira, but the company is yet to provide satisfactory requirements relating to project management, sustainability and credit record. - The START Facility Management Board approved a UGX 830m Small Business Recovery Fund (SBRF) proposal as a pilot fund to provide interest free working capital loans to SMEs shortlisted under START facility and affected adversely by the impact of COVID-19. - By end of June 2020, 55 applications were received, and 17 applications selected to benefit from up to EUR 10,000 (UGX 40m) in interest free working capital loans re-payable in 12 months. The SBRF is expected to support business facing liquidity challenges and possible closure arising from government restrictions to control the spread of COVID-19. - During the lockdown period, two START Facility Management Board Meetings were held online resulting in the approval of two project proposals and the SBRF. - START facility is also working with SMEs to support them in the process of digitisation of their operations which is now very critical under the current circumstances. Digitisation will also extend to the START Facility application process to ensure more efficiency and reduce complications related to manual applications and need for physical interactions - UNCDF completed the process of selecting five service providers for pre- investment BDS for 49 shortlisted firms. The BDS service providers are ready and available to travel and support the businesses as soon as travel restrictions are eased.

Specific Result 2.1 (FA): Transport infrastructure in the region is improved and climate-resilient Specific Activity (FA): 2.1.2 Rehabilitation and upgrading of selected numbers of priority district and community access roads within four priority districts (Amudat, Adjumani, Abim, Moyo).

The following activities were accomplished during the quarter:

- Completed the preparation of detailed engineering designs, tender documents, and tender action. The consultant SPEA Engineering (S.p.a in Joint venture with TB3 Global Limited) submitted and presented the final project report and the assignment will come to an end on 10th July 2020. - Completed bid evaluation for civil works contracts (11 lots). Nine out of 11 civil works contracts were signed, and sites handed over to the successful contractors to begin construction works. The evaluation of two lots (one in Adjumani and the other in Moyo) are still undergoing administrative review and quality assurance checks. - Completed the procurement of the supervision consultant (Kom Consult Ltd) to support the LGs during the construction. The consultant was introduced to MoWT, EU and the LGs. The consultant has started the assignment and participated in the site handover for nine lots. - The nine lots have been handed over to the contractors to start construction and this is scheduled to be completed in the 1st quarter of 2021. On completion, this will increase the number of roads in good condition in the districts and will improve access to social services like markets, schools and hospitals. It will also improve connectivity in the region and beyond. Construction works are expected to create about 250 jobs for the six-month construction period, positively contributing to local economies. - Supported DLG with an individual consultant to provide technical assistance to strengthen assessment and management of HIV and AIDS risk prevention and mitigation in road rehabilitation projects. The consultant works closely with a taskforce composed of UNCDF, UNAIDS, Uganda Aids Commission, UNDP and MoWT. The consultant completed the scoping of sources/mechanisms of financing road infrastructure at the district and community level and ascertaining the allocation to HIV and AIDS interventions and documented the findings in a report; developed a monitoring tool for routine monitoring and support supervision during implementation phase of an intervention package to address the risk of and management of HIV and AIDS. - Provided RAMPS technical assistance consultant to support 18 core DLGs in the final formulation of district multiannual road rehabilitation programmes and their inclusion in the planning and budgeting process in the. The consultant completed the inception report and started field data collection with oversight from MoWT. - Prepared ToRs for a consultant to provide technical assistance on procurement matters to participating LGs in the review of their current procurement approaches and strategies and implementation procedures to achieve best value for money and improved effectiveness and efficiency by maximizing the role of LGs as well as non-government partners in road works programmes.

Specific Activity3.1.1 Strengthen capacities of Local Governments in public financial management Public Expenditure and Accountability Assessment (PEFA) - The Ministry of Finance, Planning and Economic Development working with PEFA secretariat undertakes PEFA every five years and they have planned the next cycle this year 2020. The focus of MoFPED PEFA is on national agencies. 8

We engaged with the team at the Ministry on inclusion of the subnational chapter in the planned PEFA exercise. We also engaged with Makerere University, College of Business and Management Sciences (CoBAMS), building on our previous MoU with them to undertake financial analysis for LGs, to support the upcoming PEFA analysis for sub nationals. Two planning meetings have so far been organized for the CoBAMS team and MoFPED to draft and discuss the concept note for the activity. The preparations are in the advanced stage, its hoped that if the lockdown is lifted, this activity will commence in the next quarter. Strengthening the capacity of internal audit units: - The plan for this activity for the reporting period was capacity building through training of internal auditors on their functions and how they can effectively deliver on their mandates. The preparations for the trainings were finalized but the training did not happen as a result of the nationwide lockdown.

