The US embassy said on Monday that the funds would be used to improve roads in rural areas, restoring and constructing boreholes and renovating and building primary schools and health clinics in the region.

The northern Uganda witnessed longtime run violence which damaged its economic and social infrastructure. It remains far poorer than other parts of Uganda.

A broad reconstruction and rehabilitation effort funded by the government with donors has been underway since the LRA rebels were expelled from the area in 2005.

Ugandan President Yoweri Museveni has said the government is working on plans to compensate all victims of the LRA war who suffered crippling physical harm, in part to help accelerate social recovery in the area.

The LRA was notorious for using extreme brutality to extract support from the civilian population, or punish perceived sympathy with the government.

The rebels led by Joseph Kony are now roaming a remote region of jungle that bestrides the borders of Uganda, Democratic Republic of Congo and south Sudan.