World Bank to support 27 Ugandan towns

May 10, 2015

Some 27 municipalities and town councils are set to receive funding from the World Bank for infrastructure projects.


By Taddeo Bwambale

At least 27 municipalities and town councils in Uganda are set to receive funding from the World Bank for infrastructure projects under a new initiative to help developing cities.

The urban centres are scheduled to benefit from the city creditworthiness academy established by the World Bank and other donors to provide alternative funding for local projects.

Through the global initiative started two years ago, select urban authorities acquire training in preparing investment plans for projects that can be funded by international donors.

The Kampala Capital City Authority (KCCA) was the first to benefit from the initiative to implement several city projects including works on roads, drainage channels and markets Joshua Gallo, a senior municipal finance specialist at the World Bank, told journalists at a briefing yesterday that the programme had been extended to other urban authorities in Uganda.

“KCCA has achieved incredible results with support from the World Bank, which has inspired the decision to expand to more urban areas,” Gallo said.

Last year, KCCA secured $175m (sh516b) from the World Bank for the phase 2 of the Kampala Institutional and Infrastructure Development Plan (KIDP) under the same initiative.

The funds were for expanding the city’s road network, mapping of properties and revenue management, said Charles Tumwebaze, the KIIDP project coordinator at KCCA.

The lands minister, Daudi Migereko said the initiative was in line with Government’s plan to turn urban areas into major economic centres to spur economic growth.

Municipalities in Uganda obtain their 90% of their revenue from central government.

Migereko, said the initiative would help urban authorities to explore innovative ways of raising funds for community projects and reduce their reliance on central government releases.

Economic planners from 22 municipalities and five best performing town councils (Lugazi, Kisoro, Kitgum, Kumi and Mubende) took part in the training programme this week.

The World Bank is already financing the transformation of five municipalities in Uganda into cities under the project; “Uganda Support to Municipal Infrastructure Development Programme.” The project worth $150m also supports nine other municipalities.

 

 

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