Feasibility Study on Alternative Financing/Investment Fund for LGs: In the efforts to improve local fiscal space, the project is exploring alternative options and has to this end engaged a consultant to undertake a feasibility study on the available options. The consultant during this quarter engaged with government technocrats and policy makers, politicians and leaders at the LG level, development partners, and relevant ministries, departments and agencies. The Consultant also carried out a review of literature useful to this study, and a draft report is currently under review. The Study highlights two key factors that drive the demand for capital: i. An enabling legal & regulatory framework that allows for multiple alternative financing instruments; and ii. That the LG houses should be in order with respect to governance, compliance, fiscal accountability, and the integrity of their balance sheet.

The Draft Study Report recommends: i. Establishment of a Uganda Municipal Finance Trust. The Trust will act as a conduit or interface that understands the expectations of both the demand and supply side of capital. This should provide for a funding pilot scheme for a selection of LGs that meet a certain technical standard under a project finance model once credit and performance appraisal metrics are determined. The report cautions against setting up of the intervention as a Fund because the regulatory complexities would deter its success and the important step of driving compliance expectations of funders would be missed. ii. Building technical resilience into LGs on revenue enhancement and familiarize themselves with the expectations of capital providers. iii. Building credit worthiness of the Local Governments. Credit worthiness is assessed against a set of criteria that gives the potential funder an indication of the LG’s ability to meet their repayment obligations. iv. Pooled project finance under the auspices of PPPs is recommended but again, technical gaps need to be filled and the scale is important. The recommended vehicle therefore speaks to the sensitivities of Uganda LGs space. 9

The Report will be discussed in the subsequent quarter and a final version will be prepared and submitted by the Consultant.

Assets Management - Follow up training was conducted with support of the United Nations Department for Economic and Social Affairs (UNDESA) for the 18 DINU/UNCDF LGs and four LGs of Gulu DLG, Gulu MC, Moroto MC and Mbale MC on how to align the Assets Management Action Plans to COVID-19 response. - 18 DINU/UNCDF LGs were supported to develop Land Management Assets Management Action Plans and to compile land registers. - Discussions were held with Ministry of Lands and Housing and Urban Development seeking their technical support to titling of Local Government land of the 18 DINU/UNCDF LGs. The technical support to the LGs is expected to be provided in the subsequent quarter.

Integration of LED and Climate change adaptation and mitigation indicators into the LGPA Manual: - Indicators on Local Economic Development (LED) and on Climate Change Adaptation and Mitigation were developed, in consultation with the Climate Change Department of the Ministry of Water and Environment and submitted to the Office of the Prime Minister for incorporation into the Local Government Performance Assessment Manual. - Additional input made by the Ministry was to the Indicators related to Assets Management and Human Resource Management. - During the quarter, the project also engaged with the National Planning Authority to plan for support to the 18 LGs to align their draft 5-year plans with the NDPIII. In the same vein, online meetings were held with District Planners, community development officers, statisticians from all the 18 Core LGs to plan for the integration of among other things; SDGs, Gender and Equity, LED, climate change into their plans and budgets.

Specific Activity 3.1.2 Strengthen capacities of mandated local government units to efficiently mobilize and equitably allocate and utilize local revenue and resources

The following activities were undertaken: - Some of the LGs have embarked on the implementation of the Local Revenue Enhacement Plans, notably Amudat District carried out radio sensitization on property rates through Kalia FM in Kenya. 150 Local Service Tax and Local Hotel Tax, taxpayers were sensitized on payment of the tax. 80 sub-county staff and leaders were trained on revenue mobilization. The district was supported to update the registers for the staff working with development partners; conducted a district wide registration of employees, properties, traders, businesses and NGOs; held four dialogue and sensitization meetings on new revenue sources and issues of royalties; collected data on new revenue sources; updated revenue and property valuation lists; procured and distributed books of accounts and revenue collection counterfoils; and

valuation of all business enterprises. It’s hoped that these efforts at the end of the year will result into improvement in OSR collection and management.

- Yumbe district; conducted tax education and sensitization, registration and enumeration of taxpayers in six of the 13 sub-counties. Other planned activities were stalled as a result of disruptions caused by the COVID-19 pandemic. The district made a co-funding payment of about (UGX 20,837,487) towards the LREP In collaboration with LGFC, during the quarter we embarked on efforts to provide support to local governments to create tax registers and develop a comprehensive taxpayers registers for at least 6 revenue sources (LST, trading licenses, market dues, property rates, Local Government Hotel Tax, forest produce fees). In doing so, during the reporting period, we undertook the following activities: - Prepared concept notes for technical support in the establishment of registers. - Reviewed the existing databases for all the 18 pilot districts. - Identified local government officers to participate in data collection, assessment and data capture into database. - Trained the identified officers to undertake the compilation of comprehensive registers - Recruited five resource persons to facilitate the creation at of local revenue registers for at least six revenue sources in the 18 districts. The resource persons have embarked on support to LGs to create taxpayer registers.

