Gov’t moves to borrow Shs2.2 trillion to upgrade Greater Kampala roads

The government has tabled a loan request of $608.66 million (equivalent to Shs2.26 trillion) to Parliament for the purpose of upgrading roads in the Greater Kampala region.

During Wednesday’s plenary sitting, State Minister for Trade, Hon. David Bahati, presented the loan request on behalf of the government.

The loan, which is being sought from the World Bank and Agence Francaise de Development (ADB), will be utilized to finance the Greater Kampala Metropolitan Area Urban Development Programme.

The allocated funds will primarily be used to enhance road infrastructure in Kampala, Wakiso, Mukono, and Mpigi, including the municipalities of Entebbe, Kira, Makindye-Ssabagabo, Nansana, and Mukono.

This comprehensive program aims to address various challenges in the region, including issues such as flooding, traffic congestion, unsignalized junctions, and subpar road infrastructure.

Furthermore, the program will focus on upgrading strategic interconnecting roads spanning a distance of 611 kilometers, junctions, drainage channels, markets, and workspaces. The objective is to enhance productivity and livability within the Greater Kampala Metropolitan Area, thereby facilitating sustainable social and economic development.

Key transit corridors that will undergo improvements as part of this initiative include the Kampala-Jinja Expressway and Kampala-Southern bypass, the Kampala-Bombo Expressway, the Nakasero-Kampala Northern bypass, the Kampala outer-belt ring road, and Kampala flyover Phase II.

According to Minister Bahati, the road upgrades outlined in the loan proposal are in line with the government’s domestic revenue mobilization strategy, which aims to promote the use of rental properties located outside the central business district.

He further explained, “The program will also contribute to addressing environmental degradation and flooding in this region through the construction of climate and disaster resilient infrastructure, tree planting, construction of drainage channels, and greening of certain areas along the road reserves.”

The loan proposal has been referred to the House Committees of National Economy and Presidential Affairs for thorough scrutiny.