Uganda president Yoweri Museveni has led thousands of people on a rally to celebrate the introduction of the country's infamous 'Jail the Gays' bill.

The law criminalises gay unions and punishes any homosexual offence with imprisonment up to14 years.

Thousands marched through the streets of the capital Kampala holding signs which read: "Thank you for saving the future of Uganda".

Museveni told the crowd during the march: "Oral sex! The mouth is for eating, it's not for that purpose".

US secretary of state John Kerry likened the new law to anti-Semitic legislation in Nazi Germany and warned that Uganda's crackdown on homosexuals could damage ties with Washington.
US President Barack Obama defined the law as a "step backward for all Ugandans".

Some demonstrators held signs reading: "Obama, we want trade, not homosexuality", while others sang a song called "bye-bye homosexuality".

The European Parliament responded to the law by backing sanctions against Uganda, saying the country had violated human rights and democratic principles.

Museveni, however, is confident that the country will survive without the aid.

"Thanks for the support, but let us produce wealth so that we don't have to beg," he said.

"The Europeans are threatening us with [withdrawing] aid because we are lazy, that is a weakness," he added.

According to a new documentary, God Loves Uganda, US evangelical Christian groups have played a key role in fomenting a climate of hatred against homosexuals.

After the 1979 death of dictator Idi Amin, who was a Muslim, US-based Christian groups spent millions proselytising and building churches and schools in Uganda, the documentary said.

Uganda's First Lady Janet Museveni also declared a stand against homosexuals.

During a speech to the Church of Uganda's bishops, she said that if cows can't be gay then humans definitely cannot be gay.

"If cows did not practice homosexuality, how could we the human beings start arguing over homosexuality?" asked Museveni, who is also Minister for Affairs in the region of Karamoja.

According to critics, Museveni signed the controversial bill in order to gain votes from homophobic parties in the Ugandan government.

Presidential elections in Uganda are scheduled for 2016.