Specific Activity 3.1.3-Structured partnership with Associations of Local Authorities and key relevant institutions for research and advocacy on institutional and policy reforms relating to core mandates of local governments. Under working with associations to improve capacity of Local Governments to identify and formulate key policy issues for advocacy, the following was achieved: - Developing a position paper on the effects to service delivery caused by the current modality of management and collection of user fees in taxi/bus parks and markets. A consultant was recruited for the task and conducted a desk review of relevant documents and interviews with key staff to set out the conceptual framework and approaches to be used in the assignment. However, due to COVID-19 the assignment slowed in terms of field data collection that was to be completed at the end of the quarter and hence delaying the analysis and final report from the assignment’s deliverables. - A study on the structure of new cities and development of a conceptual framework, program/budget for dialogue activities with government. An agreement was reached on joint activities between the MoLG and UAAU, a concept paper for the joint actions was finalized and resultantly three dialogue meetings on developing guidelines for the operationalization of the new cities held in the proposed cities (Gulu, Wakiso and Fort Portal), when the government began to ease the lockdown restrictions. The stakeholder engagements among others covered topics including (i) the Interim City Leadership – with UAAU guiding that the current Municipal Mayor should become the interim City Mayor (ii) Financing the City operations. It was noted 11

that the budget did not cater for the newly established cities, UAAU advocated for inclusion of financing for cities in the budget adjustments and the need for cities to think outside the box and develop new sources of financing for cities (iii) Sharing of assets and liabilities between the City and the Districts (iv) UAAU also proposed for phased implementation of cities to enable adequate financing for departments. It’s worth noting that these consultations have positively informed the city establishment guidelines which are currently being implemented. - During the consultations on Cities in Gulu, the Hon. Minister of Local Government also launched the UNCDF Report on “The Impact of Covid-19 on LG Fiscal Space and Service Delivery in Local Governments”. This report among others highlighted the fact that Local Governments were likely to lose about UGX 180 Bn in local revenue collections. For the urban LGs which depend on their own source revenue, the total fiscal loss would amount to about 5-10%. It was also highlighted that the property tax, user fees and other fees were the most affected local revenue sources. The report also noted that Local Governments were already experiencing an observable immediate impact of the pandemic on their systems and operations. Several recommendations of the report are currently being implemented including support to LGs to ensure business continuity through provision of ICT communication facilities. UNCDF also created an Operational Expenditure Block Grants (OEBG) funding facility. We are currently mobilizing resources for it to support LGs recovery process.

In the area of evidence-based research to improve understanding of the key local government challenges and advocacy for decentralized governance and devolution of powers, the following was also achieved: - ULGA supported the Northern Uganda Regional Development Forum (NURDEF) in developing an operational plan for the regional strategy and advocate for its financing. A draft operational plan was developed and presented for endorsement to the NURDEF committee. - A consultant was recruited to support ULGA to understand the socio- economic impact of refugees on service delivery by LGs and private sector. This continues to be work in progress limited by the lockdown restrictions to contain the spread of the COVID-19 pandemic. The secretariat however conducted a review of progress on previous positions submitted to Government for consideration and identifying emerging issues and constraints ULGA submitted to Parliament for consideration, proposed recommendations on LG alternative financing and local revenue enhancement. - ULGA invested in the development of information, education and communication materials on the Sustainable Development Goals (SDGs) in a bid to build awareness on localization of the SDGs.

Specific Activity 3.2.1 Support and strengthen LG accountability institutions in their interaction with line ministries and national accountability institutions

No action was undertaken here during the quarter. 12

Specific Activity 3.2.2 – support the reform and pilot implementation of the Government of Uganda's own annual performance assessment framework for local governments

During the quarter the OPM released results of the local government performance assessment. As shown in the figure below, the results were quite mixed.

The results show that while some of the 18 DINU core LGs generally registered a reduction on performance, Amuria, Lamwo and Amudat registered improvements in performance. Amudat is showing a great improvement from a score of 42 in 2018. Amuria District performed best among all the DINU core Districts, improving from 32 in 2017, to 60 in 2018 and now 77 in 2019. The biggest drop in performance was registered by Yumbe and Adjumani District Local Governments. The Ministry, given this reduction in performance, immediately embarked on results dissemination and support to improve performance. The teams are currently in the field supporting LGs using resources from the Government of Uganda and other sister projects. The performance improvement support to LGs will continue in the coming and subsequent quarters.

