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Uganda’s Standard Gauge Railway: A Game-Changer for Economic Growth

Fredrick Siminyu by Fredrick Siminyu
November 21, 2024
in News
Uganda’s Standard Gauge Railway: A Game-Changer for Economic Growth
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Uganda’s Standard Gauge Railway: A Game-Changer for Economic Growth

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President Yoweri Kaguta Museveni has launched the construction of the highly anticipated Kampala-Malaba Standard Gauge Railway (SGR), marking a significant milestone in Uganda’s infrastructure development.

The SGR project, expected to be completed within 48 months starting in November 2024, will link Uganda’s capital, Kampala, to the key border town of Malaba, streamlining logistics and boosting regional trade.

This initiative is part of a broader effort to enhance East African trade routes.

During the groundbreaking ceremony in Tororo District, President Museveni emphasized the importance of rationalizing Uganda’s infrastructure and public services to reduce inefficiencies and spur economic growth.

“Why do we have both the Uganda Coffee Development Authority (UCDA) and the Ministry of Agriculture? Isn’t that a waste of money?” he questioned, addressing recent debates in Parliament. “Even in the road sector, why should we have the Ministry of Transport and UNRA duplicating efforts? Rationalisation addresses such inefficiencies.”

He also highlighted the need to address inefficiencies in the transport system, stating, “Our transport system is irrational. Roads are overcrowded with cars and cargo. This leads to slow movement, increased traffic, and damaged roads. To solve this, cargo must move to railways and waterways, while petroleum products will be transported through pipelines.”

The President revealed plans for pipelines connecting Kenya to Uganda and extending to Congo and Tanzania, which will ease petroleum transportation.

He also announced the construction of airports near Kidepo, Bwindi, and Kasese to promote tourism.

President Museveni stressed the economic benefits of railways over road transport, noting that transporting a 20-feet container from Mombasa to Kampala by train will cost 50% less than by road.

“Roads should primarily serve passengers, while cargo moves on trains,” he explained.

He highlighted the success of Kampala’s passenger train from Nalukolongo to Namanve, urging the expansion of similar services.

“Why should one vehicle transport a single person when a train can transport 1,000 people at once? Fewer vehicles on the road mean less congestion and better efficiency,” he highlited.

The President emphasized the importance of affordable transport, electricity, and capital in driving economic growth.

“We are already working on cheap electricity and transport. Now, we must address the cost of capital. That’s why we introduced the Parish Development Model (PDM), which provides low-cost capital to boost businesses,” he emphasized.

He warned against exploitative moneylenders who take advantage of vulnerable citizens. “Some of these moneylenders cheat people into signing away their land. We will put them in jail. Report such cases,” he warned.

President Museveni called on Ugandans to optimize land use through initiatives like the Four-Acre Model and irrigation systems to increase productivity. “If you follow these principles, you will earn a lot of money. Stop underusing and misusing land,” he said.

The Vice President, H.E Jessica Alupo, congratulated the President and the people of Uganda, saying, “Infrastructure is one of the triggers of development and transformation.”

The project will enhance Uganda’s attractiveness to foreign investors, creating jobs, wealth, and industries.

The Minister of Works and Transport, Gen. Katumba Wamala, noted that the SGR will advance regional integration and lower transportation costs, reducing overall business expenditure.

He revealed that Kenya has made significant progress on its section of the SGR and will soon start construction from Naivasha to Kisumu and Malaba.

Gen. Katumba Wamala emphasized that the SGR remains one of the top government projects aligned with the country’s National Development Plan, Vision 2040, and the NRM Manifesto.

The Ambassador of Turkey to Uganda, H.E Mehmet Fatih AK, expressed his country’s support, stating, “The railway project is more than just a transportation initiative. It will create tens of thousands of jobs during and after its construction.”

The Vice Chairperson of Yapi Merkezi Holdings, Mr. Erdem Arioglu, emphasized the project’s transformative potential, saying, “This 273 kilometers Malaba-Kampala Railway will become a vital component for trade and mobility in the region, with a capacity to transport 25 million tonnes of cargo annually.”

“This project will reduce transportation costs, increase efficiency, and unlock the economic potential of Uganda and its neighbors,” Arioglu added.

The event was attended by Ministers, Members of Parliament, and other dignitaries, marking a significant step towards Uganda’s economic growth and regional integration.

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Fredrick Siminyu

Fredrick Siminyu

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