MOESNA Dispatch

Maritime Organisation of Eastern, Southern & Northern Africa

Member States

Uganda Kenya SGR Integration Receives Major Backing

Uganda Kenya SGR Integration Receives Major Backing

The African Development Bank (AfDB) has reaffirmed its commitment to financing Uganda's Standard Gauge Railway (SGR), providing fresh momentum to efforts aimed at creating a seamless modern railway corridor linking the Port of Mombasa to Uganda and eventually extending into South Sudan and the Democratic Republic of Congo (DRC).

During the African Development Bank Annual Meetings in Brazzaville, Republic of Congo, held recently, AfDB Vice President for Regional Development, Integration and Business Delivery, Dr. Abdul Kamara, confirmed the Bank's readiness to support the construction of the 326-kilometre Malaba–Kampala SGR section.

Uganda signed the Engineering, Procurement, and Construction (EPC) contract with Yapı Merkezi in October 2024. Land acquisition, route surveys, design work, and establishment of project facilities have been progressing through 2025 and 2026.

The commitment was conveyed during a meeting with Uganda's delegation led by the Temporary Governor and Assistant Commissioner at the Ministry of Finance, Mustapha Achidri.

Dr. Kamara said the railway project aligns closely with the Bank's strategic priority of developing resilient and transformative infrastructure across Africa.

He noted that the AfDB has tentatively allocated USD 650 million toward the project, with final financing arrangements expected to be concluded following an appraisal mission scheduled for later this month and subject to the approval of the African Development Fund's seventeenth replenishment cycle.

The financing commitment comes at a critical stage for regional transport integration. Uganda views the SGR as a key pillar of its Tenfold Growth Strategy and is currently mobilizing approximately EUR 2.7 billion to finance the project.

Achidri welcomed the Bank's support, describing the railway as a strategic investment that will significantly lower transport costs, improve trade competitiveness, and strengthen regional economic integration.

He also thanked the AfDB for its continued support to Uganda through various infrastructure and development projects recently approved by the Bank's Board.

The Malaba–Kampala section represents the missing link between Kenya's operational Standard Gauge Railway and Uganda's transport network. Once completed, the line will connect directly with Kenya's SGR at the Malaba border, creating a continuous modern rail corridor from the Port of Mombasa into Uganda.

Kenya has already completed the Mombasa–Nairobi and Nairobi–Naivasha sections of its Standard Gauge Railway. Attention is increasingly shifting to the proposed extension from Naivasha through Kisumu to Malaba, a project that remains crucial to unlocking the full benefits of the regional railway network.

The Naivasha–Kisumu–Malaba segment is expected to serve as the principal freight corridor connecting Kenya's hinterland, Lake Victoria ports, and Uganda.

Feasibility studies and route planning have been undertaken over the years, while both Kenya and Uganda have maintained discussions on harmonizing timelines to ensure interoperability of the cross-border railway system.

Transport experts argue that the completion of both the Kenyan and Ugandan sections would dramatically reduce cargo transit times between Mombasa and Kampala, lower logistics costs for importers and exporters, and ease pressure on the heavily congested Northern Corridor road network.

Beyond Kampala, Uganda's long-term SGR master plan envisages further extensions westwards to Kasese and the DRC border, as well as northward toward Gulu and Nimule on the South Sudan frontier. These extensions could transform Uganda into a regional logistics hub connecting East Africa with Central Africa.

For South Sudan, a rail connection would provide a more efficient route to international markets through the Port of Mombasa, reducing dependence on costly road transport. For the DRC, particularly the mineral-rich eastern provinces, the railway would offer a competitive export corridor for minerals, agricultural products, and manufactured goods.

The broader vision is the creation of an integrated regional railway network stretching from the Indian Ocean deep into Central Africa. Such a network would support the implementation of the African Continental Free Trade Area (AfCFTA) by facilitating the movement of goods across borders and reducing the cost of doing business.

With AfDB's renewed financing commitment and growing regional cooperation, the long-awaited dream of a modern rail corridor linking Mombasa, Nairobi, Naivasha, Kisumu, Kampala, South Sudan, and the DRC appears closer to reality than ever before.