Specific Activity 3.2.3-incentivise performance of local governments and to stimulate community involvement: Local Government Excellence Fund (LGEF) The project during the quarter continued to transfer LGEF funds to LGs as one of the measures to stimulate performance improvements. As noted above, while over the last two years this has been effective, we have noted in 2019 reduction in performance. As can be seen in figure below, only Amuria improved in ranking from 98th in 2018 to the current 32nd in 2019 results. Amudat improved from the 138th

position in 2018 to 130th Position in 2019. The rest of the LGs dropped in performance, all of which have posted worse results than in 2017. The Ministry is currently engaging with the LGs on the reasons for complacency to come up with remedial actions.

The different LGs under LGEF as noted above continued to receive funds for different projects and implementation is at different levels as detailed below:

1. Omoro District The district received additional UGX 197,886,719 for the construction of market structures at Lela Obaro in Bobi subcounty, and the district will contribute UGX 56,397,726 making a total of UGX 254,284,445 for the construction of the market. The market construction is being undertaken in phases. Phase one started during the nationwide lockdown and has been fully completed. Phase one included the construction of three blocks of market stalls (22 stalls per block), four stance pit latrines with two shelters adjacent to it and a rainwater harvesting facility. The market will provide improved work environment for 66 vendors, majority of whom are Women. Phase II will include lock-up shops, store and office, fencing and play area for children as well as breast feeding facility for mothers. This phase will commence in the next quarter. During the quarter, Omoro also formed VSLA group for the market vendors and trained them on VSLA management.

2. Yumbe District: - The district through contracts committee has awarded the contracts to the best evaluated bidder awaiting clearance from the Solicitor General (SG). - The district also identified solar off-grid mini power and water supply in Drajini subcounty as the fourth LGEF project in Yumbe. The district has developed ToRs to procure services of a consultant to undertake designing and development of the water motorization scheme. A solar energy design

specification for household, commercial and institutional beneficiaries has also been developed.

3. Otuke District: - Construction of the Year I and Year II project is underway, that is, Otuke Business and Governance Centre. The District is close to completing procurement process for a contractor to continue with works from foundation slab.

4. Amuria and Kapelebyong Districts1. In Amuria, construction of the Year I project, Wera Livestock Market is in the final stages. The works on the other facilities like the revenue office, drug store, caretaker’s room, and drilling of production well awaiting water quality testing, pump installation and distribution. Kapelebyong District, using the Year II allocation for Amuria has developed Obalanga Livestock Market construction project proposal whose designs and BoQ is under review by MoLG.

5. Amudat District: - The district was granted a waiver by the Public Procurement and Disposal of Public Assets Authority (PPDA) to use domestic restrictive bidding to procure service providers for the facilities to be constructed with LGEF financing. The construction works have resumed for a child play center, mother/nursing room and piped water supply system at Karita Livestock Market. A production well for the water supply system has been sunk. The other market facilities including revenue office, fencing, market shade, three latrines (two five- stance and one four-stance), loading and off-loading ramps (one at each entrance and exit), veterinary office, and drug store were constructed with support of Mercy Corps. Construction of a livestock slaughter unit, drilling of borehole, two stance latrine and garbage collection facility are underway with the support of the Resilience Project under Ministry of Agriculture, Animal Industry and Fisheries.

The project during the quarter to further improve community participation ensured all the project formed a management committee that included women and youth. Communities participated in the project identification and design. To further ensure enhanced community participation in planning, implementation and monitoring of projects at local government levels we embarked on efforts to revamp the PDC structure and ensure they are operational under the parish chiefs. Online planning meetings were held with the all the CDOs and planners from all the 18 core LGs and efforts are in advanced gear to support LGs revamp PDCs.

SDG Localisation in Local Governments. To ensure effective localisation of SDGs and thus its implementation the project hired a consultant during the quarter. The consultant is engaged with the SDG secretariat at the OPM to (i) support SDG awareness (ii) Support LGs undertake SDG diagnosis (iii)

1 Kapelebyong District was curved out of Amuria and was declared effective on 1st July 2018. The two Local Governments are therefore sharing the LGEF IPF of Amuria District. 15

work with UBoS to create sub national chapter in the SDG tracker jointly being developed by the GoU, UNRCO-Uganda, UNDESA and the African Development Bank and (iv) working with OPM to develop the SDG private sector platform. Concept notes for these interventions have been developed, progress in these fronts will be reported in the subsequent quarters.

Specific Activity 3.4.3 Support districts and communities in road maintenance.

No action was undertaken here during the quarter due to COVID-19 restrictions on conducting physical meetings

3.4.5 Improve land governance and facilitate the registration of Certificates of Customary Ownership. This activity is one of the key activities included in the DINU addendum currently under review by EU. Once approved, it will be implemented in Apac, Maracha and Kole Districts of Northern Uganda. The UNCDF team while awaiting EU approval of the addendum did engage with the Ministry of Lands, Housing and Urban Development and a Letter of Agreement (LoA) was developed and discussed. It will only be signed once approval has been obtained from the EU.

