Da Dona
JF-Expert Member
- Dec 16, 2025
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Government has threatened to terminate the Shs112.03 billion Kabale–Lake Bunyonyi and Kisoro–Mgahinga Road Upgrade Project over delays, with works reportedly stalled since June 1, 2026.
The warning followed a high-level meeting chaired by Finance Minister Henry Musasizi, attended by AfDB representatives, Kigezi MPs, local government leaders and officials from the Ministries of Finance and Works.
Musasizi said government had largely fulfilled its obligations, including financing, Right of Way acquisition and compensation of Project Affected Persons, with about 80% of land compensation completed.
However, project progress stands at just 2.13% against a planned 37.15%.
The Ministry of Works and Transport has been directed to take immediate action to restore progress, while the Attorney General has been asked to advise government on the legal options available.
Musasizi said government would consider all contractual remedies, including termination, if the contractor fails to resume works.
The 34-kilometre project, awarded to Samcrete Egypt Engineers and Contractors, was expected to be completed within 36 months. It also includes town roads, ferry landing sites, roadside markets, produce storage facilities and electricity extension to Bwama Island.
Kigezi leaders say the delays are worsening transport challenges and could affect tourism, trade and livelihoods, particularly as the rainy season approaches.
By Nile post UG
