Uganda signs US $94.52m road construction deal

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The African Development Bank(AfDB) has signed a US $94.52m loan with Uganda to fund a major road construction in the country. The road is part of a multinational project involving Uganda and Kenya dubbed the Kapchorwa-Suam-Kitale and Eldoret Bypass Roads Project.

The 118 km road project will open trade through the eastern part of the country by linking it to Kenya. Uganda’s Minister of Finance for investment Evelyn Anite says that as part of the project, a one-stop border post will also be constructed at Suam.

According to AfDB Director General, Gabriel Negatu, upgrading the road will reduce travel time between the two countries, and contribute to poverty reduction by improving household incomes and well-being through increased access to markets and social services.

Also read: Construction work on the Mbale-Tirinyi Nakalama road in Uganda stalls

Negatu said that, apart from the project being in line with the EAC regional integration agenda, it is also in line with the AfDB’s objective to accelerate Africa’s transformation through promoting regional integration and improving people’s living standards.

He said the bank also aims to increase agricultural production on the continent through access to markets and promoting industrialization. “The bank will bring, throughout the project cycle, engineering, environmental and economic expertise and experience to realize the objectives and benefits of the project,” he said.

The project is expected to be completed in 2021.