At the time of this report Uganda has hit the 1000 mark of confirmed COVID-19 cases Problems with 1065 cumulative cases, 1071,1048 recoveries and zero deaths. The Government encountered of Uganda has partially lifted the nationwide lockdown (June 4th 2020) allowing some businesses to reopen, public and private transport to run subject to adherence of the health requirements that provide for social distancing, hand washing/ sanitizer facilities and the mandatory use of face masks while in public. The Government continues to encourage citizens to stay at home if possible. The curfew remains in place. The total lockdown which lasted approximately two and a half months, limited the movement of people and gatherings and affected programme implementation leading to partial suspension of planned activities at both the national and LG levels. Although UNCDF employed the teleworking modalities and staff are encouraged to work from home, this was not a feasible option for all partners and activities.

Specific scenarios are discussed under the respective components.

START Facility: - The national wide lockdown resulting from COVID-19 global pandemic affected implementation including outreach, awareness, visibility and promotional related activities. For instance, during the quarter, PSFU was not able to provide face to face general and targeted business development services to clients. - The lockdown has also had a knock-on-effect on some of the planned START Facility activities such as the timing of the release of the anticipated third call for proposals (CfP3) that was meant for July 2020, which has now been pushed forward.

- The slow response to the requests for information continues to delay the process of preparation of full project proposals, approval and disbursement of funds by UDB – as required documentation is not readily available. - Some companies due to the scaling down of business operations during the lockdown are struggling with liquidity shortages as a result of COVID-19 challenges and requested for relief package to navigate through the tough times. - The nationwide lockdown to curb the spread of COVID-19 has negatively affected project implementation since the clients were inaccessible. Project visitation and valuation were impaired significantly, nonetheless, UDBL is progressing with the projects. Some clients have also indicated slowed business operations as a result of the pandemic.

Road Rehabilitation Project: - The nationwide lockdown that banned gathering of people in a bid to promote social distancing caused delays in the bid evaluation, initially planned to be completed by 4th April 2020 and was completed in May 2020. - COVID-19 affected training activities planned under MoWT/MELTC and as such there was no training activities conducted in the reporting period. - The revised project cost estimate based on signed civil works contracts is higher than the budget (€7,180,000) by about € 500,000. - Two out of the 11 lots (one in Moyo and the other in Adjumani) are still undergoing administrative reviews and quality assurance checks.

Governance Component: - Land ownership challenges: delays in the conclusion of the land conflict over Kuru market in Yumbe district, which is before the court, has deterred progress on the site. - Many activities require the support of other MDAs; however, the process of getting this support is highly bureaucratic often causing delays. Relatedly, some of the activities are follow-on to activities that are outside the mandate and control of MoLG and therefore cannot be achieved in a timely manner due to delays. For instance, integrating critical development issues into the DDPs and budgets was dependent on issuance of revised Local Government Development Planning Guidelines – which were availed in late February, and still in Final Revised Draft version. We are curtly trying to get support of UBoS in developing the SDG tracker, but the progress is quite slow. - Delays in the procurement process at the district level for LGEF supported projects have continued to delay project implementation, this mostly affecting Amudat District. - The scattered settlement pattern presents commercially non viability for private sector engagement in Yumbe mini-solar grid project, and we are currently revising the proposal to have community water services and rooftops solar system. Suggested The country is still in lockdown as a measure to curb the spread of COVID-19. There is solutions/mitigation still a lot of uncertainty as to when the country and world at large will return to measures applied normalcy, some activities will be affected by this. In the meantime, the programme is employing alternative working modalities through teleworking for the programme

team to ensure continuity. We continue to explore options where possible, to implement activities offsite and maintain social distancing.

START Facility: - The team is continuing to work remotely with firms to develop full project proposals, much as this approach has proved less effective where hard copy documents are required e.g. quotations, bank statements, CRB reports, management & audit reports, cannot undertake valuations of properties etc. - The 3rd call for proposal (CfP3) which was due to be issued in July 2020 was postponed to the last quarter of 2020 due to the COVID-19 related restrictions that may not allow large pre-submission and awareness meetings that usually accompany CfPs. - The START Management Board approved €200,000 (approximately UGX 830m) Small Business Recovery Fund (SBRF) as a pilot fund to provide interest free working capital loans to SMEs shortlisted under START facility and affected adversely by the impact of COVID-19. - UDBL has accepted to reschedule interest repayment by TAF Assured Enterprises. The bank has allowed them to stay the payment for one month (instead of June) and expects them to pay by end of July. The client has indicated that they will pay the interest at the beginning of August. - - Road Rehabilitation Programme: - Bid evaluation that was scheduled to be complete by 4th April 2020 but was delayed and completed in May 2020 as a result of COVID-19. The DLG/MoWT/UNCDF obtained travel passes that allowed them to continue with the bid evaluation despite the lockdown. The consultant’s team that could not obtain travel passes remained at the LGs during the lockdown. - The revised project cost estimate based on signed civil works contracts is higher than the budget (€7,180,000) by about €500,000. UNCDF requested from the EU a reallocation of funds to this budget item. - The two out of 11 lots under administrative review and quality assurance check have received guidance from the Permanent Secretary MoWT and PPDA hoping to be concluded by end of this month.

