European Union is to provide 15 billion shillings towards food purchases for vulnerable groups in Acholi, Lango and Teso sub regions.
Vincent DE Visscher, The Head of European Union Delegation in Uganda says that the money will be extended to World Food Programme and Food and Agricultural Organization for food and seed purchase.
The money is expected to cover six months, as the formerly displaced persons also cultivate their own food during the rainy season.
Districts in Northern Uganda and Teso are facing severe food shortages following the prolonged drought.
In addition to the EU grant, government has announced plans to release 8 billion shillings to provide food to areas hit by famine.
Disaster Preparedness Minister, Professor Tarsis Kabwegyere says that government will address the food crisis, without necessarily declaring a state of emergency.
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He attributes the food shortage in some parts of the country to selling of food to neighboring Kenya and Southern Sudan.
Kabwegyere says the long term solution to such crisis is to encourage people to open up more land and plant enough for commercial and domestic consumption.
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Over 53 districts are currently facing food shortages with Teso and parts of West Nile region reporting some deaths, as a result of hunger.