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Kampala Secures €250 Million UK Deal to Transform City Roads

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Kampala Secures €250 Million UK Deal to Transform City Roads

Kampala, Uganda – Kampala Capital City Authority (KCCA) has inked a €250 million commercial agreement with COLAS Ltd, a UK-based engineering firm, to kickstart the Kampala City Roads and Bridges Upgrading Project (KCRBUP).

The transformative project funded by UK Export Finance (UKEF) will overhaul 127.28 kilometers of road infrastructure across 118 roads in all five city divisions, incorporating modern drainage systems, pedestrian walkways, and solar-powered street lighting.

“This is not just a road project; it is an urban renewal initiative that speaks to safety, accessibility, and sustainability,” said Kampala Lord Mayor Erias Lukwago, who hosted the signing ceremony at City Hall earlier today.

The high-profile event was graced by British High Commissioner Lisa Chesney, senior government officials, and ministers in charge of Kampala Affairs.

“UK is proud to support Uganda’s efforts in urban infrastructure. This partnership will create jobs, stimulate the economy, and enhance resilience in Kampala’s transport system,” said Ms. Chesney.

The deal marks one of the largest bilateral commercial financing packages for urban development in Uganda’s history, highlighting the UK’s increasing investment footprint in East Africa.

The KCRBUP will be implemented in phases. Key components include upgrading 127.28km of urban roads, constructing bridges and box culverts, installing street lighting and traffic lights, and creating pedestrian walkways and cycling lanes.

The roads slated for upgrade stretch across Kawempe, Nakawa, Makindye, Rubaga, and Central Division, where residents have long grappled with flooding, potholes, and traffic congestion.

“We are targeting smart mobility, cleaner neighborhoods, and safer travel for all including pedestrians, boda boda riders, and the differently abled,” said KCCA Executive Director Hajjat Buzeki Sharifah.

Unlike past road projects, the KCRBUP is aligned with the United Nations Sustainable Development Goals (SDGs). It integrates eco-conscious technology, including solar-powered street lighting, environmentally friendly materials, and inclusive designs that prioritize women, children, and people with disabilities.

This comes amid increasing pressure on urban authorities to mitigate climate change and decongest cities through sustainable infrastructure.

“This is a game-changer for Kampala. Once complete, it will ease mobility, reduce costs for motorists, and help businesses thrive,” said urban transport analyst Isaac Mugisha.

Construction is expected to commence in Q4 of 2025, following a detailed design review and environmental impact assessment. KCCA has assured the public that relocation, compensation, and stakeholder consultations will come first before any works are undertaken to minimize disruptions.

Also read: Erias Lukwago Named PFF President

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