Governance Component - The programme team continues to encourage implementing partners (IPs) to start engaging with with MDAs identified to support implementation of DINU activities early enough, as soon as they receive approval from UNCDF for the workplan for a given period. UNCDF has at times helped the IPs to connect with the MDA by directly writing to responsible MDA. - Recruitment of technical experts for specific assignment to support MoLG in the specialised areas e.g. engineering and developing alternative/innovative financing tools. - Use of short-term consultancies to augment effort in implementation during the upcoming quarters given the number of activities likely to be carried forward from the previous quarter. - MoLG will continue to engage with the leadership of Yumbe over the court case regarding land ownership of Kuru market with a view to supporting 18

Yumbe District to expedite settlement of the matter to enable completion of the project. The district is to submit the documentation of the land complaint to MoLG. These efforts were rather slow from the last quarter; we are planning to expedite them during the coming quarter as the lockdown is being eased. - Yumbe District and Ministry of Water and Environment are attempting to implement the solar and water projects without private sector involvement, given the need to deliver the service and open the area for private sector attraction. However, the costs are still very prohibitive. Status of previous Although the government has eased the lockdown restrictions, some measures remain problems in place including travel restrictions applicable in all border crossing districts (majority in the DINU areas) and the nationwide curfew from 7:00pm to 6:30am, which remains a hinderance to project activities.

START Facility: - The implementation team is still carrying out activities remotely working with pipeline SMEs to develop full project proposals as well as soliciting proposals for the SBRF. - Activities such as provision of BDS to firms, full proposal development on selected pipeline projects and final appraisal of submitted projects by UDB are still affected by COVID -19 related restrictions. - Kana Grain Millers Ltd secured the means for shipping the purchased equipment from China following earlier COVID-19 supply chain related challenges. The equipment is expected to arrive in August 2020. - BDS service providers have been selected to offer pre-investment BDS to the 49 shortlisted SMEs under CfP2.

Road Rehabilitation Programme: - The Design TA’s contract for detailed engineering, preparation of tender documents contract was extended by two and half months to 22nd May 2020. The Consultants contract was again extended to 10th July 2020. The assignment has been completed.

Governance Component - The challenge of getting timely support from other MDAs for some activities persists. - During the last quarter of the year, LGs were heavily engaged in the government planning and budgeting process. The problems still exist. The current lock-down before completion of the planning process, means GoU staff are going to be extremely busy with back log. - Capacity issues in UAAU still exist. We are looking to procure technical assistance to UAAU, with clear terms of reference to build capacity and fundraise. - Local revenue challenges still exist. During the quarter, we encouraged LGFC to undertake comprehensive assessment and local revenue data base improvement. - The lack of commitment by some LG staff affects project implementation, we continue to work with the willing individuals and bring in the political leaders to work with closely. - Lack of transport for some sub counties in districts (Agago, Amolatar, Zombo, 19

Amuria, Otuke, Adjumani, Lamwo, Pader) with more than seven sub-counties still limit local revenue mobilization efforts. This problem has never been solved. We encouraged them to use own source revenue to procure more motorcycles.

Financial Performance Total cumulative expenditure against receipts is Eur 7,473,711.11 against EUR 12,881,799. This brings total delivery to date at 58%

START Facility: Lessons learned - The COVID-19 related lockdown has affected the performance and sustainability of most SMEs across the country. - Several SMEs are in financial distress as exhibited in their application for the SBRF. However, they are still affected by informality and poor records that they fail to access economic relief funding even when funding is available. - A resilience and recovery programme is necessary to provide the much needed liquidity at highly concessional terms to ensure that agribusiness SMEs do not collapse - SMEs in the project area still have major business development services related challenges with many SBRF applicants failing to meet basic application requirements

Road Rehabilitation Programme: - Bid evaluation requires a lot of time to do a thorough job with quality checks - It was very helpful to obtain copies of bid documents at the bid opening venue because it helped the quality assurance team to provide timely technical support to the district bid evaluation committees and compare with the certified copies submitted with the bid evaluation report.

