World Bank approves NUSAF IV to support Northern Uganda
LIRA, May 29, 2025 – – The World Bank has approved funding for the fourth phase of the Northern Uganda Social Action Fund [ NUSAF IV], a five-year government initiative aimed at accelerating poverty alleviation and development in the region, according to State Minister for Northern Uganda, Dr Kenneth Omona.
Omona said NUSAF was initiated to enable Northern Uganda to catch up with the rest of the country in terms of development and infrastructure, following decades of conflict.
“We have had extensive consultations on NUSAF IV. It is well understood that Northern Uganda still faces significant poverty. Cabinet approved the continuation of the initiative in 2022, and we agreed to launch a new phase — NUSAF IV,” he explained.
He added that the World Bank, which will provide the funding, has now cleared the loan, paving the way for the final stages of approval.
“We are now at the tail end of the process. Cabinet will be briefed shortly, after which we will seek approval to borrow the funds. I am optimistic that NUSAF IV will commence before the end of this year,” Omona told a recent meeting of LC5 chairpersons and Resident District Commissioners from Northern Uganda.
His remarks came in response to concerns raised by Kwania District LC5 Chairperson, Alex Ogwal, who sought clarification on what the government has planned for the region in the upcoming financial year.
“With the new financial year approaching, we need to know what you have in store for Northern Uganda so we can begin planning,” Ogwal said.
Previous phases—NUSAF I, II, and III were implemented by the Office of the Prime Minister [OPM] and ran until 2021. These initiatives supported 18 conflict-affected districts in Northern Uganda by strengthening household resilience, providing income support, and funding infrastructure development.
According to Omona, the next phase will shift focus towards stimulating local production by funding micro-projects at the community level and supporting ventures that promote economic growth.
“NUSAF IV will concentrate on productive investments. The goal is to empower communities through capital, inputs, and value addition initiatives, enabling them to lift themselves out of poverty,” he said.
The programme is expected to benefit over three million people, providing them with access to improved agricultural inputs, equipment for value addition, and start-up capital for small enterprises.
Judith Alyek, Woman Member of Parliament for Kole district and Chairperson of the Lango Parliamentary Group, welcomed the revival of NUSAF and called for the return of similar initiatives such as the Peace, Recovery and Development Plan [PRDP].
“There is now lasting peace in the sub-region. It’s time for people to work, invest, and rise out of poverty. Programmes like NUSAF and PRDP should be brought back to support this transition,” Alyek urged.
The new programme will target nine sub-regions: West Nile, Acholi, Lango, Teso, Karamoja, Bukedi, Bunyoro, and Busoga. Although NUSAF IV had initially been expected to launch in 2023, delays in negotiations and planning pushed its start date.
Speaking before Parliament’s Committee on Presidential Affairs in April 2025, the Minister, Office of the Prime Minister [General Duties], Justine Lumumba confirmed that the initiative, valued at US$ 276 million has now been included in the budget for 2025/2026 financial year.
Once launched, NUSAF IV is anticipated to be a cornerstone of the government’s wider strategy to promote inclusive development, build resilience, and reduce poverty in historically marginalised parts of the country.
https://thecooperator.news/nusaf-implementation-under-investigations/
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