Uganda’s real estate sector is poised for growth, but industry leaders warn that inadequate infrastructure is stifling its potential. At the recent Homes and Gardens exhibition held at Sheraton Hotel, Edwin Musiime, Chairman of Olim Group and event organizer, emphasized the sector’s infrastructure challenges.
“Uganda’s real estate sector is on an upward trajectory, but the infrastructure supporting housing projects is severely lacking,” Musiime said.
Musiime highlighted the country’s significant housing deficit, which stands at 2.4 million units, with nearly 1.4 million needed in rural regions. “Currently, Uganda requires approximately 200,000 new housing units each year. Unfortunately, only a small portion of this demand is being fulfilled, leading to overcrowded urban environments and an increase in informal settlements,” he noted.
In response, Lands and Housing Minister Persis Namuganza encouraged real estate developers to adopt sustainable housing solutions, such as green buildings using eco-friendly materials, to combat climate change.
“The Ugandan government recognizes the housing crisis and is implementing strategies to tackle it. We are building partnerships with private developers to increase the supply of affordable housing,” Namuganza said.
She emphasized the importance of investing in infrastructure, such as roads, water supply, and electricity, in underdeveloped areas. “By enhancing infrastructure, we aim to stimulate housing development beyond overcrowded urban centers,” Namuganza added.
According to the Ministry of Lands and Housing, Uganda’s real estate market is projected to reach $365.6 billion by 2024, with residential real estate dominating the market at $329.2 billion. This segment is expected to grow at an annual rate of 7.07% from 2024 to 2029, potentially reaching $514.4 billion by 2029.
