Ugandan Court Declares Syndicated Loan Illegal in Shock Ruling

  • At least $1.5 billion of loans, oil projects may be at risk
  • Finance Ministry reassures lenders of its commitment to loans
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The Ugandan High Court on Wednesday ruled that a syndicated loan granted to a local company was illegal in a shock judgment that banks warned could lead to a spike in defaults on $1.5 billion of debt.