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UG Standard - Latest News

Transport ministry seeks UGX 8.3 trillion budget to jump-start stalled projects

by JACKSON RUGUNDA | UG STANDARD REPORTER
07/04/2026
in Business, News
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Works Minister Katumba Wamala says land compensation for the Nakawuka road project has hit 400 billion shillings, exceeding the 340 billion construction cost.
Works Minister Katumba Wamala says land compensation for the Nakawuka road project has hit 400 billion shillings, exceeding the 340 billion construction cost.

KAMPALA, Uganda — The Ministry of Works and Transport is seeking a 8.3 trillion shilling budget for the 2026/27 financial year, a move aimed at reviving stalled infrastructure projects and addressing a mounting maintenance backlog.

The proposed allocation represents a 40% increase over the current 5.9 trillion shilling budget. Works and Transport Minister Gen. Katumba Wamala told Parliament’s physical infrastructure committee last Wednesday that the funding is essential to transition toward a “seamless, safe and sustainable multi-modal transport system.”

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According to the ministerial policy statement presented at Speke Resort Munyonyo, the roads sub-sector remains the primary focus, accounting for 4.17 trillion shillings. Of this, 758.38 billion shillings is specifically earmarked to complete national road construction projects that have previously faced delays.

The ministry reported that as of late 2025, fiscal performance stood at 63%, with development spending lagging at 56%. Gen. Katumba attributed the slow execution to late fund disbursements and a lack of counterpart funding for land acquisition, which has left contractors unable to proceed.

To jump-start these works, the ministry plans to acquire 284.1 hectares of land in the coming fiscal year. Key among the priorities is the 338 billion shilling allocation for the Kampala-Jinja Expressway right-of-way.

The ambitious plan also targets urban congestion, with 44 billion shillings set aside for a short-term solution at the Busega junction and another 25 billion shillings for interchanges at Busabala and Kigo.

Beyond roads, the 8.3 trillion shilling plan includes:

  • Railways: Progress on the Tororo-Gulu line has reached 66%, while the ministry prepares to begin a 27-kilometer section of the Standard Gauge Railway.

  • Aviation: Kabalega International Airport is 96% complete, with 126.9 billion shillings requested for terminal equipment and operationalization by July.

  • Water: The Bukasa port project is halfway to completion, with full land reclamation expected by June.

The budget request faced immediate pushback from lawmakers. Committee Chairman Tony Awany questioned the high cost of terminal equipment for an airport that is nearly finished.

Lawmaker Sarah Opendi criticized the 145 billion shilling subsidy for Uganda Airlines, suggesting the funds would be better spent on the railway system. Other MPs, including Francis Mwijukye, urged the ministry to prioritize “gold roads” in mineral-rich regions like Buhweju to ensure equitable development.

The ministry warned that without the requested increase, unpaid arrears—which currently stand at 218.46 billion shillings—will continue to result in work suspensions and project delays across the country.

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Tags: Busega junctionGen Katumba WamalaInfrastructure Developmentinfrastructure maintenanceKabalega International AirportKAMPALA Jinja ExpresswayMinistry of Works and Transportnational roadsparliament of Ugandapublic worksroad construction UgandaStandard Gauge Railwaytransport policy statementtransport sector fundingUganda AirlinesUganda budget 2026/27urban traffic solutions

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