Gov’t given go ahead to aquire loan for construction of Busoga roads

Government is given the green light to borrow Euros207.75 million from Citi bank and other financial institutions to finance the design and building of the Jinja-Mbulambuti-Kamuli-Bukungu road and Jinja City roads.

The motion seeking approval of the loan request was presented by the Minister of Finance, Planning and Economic Development, Hon. Henry Musasizi on Thursday, 03 September 2026.

He said that the 127km Jinja-Mbulamuti-Kamuli-Bukungu road forms a critical transport corridor linking Busoga to Lake Kyoga in Teso and provides an alternative route between Northern and Southern Uganda.
“The road connects to several districts across the waters of Lake Kyoga and the terminal end of the road at Bukungu is a gateway to districts of Amolatar, Kaberamaido, Soroti, Nakasongola and Kayunga,’ Musasizi said.

Government is given the green light to borrow Euros207.75 million from Citi bank and other financial institutions to finance the design and building of the Jinja-Mbulambuti-Kamuli-Bukungu road and Jinja City roads.

The motion seeking approval of the loan request was presented by the Minister of Finance, Planning and Economic Development, Hon. Henry Musasizi on Thursday, 03 September 2026.

He said that the 127km Jinja-Mbulambuti-Kamuli-Bukungu road forms a critical transport corridor linking Busoga to Lake Kyoga in Teso and provides an alternative route between Northern and Southern Uganda.
“The road connects to several districts across the waters of Lake Kyoga and the terminal end of the road at Bukungu is a gateway to districts of Amolatar, Kaberamaido, Soroti, Nakasongola and Kayunga,’ Musasizi said.

“Intervening in 10km of urban roads within Jinja city directly supports urban mobility, facilitates industrial transport within Uganda’s primary industrial city and boosts local trade,” Musasizi said.

In its report, the Committee on National Economy recommended approval of the loan but quickly added that the loan agreement should not be signed until the Ministry of Works and Transport completes registration of all Project Affected Persons (PAPs).

The Chairperson of the Committee, Hon. Jane Pacuto said that whereas the Works Ministry undertook land valuation in 2022 with compensation of PAPs estimated at Shs112.8 billion, the valuation report has neither been updated nor submitted.
“Consequently, the quoted values may vary once the updated valuation is completed. Given that the valuation reports are not yet complete, there is a risk of project delays arising from the fact that PAPs have not been conclusively engaged under the new policy,” Pacuto said.

Hon James Waluswaka (NRM, Bunyole West County) supported the loan approval but urged government to remove the budget on road design, saying that it was already done by the ministry.

Kagoma County MP, Hon. Moses Walyomu said that Jinja-Mbulambuti-Kamuli-Bukungu will boost tourism activities Busoga region.
“The road is along tourism sites like Busowoko and Itanda falls. This will help the tourism sector,” he said.