The African Development Bank (AfDB) has committed to lend Uganda US$650 million (approximately Shs2.45 trillion) towards the construction of the 326-kilometre Standard Gauge Railway (SGR) from Malaba to Kampala.
The funding forms part of the Shs11.864 trillion (€2.7 billion) required to complete the project.
The pledge was confirmed during a meeting between Uganda’s delegation, led by Mustapha Achidri, Temporary Governor and Assistant Commissioner at the Ministry of Finance, and Dr. Abdul Kamara, Vice President of the AfDB, on the sidelines of the AfDB Annual Meetings 2026 in Brazzaville, Republic of Congo.
Dr. Kamara reaffirmed the Bank’s support for the railway project, stating that the SGR aligns with the Bank’s priority of building resilient infrastructure across the African continent.
“The Bank has already tentatively allocated US$650 million. However, the final project financing arrangements will be concluded during the next appraisal mission next month, based on the approval of African Development Fund 17,” he said.
Dr. Kamara also pledged support towards Uganda’s efforts in the fight against Ebola.
“We will provide US$1 million to Uganda as an emergency response to support the fight against Ebola,” he added.
Responding to the announcement, Achidri welcomed the Bank’s continued support for Uganda’s infrastructure and development agenda.
“We welcome the commitment of the African Development Bank to fund the SGR. Uganda is currently mobilising €2.7 billion to finance the construction of the SGR, a key enabler under the Tenfold Growth Strategy,” he said.
He also thanked the Bank for recently approved projects, including additional financing for the Uganda Rural Electrification Project I worth €7.33 million and the Uganda Rural Electrification Access Project Phase II worth €101.23 million.
The SGR project is considered a cornerstone of Uganda’s infrastructure agenda and is expected to boost regional trade, reduce transport costs, and drive economic growth across the country.
