Examine All Donor Aid, Says EXIM Bank Boss
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NatIoNal NEWS NEW VISION, Thursday May 8, 2014 5 Umeme main investor Examine all donor aid, selling 75% shareholding By Raymond Baguma The announcement of allocation of shares to the Umeme Holdings Limited is new investors, as well as the says EXIM Bank boss selling 75% of its ordinary lifting of the suspension of shares in the main electricity trading in shares is expected distribution company Umeme tomorrow, according to an By Ibrahim Kasita Limited and has agreed with indicative timetable issued by the Government to retain at the company. Uganda and other Africa nations least 15% shareholding in the Although the potential new need to critically assess the aid some company. investors are not yet known, development partners are willing to Umeme Holdings Limited, they are expected to be extend, if meaningful progress is to be owned by the Actis, a subsidiary institutions within the East achieved, Li-Ruogu, the China’s Export- of the Commonwealth African Community. Already, Import Bank president, has advised. Development Corporation about 20 international firms He also advised that African (CDC) of the United Kingdom have reportedly expressed governments should be ready to ignore government, owns 60.1% of the interest in buying shares in aid if it does not lead to development, shares in Umeme Ltd. Umeme. according to a press statement issued by Up to 732,071,804 “The decision by the company the Office of the Prime Minister. ordinary shares, comprising to reduce its investment in The China Exim Bank President approximately 45.1% of Umeme and bring in new accompanied by a 16-man delegation the issued ordinary shares investors by way of sale by made the remarks while meeting Prime of Umeme Limited, will be private treaty is guided by Minister Amama Mbabazi in his office offered, according to a public the need to ensure that the on Tuesday. notice issued today by Umeme bulk of the shares to be sold Ruogu said China’s policy on co- Holdings Limited (UHL). are placed with institutional operation emphasises development Of the 732 million ordinary investors who will be able projects support as opposed to budget shares on sale, 97,845,000 to provide the company the subsidies. are reserved for a subsequent continued strategic, financial “Infrastructure is important for management and retail offer and governance support a country’s development, so we while 634,226,804 shares that it requires to achieve its invest heavily in this sector because will be offered as part of an objectives,” Umeme said in a transportation and energy are key to institutional tranche. And of statement. economic activity,” he said, adding that this institutional tranche, up to Actis has owned Uganda’s their objective is to leave a legacy with 162,000,000 ordinary shares electricity assets under UHL tangible and concrete projects for the comprising approximately since 2005. Two years ago, Actis beneficiaries. 10% of the issued shares of sold 40% of its stake in Umeme “Listen to donors carefully to ensure Umeme will be made available Limited and cross-listed on the that you benefit from aid,” Ruogu said, Prime Minister Amama Mbabazi receives books from China EXIM Bank to selected investors. Ugandan and Kenyan stock adding that China’s policy is not to teach President Li Ruogu after a meeting in Kampala on Tuesday. The public notice indicated exchanges. Africa what to do but to share China’s Photo by PMPU that, a subsidiary of UHL will Last month, Parliament experience and leave decision making to enter into management services adopted a resolution the respective countries. African countries. with Umeme Limited for at least recommending to Government The bank president said, their policy on BETWEEN THE LINES: “We hope to raise our national power two years from the completion to terminate the Umeme co-operation emphasises development grid from about 900MW to 3,885MW in of the share sale. It was also Limited’s power concessions, projects support as opposed to budget n The China EXIM Bank boss is a period of five to seven years,” he said, revealed that the UHL will on grounds that it was unfair subsidies. in the country to discuss with the adding that Uganda has a lot of resources retain 15% of its shareholding to the country. But Cabinet He called upon Uganda to use her Government financing modalities to exploit, including the second largest for at least two years, implying has so far not indicated potential to develop its economy for Karuma and Isimba hydropower phosphate deposits in the world. that the company may whether it will implement the like Angola and also ensure that the dams among other projects. thereafter completely exit recommendation. agricultural sector is well developed to At the meeting Umeme Limited. The contract was signed on ensure sustainable development The meeting was also attended by Early this week, Umeme May 17, 2004 after the former The China Exim Bank president is the Minister of State for Finance, Fred suspended its shares on the Uganda Electricity Board was expected to inspect progress made on owned by the Chinese Government. Omach, the Minister of State for Industry, Nairobi Stock Exchange and the dismantled and three different the construction of the $350m, Entebbe Welcoming the group, Premier, James Mutende, Minister of State for Uganda Securities Exchange in entities created to oversee the express highway that is being financed Amama Mbabazi, said Uganda is ready International Affairs, Okello Oryem order to facilitate the conclusion generation, transmission and by the bank. to use the oil resource strategically to and the permanent secretary in the of the transaction without distribution of power. The The Export Import Bank of China build infrastructure such as the standard office of the Prime Minister, Christine disrupting the company’s share Umeme contract is set end in founded in 1994 is a State Bank solely gauge railway line connecting the East Guwatudde Kintu. price. 2024. Cop remanded over leaked tapes By Michael odeng 87 tapes of different persons Station for 19 days as opposed interviewed in an ongoing to the 48 constitutional hours. Detective/ASP Ronald Poteri investigation into an alleged He was arrested on April 6, who is suspected to have stolen plot to assassinate Kayihura. 2014 and produced in court recordings of the Inspector Prosecution led by Lino on April 25. General of Police, Gen. Anguzu alleges that Poteri in During the court Kale Kayihura, interviewing March 2014 at the Criminal proceedings, defence lawyers NRM party youth has been Investigations and Intelligence and state prosecutors clashed remanded to Luzira Prison. Directorate headquarters over two missing affidavits of Poteri, 32, who is attached in Kampala did pass on summons for staying Poteri’s to electoral and political confidential information to an trial proceedings on grounds crime department at Kibuli, unauthorised person. of prolonged detention. yesterday appeared in court Jacqueline Mbabazi at a Poteri’s lawyers Shaban to answer charges of wrongful press recently declared that Senywa and Vincent Mugisha communication and leaking she had recordings of Kayihura claimed they submitted three information. coaching youth to pin her affidavits to the state attorney. Court, presided over by husband Amama Mbabazi as However, prosecution denied, Buganda Road Court Chief having ambitions to replace insisting that they received Magistrate, Lillian Bucyana President Yoweri Museveni. only one. heard that the suspect handed Poteri, however, yesterday The state attorney asked court a tape containing confidential declined to take plea and to give him time to investigate information to the Prime remained silent on grounds who stamped the affidavit Minister’s wife, Jacqueline that his constitutional rights without his permission. Mbabazi. had been abused, by being The case was adjourned to The recordings are part of the detained at Kireka Police Monday to next week. .