The Government of Uganda has signed a major financing agreement worth EUR 641.1 million (about UGX 2.747 trillion) with Standard Chartered Bank Uganda to fund key infrastructure projects across the country. The deal is expected to strengthen Uganda’s electricity network, improve access to clean water, and upgrade important roads, all of which are essential for economic growth and better living conditions.
Speaking at the signing, the Minister of Finance, Matia Kasaija, said three priority projects have already been confirmed for financing. These include the construction of the Karuma–Tororo Double Circuit 400kV Transmission Line, the development of water supply and sanitation systems in several districts, and the upgrading of the Karugutu–Ntoroko Road and its connecting routes.
A large share of the funding — up to EUR 342.59 million — will go toward the Karuma–Tororo power transmission line and associated substations. This project will help transmit electricity from the Karuma Hydropower Plant to major demand centres such as the Tororo Industrial Park and other growing areas. It will also support regional power trade and reduce losses caused by unutilized electricity, often called “deemed energy.”
Another EUR 182.79 million will be used for the design and construction of water supply and sanitation systems in Alebtong, Kamuli-Kasambira (Phase II), Bugadde-Mayuge-Idudi-Busesa, and Nakasongola (Phase II). These projects are expected to improve access to clean and safe water, enhance hygiene, and boost the health and well-being of people in the target communities.
The third project, worth up to EUR 114.64 million, will finance the upgrading of the Karugutu–Ntoroko Road (56.5 km), the link to Rwebisengo (8.2 km), and 3.3 km of town roads in Ntoroko, covering a total of 68 km. This road upgrade is expected to boost tourism around the Lake Albert region, improve access to rural productive areas, lower transport costs, and support economic activities, including those linked to Uganda’s oil sector.
Minister Kasaija noted that the projects align with the government’s strategy to grow Uganda’s economy from USD 53 billion to USD 500 billion by 2040. He thanked Standard Chartered Bank for partnering with Uganda and mobilizing the necessary funding. He also appreciated development partners such as the Government of Sweden, the Government of China, and the Islamic Corporation for Insurance of Investment and Export Credit for providing insurance cover that enabled the bank to secure the financing on competitive terms.
He urged all project implementers — including contractors, supervisors, and government agencies — to ensure the funds are used properly so that Uganda fully benefits from these investments. If successfully implemented, the projects are expected to accelerate development, improve livelihoods, and support long-term economic transformation.
