The Government of Uganda has secured €110.5 million (approximately Shs480.9 billion) in financing from Standard Chartered Bank Uganda to upgrade the 115.8-kilometre Kitgum–Kidepo Road, a project expected to improve regional trade, reduce transport costs and unlock tourism and investment opportunities in Northern Uganda.
The financing agreement, signed at the Ministry of Finance on Tuesday, marks one of the latest infrastructure partnerships between government and the private sector aimed at strengthening Uganda's transport network and accelerating economic transformation.
Speaking during the signing ceremony, Minister of State for Finance Henry Musasizi described the road as a strategic investment that will unlock economic opportunities in Northern Uganda while enhancing regional integration.
"This road will reduce travel time and transport costs, improve the movement of people and goods, facilitate trade with South Sudan and unlock investment opportunities across Northern Uganda," Musasizi said.
The Kitgum–Kidepo Road connects the Acholi and Karamoja sub-regions and serves as a critical gateway to South Sudan, making it an important corridor for both domestic and cross-border trade.
Minister of State for Works and Transport Fred Byamukama said the project forms part of government's broader agenda to improve national infrastructure and stimulate economic growth.
"Modern road infrastructure is essential for connecting communities, supporting businesses and improving access to social services. This project will significantly improve mobility in Northern Uganda," Byamukama said.
The road is also expected to lower the cost of transporting agricultural produce and other goods while improving access to markets for farmers and traders.
Minister of State for Trade Sanjay Tana said efficient transport infrastructure is vital for enhancing Uganda's competitiveness and supporting businesses operating across the region.
"Efficient transport networks reduce the cost of doing business, improve market access and create new opportunities for trade and investment," he noted.
Beyond trade, government believes the road will significantly boost tourism by improving access to Murchison Falls National Park and Kidepo Valley National Park, two of Uganda's leading tourism destinations.
Tourism Minister Tom Butime said improved infrastructure remains one of the biggest drivers of tourism growth.
"Improving access to our national parks means more tourists, more jobs for local communities and increased foreign exchange earnings for the country," Butime said.
For Standard Chartered Bank Uganda, the financing agreement reflects its continued commitment to supporting Uganda's development agenda through strategic infrastructure investments.
Chief Executive Officer Sanjay Rughani said investments in infrastructure generate long-term economic and social benefits.
"We are proud to partner with the Government of Uganda on a project that will improve connectivity, stimulate economic activity and create lasting opportunities for communities across Northern Uganda," Rughani said.
The British High Commission welcomed the agreement, describing it as an investment that goes beyond road construction.
A representative of the mission said the upgraded road will strengthen value chains by connecting farmers to markets, industries to raw materials and businesses to new opportunities, while deepening trade between Uganda and South Sudan.
Construction of the road will be undertaken by Dott Services, with government expressing confidence that the contractor will deliver the project on time and within budget.
Once completed, the Kitgum–Kidepo Road is expected to become a major economic corridor linking the Acholi and Karamoja sub-regions, strengthening Uganda's trade ties with South Sudan while supporting tourism, agriculture and private sector investment across Northern Uganda.
