Railway rehabilitation, construction back on track – Museveni

President Museveni has said the rehabilitation of the old metre-gauge railway and construction of the new Standard Gauge Railway (SGR) are on track.

Speaking at celebrations to mark 62 years of Independence from the British colonialists, President Museveni said the rehabilitation of the metre-gauge railway from Malaba on the Uganda-Kenya border in Tororo, eastern Uganda, to Gulu and Arua in northern Uganda is almost complete.

He said the twin railroads projects would cut transportation costs for goods and services. 

Mr Museveni, who was speaking during the celebrations at Busikho Primary Teachers Training College in Busia District, said construction of the SGR line running from Malaba to Kampala, and onto Kasese in western Uganda, is yet to start but the government has already secured funding and the contractor.

Early this year, the government started engaging the Washington-based intergovernmental organisation, the United Nations Alliance for Sustainable Development Goals, to fund the SGR project, which is described as “the bone marrow of the economy.”

“The railway will reduce transport costs and this will make it easier for businesses to make profits. I challenge the people of Eastern Uganda to position themselves and tap into the opportunities associated with the establishment of railway transport,” President Museveni said.

About the SGR

The SGR project is a government project established by Cabinet Minute 107 (CT 2015) to develop a modern , integrated, and efficient railway transport system to address both the freight and passenger transportation needs of the country.

In 2014, Uganda, together with the Northern Corridor Partner states of Kenya, Rwanda, and later South Sudan, signed a regional SGR protocol to develop a seamless transport system interconnecting their cities as well as connecting them to Mombasa, the Kenyan coastal city on the Indian Ocean.

DRC, a new entrant to the East African Community, whose eastern provinces use Mombasa to access the outside world, has also expressed interest in joining the initiative.

Previously, President Museveni had said a 40-feet container costs $3,500 (Shs12.8 million) from Mombasa to Kampala by road compared to $1,500 (Shs5.5 million) by rail when the Standard Gauge Railway is ready and would only take one day. “It is in order to lower the costs of doing business in our economy so that we attract more businesses,” he said at the time.

In August, this publication reported that Uganda had picked Turkish firm, Yapı Merkezi Holding, to construct the SGR from Malaba to Kampala at an estimated cost of $2.2 billion (about Shs7.2 trillion).

Yapı Merkezi Holding was contacted after China Harbour Engineering Company and the China Export and Import Bank took long to conclude on the financing of the railway line.

This was after the two Chinese companies and Uganda and Kenya failed to reach an agreement that Kenya would extend its SGR to the border with Uganda.

Opening up DRC, CAR

President Museveni, who is an ardent advocate of regional cooperation and integration, on October 9 also revealed plans to open up roads linking the Central African Republic in order to boost regional trade.

“We want to persuade the governments of Congo and South Sudan that we work on the roads from Arua to Isiro in Congo to Obo in Central African Republic and then we need to pursue the government of South Sudan to have a road through up CAR; then East Africa will be linked by road to Central Africa and beyond,” he said.

The President said he would ask Uganda Airlines to explore the possibility of air cargo companies flying to Bangui, the capital city of the Central African Republic (CAR). 

“Even if not daily but some few times so that we can link up with our brothers and sisters,” he said.

President Museveni also used the Independence Day celebrations to once more strongly warn the corrupt civil servants, saying they would be crushed. He said his intelligence systems are going to ensure all those involved in corruption are subjected to a thorough disciplinary action, including recoveries of the stolen public money.

‘’I was shocked to hear that my civil servants, some of whom are getting salaries that triple mine, are the ones still stealing from the [national] coffers. This is not acceptable and we are going to crush them,” Mr Museveni, who has been in power since 1986 after a guerrilla war, said.

The President’s remarks were in response to the concern expressed by Ms Milly Babalanda, the Minister for the Presidency, following recent reports released by the Inspector General of Government that exposed civil servants as the most corrupt public officers. 

This year’s Independence Day celebrations were held under the theme, “A recommitment to secure and fortify our destiny.”

Guests at the ceremony included Prof Faustin Archange Touadera, the visiting president of Central Africa Republic.

Mr Museveni said he was happy that the 2024 census report showed that 67 percent of people were in the money economy and only 33 percent were still excluded, indicating an achievement he attributed to the government poverty eradication programmes. He cited Naads, the Parish Development Model (PDM), and Emyooga.

Agro-value addition

The President also urged Ugandans to embrace value addition in order to earn more and fight household poverty. “We have realised that the big problem of Africa is that we are only producing raw materials. This has been a disaster for Africa. The coffee growing countries of the world are sharing only $25 billion (Shs91.2 trillion). And Africa, only $2.5 billion (Shs9.2 trillion), while Germany, a non-coffee growing country, earns $65 billion (Shs237.2 trillion) , more than all the coffee-growing countries of the world,” he said.

President Museveni also rooted for African integration in order to create a large market for goods and services and also for security and political reasons.

“We have Africans that are divided among tribes, that is why they are always fighting one another .The NRM being the force of wealth creators, right from the beginning, held in contempt these positions,” he said.

The President also thanked his counterpart from the Central Africa Republic for joining Uganda to celebrate its 62 years of self-rule, describing it as the beginning of partnership in the areas of regional trade.

Track record

He said with the existing peace, Uganda has embarked on serious production of coffee, tobacco and milk, but he said Uganda currently is facing the problem of limited market.

Mr Museveni also boasted of the achievements that his government has ushered since 1986, warning he would not have it derailed by anyone.

“I’m here to say that since we took over power, we have registered drastic achievements through the set interventions. These initial steps have resulted in tremendous and steady progress in all sectors of the economy. The size of the economy has grown almost ten times since 1986, and the GDP per capita has quadrupled. Ugandans today live healthier and longer lives, and they are better educated,’’ he said.

The President added: “Children no longer die of preventable diseases, and they attend free universal school education. There are no more power shortages; instead, Uganda exports surplus power to neighbouring countries. Infrastructure has also improved tremendously.’’

He said the production of coffee had jumped from 2 million bags to now 9 million bags, tea from 3 million bags to 60 million bags and earning from tourism had risen from $17 million (Shs62 billion) in 1970 to $1.5 billion (Shs 5.5 trillion) of the pre-Covid-19 time.

Prof Archange Touadera applauded President Museveni for establishing peace in the region. 

“Your Excellency, we treat you as a big asset in the continent because of the peace and unity you have championed. We can only afford to be stronger through working together and networking,” he said.

Ms Babalanda expressed concern over the huge number of Ugandans still living in abject poverty despite all the interventions put in by the government. “We challenge all leaders at different levels to mobilise people to actively participate in economic activities to lift themselves from poverty,” she said.

About 88.3 percent of the households in Busia District, and the wider Bukedi Sub-region depend on subsistence farming as the main source of livelihood. The sub-region comprises the districts of Pallisa, Budaka, Butebo, Butaleja, Tororo and Busia. 

The current poverty rate in the sub-region stands at 43.7 percent with the GDP per capita of less than $135.