Ugandan Parliament Approves Loan Request For Road

2 May 2024

Uganda’s parliament has approved a government request to borrow up to €110.5 million (US$117.8 million) from the UK’s Standard Chartered Bank to finance the upgrade of the Kitgum-Kidepo road in the country’s north.

The 115km road connects the Kitgum and Kaabong districts and facilitates the movement of tourists visiting Kidepo Valley National Park as well as cross-border connectivity to South Sudan and Kenya. The route is currently in a deteriorated state and presents safety concerns.

Minister of State for Finance (General Duties) Henry Musasizi, who presented the motion for the loan’s approval during a plenary sitting on 30 April, said the Kitgum-Kidepo road upgrade has been prioritised to promote tourism as well as contribute to the development of the Karamoja sub-region, which is one of the poorest in the country.

“This sub-region has the lowest road density of 5.9km of paved national roads per 1,000 [square kilometres of] land area,” he said.

The minister added that upgrading the Kitgum-Kidepo road will not only ease movement to South Sudan and Kenya but will also improve and promote trade with the two countries.

He also pointed out that although tourism remains one of the best-performing sectors of the Ugandan economy, its potential has not been adequately exploited due to inadequate infrastructure such as roads.

It is understood that ASGC UK will develop the road project in collaboration with the local DOTT Services. The environmental and social impact assessment and the resettlement action plan were prepared by South Africa-based Environmental Solutions Africa and the local Tenvicon.

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