Governance: - Dedicated technical support to the LGs is critical to complement resident LG capacity and fast track the pace of implementation, notably, engineering support for LGEF and now the DRRF and innovative financing options - There is need for sharing of information and greater involvement of the LG leaders in START interventions for the trickle-down effects to the local communities to be enhanced and appreciated. We are planning to explore synergy between START and LGEF. Omoro produce group and Kana millers would be a great case study. The lesson was picked in the last quarter, but due to COVID-19 has not be implemented yet. We intend to follow-up in the coming quarter. - Automation of partners and LGs operations is critical to facilitate smooth continuity of operations even in emergency situations such as the COVID-19 pandemic. Also, the minimal provision for flexibility with project implementation and financing was critical to enable LGs and implementing partners cope with such emerging key challenges.

Upcoming START facility: significant activities - Preparation and submission of full project proposals under the START facility concessional loans and partial credit guarantees to UDB for final appraisal, for the next quarter credit assessment and disbursement. - The 9th START Facility Board meeting to receive, discuss and approve project proposals & SBRF Proposals for financing. - Approval and disbursement of funds to projects by UDB. - Conclude the screening and recommendations regarding the SBRF to eligible entities and provide feedback to all unsuccessful applicants for the Small Business Recovery Fund. - Preparation and submission of project proposals under the SBRF for approval - Pre-investment BDS support to 49 shortlisted companies and targeted BDS to 25 longlisted companies. - Carry out one on one client sessions and guidance at PSFU office. - Provide further online targeted technical assistance to START facility prospects on addressing gaps in business operations, the development of better funding proposals and application submission requirements.

Road Rehabilitation Programme: - Support DLG to supervise the road construction works – 11 lots. - Support the supervision TA to carry out construction supervision – site meetings, prepare payment certificates, etc. - Provide support to the LGs, MoWT, LGs and the consultant to implement environmental and social safeguards during the construction supervision. - Support DLG to supervise the individual consultant to provide technical assistance to strengthen assessment of HIV risk prevention and mitigation in road rehabilitation projects. The consultant will work closely with a taskforce composed of UNCDF, UNAIDS, Uganda Aids Commission, UNDP and MoWT. The Consultant will support the service provider to conduct a situation analysis in the target geographical area to determine the population dynamics and potential risks to HIV as a result of the proposed road constructions; design a costed intervention package to address the risk of and manage HIV and AIDS during implementation and after completion of the road rehabilitation projects – to be presented to the national Technical Working Group (TWG) on HIV and AIDS financing through infrastructure projects for validation and approval; monitor the service provider(s) during the implementation of an intervention package to address the risk of and manage HIV and AIDS during implementation and after completion of the road rehabilitation projects; pretest the tools developed; conduct the training and produce a training report; thereafter complete the assignment. - Support MoWT to prepare training materials for the next training courses. - Provide support to the RAMPS TA in the final formulation of district multiannual road rehabilitation programmes and their inclusion in the planning and budgeting process in the 18 LGs and complete the assignment. The Consultant will complete field data collection, analyze the results, prepare the report and complete the assignment. - Procure the Procurement TA to provide technical assistance to participating LGs in the review of their current procurement approaches and strategies and 21

implementation procedures to achieve best value for money and improved effectiveness and efficiency by maximizing the role of LGs as well as non- government partners in road works programmes.

Governance Component: Because of the COVID-19 Lockdown, most of the activities for this quarter are being pushed to the next quarter and some for these include: - Customize conduct, implement recommendations and publish PEFA in the 18 LGs. - Work with the National Panning Authority to mentor and support LGs integrate critical PFM issues in to their DDP and Annual Plans and align plans with NDPIII. - Technical support to the 18 core districts to undertake climate-smart capital investment planning. - Provide technical support to the 18 LGs to prepare LED Strategies. - Support Ministry of Water and Environment to provide TA support to 18 DINU. District Local Governments to undertake Climate Smart Capital Investment. Planning and Integration of the CIPs in to DDPs. - Finalise the feasibility study for Municipal/Local Government development/investment fund; and pilot the proposed financing instruments. - Support the Equal Opportunity Commission to assess the 18 LGs on compliance to gender and equity budgeting as provided for under the PFMA. - Strengthening of the 18 LGs LGPACs based on recommendations of the validation of the MoLG FINMAP report 2014. - Support the 18 DINU/UNCDF LGs to establish and implement Assets Managements Execution Activity Plans (AMAPs) (at least land registration, asset engraving, disposal, updated registers and stores). - Support the 18 LGs prepare for national assessment through internal mock assessments. - Support 18 LGs to apply the SDG Localization Diagnostic Tracking Tool. - Design the SDG challenge fund for private sector innovations for SDG implementation. - Finalize the study on the impact of refugees on service delivery and private sector engagement in refugee-hosting districts in Northern Uganda and identify deficits. - Complete feasibility study on alternative financing for LGs in Northern Uganda and develop appropriate policy briefs and advocate for the relevant legal, institutional reviews for its operationalization. - Retooling LGFC and revenue officers for automation of revenue data capture and storage.

