The Uganda Railways Corporation (URC) has unveiled new plans to establish a passenger train service linking Bujuuko, Kyengera, Kampala, Port Bell, and Mukono, as part of a broader government effort to modernize public transport and ease congestion in the Greater Kampala Metropolitan Area.
URC Managing Director Benon Kajuna said a European Union–funded feasibility study confirmed the project’s viability, proposing a single-track line from Bujuuko to Kyengera and a double-track section from Kyengera to Mukono to meet growing passenger demand.
“We have received a feasibility report that shows we can establish a passenger service from Bujuuko through Kyengera, Kampala, and on to Mukono.The Kyengera–Mukono section will be a double line to accommodate traffic demand,”he said.
He said the project will initially deploy diesel multiple unit (DMU) trains before upgrading to electric multiple units (EMU) in a second phase to provide cleaner and more efficient transport.
The plan also recommends removing level crossings within Kampala to improve safety and reliability.
Kajuna revealed that URC is engaging financiers including the European Investment Bank, World Bank, French Development Agency (AFD), and the European Union to secure funding for construction.
The project, he said, aligns with the government’s urban decongestion strategy led by a cabinet subcommittee chaired by the Minister of Works and Transport.
He added that government intends to subsidise passenger train services as part of its public service obligation, noting that such systems are not profit-driven but vital for urban mobility.
To ensure long-term financial sustainability, URC is considering introducing a Railway Development Levy similar to levies in Kenya and Tanzania charging US$1.5 per ton of cargo entering Uganda to finance railway maintenance and expansion.
“It’s a small amount, but cumulatively it can fund major projects like in Kenya and Tanzania,” Kajuna said, confirming that the Ministry of Finance has already formed a committee to review the proposal.
Kajuna emphasised that the Shs1.7 trillion URC Strategic Plan (2025–2030) focuses on infrastructure rehabilitation, rolling stock modernization, and staff capacity building to transform the corporation into a commercially viable and competitive entity.
He also disclosed ongoing legal reforms to end URC’s monopoly by allowing private operators regulated under clear safety and performance standards.
“We want to open up the rail sector so that other operators can use the network under proper regulation. This will improve efficiency and service delivery,” Kajuna said.
URC Board Chairperson Abdallatiff Dhakaba Wangubo said the new five-year plan was developed through extensive consultations and aligns with Uganda Vision 2040 and the National Development Plan IV.
“This plan aligns with the national budget strategy focused on full monetization of Uganda’s economy through industrialization, digital transformation, and market access,” Wangubo said.
He noted that the framework prioritizes intermodal connectivity, private sector participation, and performance-based management to ensure accountability.
“The board is fully committed to ensuring that this plan is not just a document but a living framework guiding every decision and investment,” Wangubo added.
The new strategy is expected to play a key role in reviving Uganda’s railway system, strengthening regional trade, and positioning the country as a transport hub for the Great Lakes region.
“We are confident that through this plan, URC will once again become a reliable agent for Uganda’s growth connecting people, markets, and opportunities,” Wangubo said.