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Uganda plans sh2.49 trillion financing for SGR, Bwindi roads
Cabinet also approved the proposed Uganda Railways Bill, 2026, which is intended to replace the existing Uganda Rail Corporation law.
Lumumba said the roads serve an area that generates significant tourism revenue.
By: John Musenze, Journalist @New Vision
The government plans to mobilise about €548 million (sh2.49 trillion) to finance the Malaba-Kampala Standard Gauge Railway and upgrade roads serving the Bwindi tourism area.
Cabinet approved a proposal to issue €405 million (sh1.84 trillion) in sovereign financing for a section of the Malaba-Kampala Standard Gauge Railway.
The decision was among the resolutions approved by Cabinet on September 28, 2026, and announced by the Minister of ICT and National Guidance, Justine Kasule Lumumba, during a media briefing at the Media Centre in Kampala on October 6.
The financing will support the development of the Malaba-Kampala section of the SGR, a major railway project intended to improve the movement of passengers and cargo along the regional transport corridor.
Cabinet also approved a proposal to borrow up to €142.69 million (Shs650 billion) to upgrade two roads in southwestern Uganda to paved standards.
The roads are the 47-kilometre Hamurwa-Kerere-Kanungu road and the 32-kilometre Kanyantorogo-Butogota-Buhoma road.
Together, the two roads cover about 79 kilometres and provide access to the Bwindi area, one of Uganda's major tourism destinations.
Lumumba said the roads serve an area that generates significant tourism revenue.
Cabinet also approved a proposal to borrow up to €142.69 million (Shs650 billion) to upgrade two roads in southwestern Uganda to paved standards.
The roads are the 47-kilometre Hamurwa-Kerere-Kanungu road and the 32-kilometre Kanyantorogo-Butogota-Buhoma road.
Together, the two roads cover about 79 kilometres and provide access to the Bwindi area, one of Uganda's major tourism destinations.
Lumumba said the roads serve an area that generates significant tourism revenue.
“The roads are around the Forest of Bwindi where we have the treasures that are known to you very well,” she said.
The Minister of Finance, Planning and Economic Development was authorised to seek Parliament's approval for the €142.69 million borrowing in accordance with Article 159 of the Constitution and Section 34 of the Public Finance Management Act.
The two financing proposals amount to about €547.69 million, although they are separate financing approvals for different projects.
Cabinet also approved the proposed Uganda Railways Bill, 2026, which is intended to replace the existing Uganda Rail Corporation law.
According to Lumumba, the proposed legislation will address emerging issues in the railway sector, including technological developments, changing markets and urban mobility systems.
The Minister of Finance, Planning and Economic Development was authorised to seek Parliament's approval for the €142.69 million borrowing in accordance with Article 159 of the Constitution and Section 34 of the Public Finance Management Act.
The two financing proposals amount to about €547.69 million, although they are separate financing approvals for different projects.
Cabinet also approved the proposed Uganda Railways Bill, 2026, which is intended to replace the existing Uganda Rail Corporation law.
According to Lumumba, the proposed legislation will address emerging issues in the railway sector, including technological developments, changing markets and urban mobility systems.