Government Secures $131 Million Loan for Kumi-Ngora-Serere-Kagwara Road Upgrade
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The upgrade of Kumi-Ngora-Serere-Kagwara road will not be hindered by the Project Affected Persons (PAPs), given that the loan to finance the road works includes compensation.
The Minister of State for Finance, Planning and Economic Development (General duties), Hon. Henry Musasizi told the Committee on National Economy that the loan request of US$106 million from Islamic Development Bank and US$25 million from Abu Dhabi Fund for Development is the first that includes compensation of PAPs.
“Preparation of this project took into account challenges faced in the previous projects which caused slow disbursement of debts. The main challenges identified included delays in land acquisition process due to lack of resources for compensation,” he said.
Musasizi made the clarification while was justifying the need for the loan while appearing before the committee on Thursday, 06 February 2025.
He said that the road provides access to the Nyero rock paintings which is one of the tourist attractions in Eastern Uganda.
“It is also the alternative route to access Soroti Town in case of any disruptions at the Awoja bridge crossing. The current state of the road is incapable of adequately serving the current and projected traffic. It is therefore, necessary to upgrade the road to paved standards,” he said.
The Head of Network Planning and Engineering at the Ministry of Works and Transport, Eng. Isaac Wani explained that according to the design, a bypass will be constructed in Ngora District.
Pakwach District Woman Member of Parliament, Hon. Jane Pacutho commended the minister for incorporating compensation of PAPs in the loan but called for proper utilisation of the funds.
“We have had challenges in loan implementation because of land acquisition but this loan has solved that,” Pacutho said.
She however, said that for future loans, the Minister of Finance should borrow from one source with the aim of acquiring softer loans.
Bukanga North County MP, Hon. Nathan Byanyima welcomed the loan request but urged government to consider early demarcation of roads to avoid encroachment on road reserves.
“People become stubborn and build on road reserves after hearing that roads will be upgraded,” he said.
Hon. Emmanuel Omoding (NRM, Serere County) said that the road upgrade will attract more investors into Teso region.
“It has been a cry of the people of Teso that we get this road tarmacked. This is very important for the people of Teso that it will improve on trade of agricultural products,” Omoding said.
Kumi-Ngora-Serere-Kagwara road is a 98Km gravel road in Eastern Uganda.
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