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Cities, Municipalities Get Shs2.1 trillion for roads

Govt earmarks Shs2.1 trillion for urban roads outside Kampala

Leonard Kamugisha Akida by Leonard Kamugisha Akida
April 7, 2026
in News, News
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Cities, Municipalities Get Shs2.1 trillion for roads

Mbarara City, road upgrading

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By Leonard Kamugisha Akida,

KAMPALA

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The Government has earmarked Shs2.1 trillion for roads infrastructure development in municipalities and cities outside the Kampala Metropolitan Area under a new six-year programme.

The funding, which includes an $80 million grant from the World Bank, follows Cabinet approval granted on March 31.

Lands, Housing and Urban Development minister Judith Nabakooba revealed the development during a media engagement at the Uganda Media Centre on Tuesday, saying implementation will run from the 2026/27 financial year to 2030/31.

Nabakooba said the project will be implemented in 10 regional cities, 26 municipalities and 14 refugee-hosting districts, directly benefiting an estimated 5.6 million people, including 1.6 million in refugee-hosting areas.

“The project shall be implemented within 10 regional cities, 26 municipalities and 13 refugee-hosting districts, directly benefiting an estimated 5.6 million people, of which 1.6 million are expected to be from refugee-hosting areas,” she said.

The cities set to benefit include Lira, Arua, Gulu, Mbale, Hoima, Fort Portal, Jinja, Mbarara and Masaka.

Municipalities under the programme include Busia, Kitgum, Apac, Tororo, Kamuli, Lugazi, Kabale, Ntungamo, Mubende and Kasese, which previously benefited from the Uganda Support to Municipal Infrastructure Development (USMID) programme.

Fifteen additional municipalities; Mityana, Njeru, Bugiri, Rukungiri, Kidera, Kapchorwa, Iganga, Kotido, Koboko, Sheema, Ishaka-Bushenyi, Ibanda, Kumi, Masindi and Nebbi have also been included.

The programme will further cover refugee-hosting districts such as Arua, Terego, Yumbe, Madi-Okollo, Lamwo, Adjumani, Moyo, Obongi, Kiryandongo, Kamwenge, Isingiro, Kikuube and Kyegegwa.

According to Nabakooba, the project will also support institutional and capacity building in urban authorities, solid waste management, drainage systems, sports facilities, recreation infrastructure and enhancement of local revenue generation.

She added that the programme is expected to create over 20,000 permanent jobs, including 5,000 in refugee-hosting communities, through market operations, maintenance services, waste management and logistics.

This marks the second phase of the programme, following the first phase implemented since 2013, which upgraded over 130 kilometres of roads, improved drainage systems and constructed markets in various urban centres.

Nabakooba urged leaders in the beneficiary areas to work closely with line ministries and agencies to ensure successful implementation.

“Local government leaders must ensure all pending environmental and social safeguards are addressed to facilitate seamless commencement of works in the upcoming financial year,” she said.

Tags: Judith NabakoobaLands ministerUrban DevelopmentUSMID

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