The African Development Bank (AfDB) has reaffirmed its commitment to financing the construction of Uganda’s long awaited Standard Gauge Railway (SGR), offering a major boost to the country’s ambitious infrastructure and economic transformation agenda.
The commitment was announced during a high-level meeting held on the sidelines of the 2026 African Development Bank Annual Meetings in Brazzaville, Republic of Congo, where the Bank’s Vice President for Regional Development, Integration and Business Delivery, Dr. Abdul Kamara, met a Ugandan delegation led by Mustapha Achidri, the Assistant Commissioner at the Ministry of Finance and Uganda’s Temporary Governor to the Bank.
Dr. Kamara confirmed that the AfDB is ready to support the construction of the 326-kilometre SGR section stretching from Malaba to Kampala, describing the project as one that aligns with the Bank’s broader vision of building resilient and transformative infrastructure across Africa.
“The SGR project is well aligned with the Bank’s cardinal priority of building resilient infrastructure on the African continent,” Dr. Kamara said during the meeting.
The Bank has already tentatively allocated 480 million Units of Account, approximately $650 million, towards the project. However, the final financing arrangements are expected to be concluded during the next appraisal mission scheduled for June 2026, subject to the approval of the African Development Fund 17.
The latest commitment marks a significant milestone for Uganda, which has for years pursued financing and implementation plans for the Standard Gauge Railway project seen as a critical driver of trade, industrialisation and regional connectivity.
The Malaba to Kampala section is expected to form part of the wider regional railway network connecting Uganda to Kenya and eventually to other East African countries. Once completed, the railway is projected to reduce cargo transportation costs, ease pressure on roads and enhance trade efficiency between the port of Mombasa and Uganda’s inland markets.
Ugandan officials at the meeting welcomed the Bank’s support, saying the railway remains central to the government’s Tenfold Growth Strategy aimed at accelerating economic expansion and competitiveness.
Achidri revealed that the Government of Uganda is currently mobilising about EUR 2.7 billion to finance the broader construction of the SGR infrastructure.
He described the railway as “a key enabler under the Tenfold Growth Strategy” and noted that improved transport infrastructure would play a crucial role in stimulating investment, boosting exports and facilitating industrial growth.
Achidri also thanked the African Development Bank for what he described as continued and reliable support towards Uganda’s development priorities.
He specifically cited recently approved projects by the Bank’s Board, including additional financing worth EUR 7.33 million for the Uganda Rural Electrification Project I, as well as EUR 101.23 million allocated to the Uganda Rural Electrification Access Project Phase II.
The Ugandan delegation used the meeting to strengthen diplomatic and institutional ties with the Bank’s leadership following the election of Dr. Sidi Ould Tah as the new President of the African Development Bank Group.
On behalf of the Government of Uganda, Achidri congratulated Dr. Tah upon his election and pledged Uganda’s support during his tenure.
“The Government of Uganda pledges its support to your endeavours during your tenure,” Achidri said.
Beyond infrastructure financing, the African Development Bank also pledged emergency support to Uganda in the fight against Ebola, committing $1 million towards the country’s response efforts.
The support comes at a time when Uganda continues to strengthen surveillance, emergency preparedness and public health interventions following renewed concerns over Ebola outbreaks in parts of the region.
The Bank’s additional support is expected to reinforce ongoing efforts by Uganda’s health authorities to contain the disease and protect vulnerable communities.
Observers say the dual commitment towards both infrastructure development and public health demonstrates the Bank’s broader role in supporting African countries beyond traditional financing.
The meeting was attended by several senior AfDB officials including Bhebhe Themba, the AfDB Country Manager for Uganda, Yvette Glele Ahanhanzo, Director for Regional Development, Integration and Business Delivery, and Maria Antonia Joy Kategekwa, Director of the Regional Coordination Office.
Uganda’s Standard Gauge Railway project has long been viewed as a transformative initiative capable of reshaping the country’s transport and logistics sector.
The railway is expected to provide faster, safer and more efficient cargo and passenger transport services while positioning Uganda as a strategic trade and transit hub within the East African region.
Analysts believe the latest commitment by the African Development Bank could reignite momentum around the project after years of delays linked to financing negotiations and regional coordination challenges.
If implemented successfully, the SGR is expected to support Uganda’s industrial parks, agricultural exports, mineral transportation and oil sector logistics, while also reducing the high cost of doing business associated with road transport.
The development also signals growing confidence by international financial institutions in Uganda’s long term infrastructure ambitions and economic growth prospects.
With financing discussions now entering the appraisal phase next month, attention will turn to the final approval processes and implementation timelines that could determine when construction of the Malaba Kampala section officially begins.
