The African Development Bank (AfDB) Group has approved financing worth Shs674.1 billion (€155.99 million) to transform Arua Airport into an international-standard facility, a development expected to boost trade, tourism and investment in Uganda’s West Nile region.
The funding will support Phase One of the Uganda Airports Development Programme, aimed at improving air transport infrastructure and strengthening regional connectivity.
Located about 450 kilometres northwest of Kampala, Arua Airport serves as a strategic gateway to the West Nile region and neighbouring markets in South Sudan and the Democratic Republic of Congo. However, limited aviation infrastructure has for years constrained the region’s economic potential.
Under the project, Arua Airport will undergo major expansion works to enable it to handle larger aircraft, increased passenger numbers and higher cargo volumes.
The planned upgrades include the construction of a 3.5-kilometre paved runway capable of accommodating wide-body aircraft such as the Boeing 777, new taxiways and aircraft parking aprons, as well as a modern passenger terminal with the capacity to handle up to 700,000 passengers annually.
A cargo terminal with the capacity to process 25,000 tonnes of freight per year will also be constructed, alongside a new air traffic control tower, access roads, parking facilities and improved aviation safety systems.
The total cost of the programme is estimated at Shs681.5 billion (€157.76 million). The African Development Bank will provide a loan of Shs609.9 billion (€141.15 million), while the African Development Fund, the Bank Group’s concessional financing arm, will contribute Shs64.1 billion (€14.84 million). The Government of Uganda will provide Shs7.6 billion (€1.77 million) in counterpart funding.
Mike Salawou, Director of Infrastructure and Urban Development at the African Development Bank Group, said the project is not only about improving airport infrastructure but also creating economic opportunities.
“This project is about connecting people to opportunities. It will open new markets for businesses, support tourism growth and strengthen Uganda’s position as a regional trade and logistics hub,” Salawou said.
Implementation of the project will be overseen by the Uganda Civil Aviation Authority (UCAA) under the Ministry of Works and Transport.
The upgraded airport is expected to unlock opportunities in agriculture, tourism, trade, logistics and mineral development. West Nile is endowed with significant natural resources and has strong economic potential, but its distance from major markets has often limited growth.
Improved air connectivity is expected to enable farmers and traders to transport fresh produce more efficiently to regional and international markets, while making the region more accessible to tourists and investors.
According to project estimates, more than 500,000 residents of Arua City and Arua District will directly benefit from the development. The wider West Nile region, which has a population of more than 3.3 million people, is also expected to benefit from improved transport links and increased investment opportunities.
The construction phase is projected to create about 500 direct jobs and more than 1,400 indirect jobs in sectors including tourism, agriculture, transport and trade.
Additionally, at least 100 young people, including women, will receive skills training in engineering, construction and equipment operation, helping to develop local expertise and improve employment opportunities.
The airport project aligns with the African Development Bank’s Ten-Year Strategy 2024–2033 and Uganda’s infrastructure development priorities, which emphasise expanding transport networks, improving market access and supporting industrialisation.
Once completed, the upgraded Arua Airport is expected to become a key international gateway for northwestern Uganda, strengthening regional trade links and supporting long-term economic growth across the West Nile region.