We are affirming the 'B+' long-term and 'B' short-term sovereign credit ratings on the Republic of Uganda. The stable outlook balances the strength of Uganda's key fiscal and external indicators against its development challenges, its still high donor dependence, and its untested democratic processes in a handover situation, which pose background risks to policy continuity. On Dec. 17, 2009, Standard&Poor's Ratings Services affirmed its 'B+' long-term and 'B' short-term sovereign credit ratings on the Republic of Uganda. The outlook is stable. The ratings on the Republic of Uganda are constrained by the sovereign's low economic development, its dependence on donor funds, the lack of a track record of democratic government handovers, and the long-term challenges stemming from rapid