Communication & April– June Quarter 2020 activities: Visibility activities - Site boards have been installed at all the LGEF project sites for the Quarter and Social Media: Twitter page currently at 605 followers. next quarter Media Links UNCDF: Publication: Uganda Business Impact Survey, 2020: 22

https://www.uncdf.org/article/5634/uganda-business-impact-survey-2020 NTV Uganda YouTube: Record of Event: Launch of the Uganda Business Impact Survey 2020, Impact of COVID-19 on Small and Medium Business Enterprises: https://www.youtube.com/watch?v=eBTss2Lrjv4&feature=youtu.be UNCDF: Publication: Impact of COVID-19 on Local Government Fiscal Space and Service Delivery: https://www.uncdf.org/article/5665/impact-of-covid-19-on-lgs-and-service- delivery-in-uganda UNCDF: START Management Board Approves Shs 830m Small Business Recovery Fund to Support SMEs During & Post COVID-19: https://www.uncdf.org/article/5668/start- board-approves-shs-830m-small-business-recovery-fund-to-support-smes-during-post- covid-19 NTV Uganda: COVID-19 pandemic costs local governments millions in revenue: https://www.youtube.com/watch?v=puYWFKNKaI0&feature=youtu.be NTV Uganda: Municipalities disagree with gov’t on leadership: https://www.youtube.com/watch?v=9RhBS5d_c0A&feature=youtu.be Daily Monitor: Govt blocks sale of its assets in new cities: https://www.monitor.co.ug/News/National/Government-blocks-sale-of-its-assets-in- new-cities/688334-5567698-yf0w8q/index.html

DINU-UNCDF_2019_Annual Report_Popular Version.pdf

Planned Activities for Upcoming Quarter (July- September 2020) - Publish at least two feature articles from any of the project activities, proposed topics are on the i) start of the roads construction ii) experience of local governments delivering in the time of COVID-19, iii) Youth engagement in DINU programming - Produce and publish a video documenting START beneficiaries and the journey to date. - Participate/ support the launch and campaign of the One Million SDGs Solutions Youth Innovation Challenge

Signature of the report

Name of the contact person for the action: Dmitry Pozhidaev

Signature: ………………………………………

Location: Kampala, Uganda

Date report due: 15th July 2020

Date report sent: 27th July 2020

ANNEXES Annex 1: Schedule of START Projects Submitted to UDB & their Status (Amount in UGX)

Project Name. Total Financing Amount Location. Value chain. Status. gap2 Disbursed.

APPROVED PROJECTS

Trained Apiary 193,499,920 193,499,920 Lira. Bee Honey Fully Disbursed and Farmers Ltd Processing undergoing implementation

Kana Grain 470,557,500 388,596,734 Omoro. Grain Partially disbursed and Millers Ltd Milling undergoing implementation with machinery and equipment procured yet to be installed.

Honey Pride Arua 170,000,000 Nil Arua, Honey Approved and documentation Processing is ongoing

REJECTED PROJECT

Your Choice Agro 207,200,000 Nil Lira, Pea Nut Rejected. Processors Ltd Butter Processing

PROJECTS UNDER APPRAISAL

Okoro Coffee 713,431,064 Nil Zombo, Coffee Under appraisal. Growers Union Processing

King of Kings 228,572,000 Nil Kitgum, Cassava Under appraisal. Multi Consultants Processing Limited

Windwood 3,669,000,000 Nil Lira, Cassava Under Appraisal Millers Ltd Processing

Lakwat Ranchers 464,763,437 Nil Gulu Cattle Under Appraisal Ltd Ranching

Total 6,116,823,921 582,096,654

2 Combines funding requested from START Facility & expected leverage from other Financial Institutions (FIs) 25

Photo Gallery

Launch of the Uganda Business Impact Survey 2020, officiated by Hon. Amelia Kyambadde, Minister of Trade Industry and Cooperatives, May 21st, 2020 at NTV Uganda.

Launch of the report on the Impact of COVID-19 on Local Government Fiscal Space and Service Delivery officiated by Hon. Raphael Magyezi in Gulu.

Completed Phase 1 of the market construction at Lela Obaro, Bobi Subcounty in Omoro District which includes three blocks of market stalls (22 stalls per block), four stance pit latrine with two shelters adjacent to it and a rainwater harvesting facility.

Handover of road sites to the works contractor in Abim and Adjumani respectively.

Ongoing construction at Karita Livestock Market in Amudat District