The Ugandan government has returned £3.26m of aid to the Irish government, after it was transferred to unauthorised recipients within the government.
A report by the auditor general of Uganda found that the funds from Ireland had been taken by officials in Prime Minister Patrick Amama Mbabazi’s office.
Ireland, the UK, Norway and Denmark suspended aid to Kampala following the report.
The Irish Foreign Affairs Minister Eamon Gilmore said that the government’s return of aid money followed "intensive high level discussions with the government of Uganda over the last two months".
"I am satisfied that this and other steps taken by the government of Uganda send a clear signal of their commitment to bring those involved to account and to improve financial control systems," he said.
"I believe that these measures will contribute to the government's efforts to tackle corruption. I have now instructed my officials to examine options for a possible programme of support for the people of Uganda during 2013,
"Looking to the future, we stand ready to continue to work with the auditor general of Uganda in his efforts to root out corruption, strengthen financial controls, and build robust and transparent systems of accountability."
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