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    Reference: 20110361
    Release date: 25 October 2011

    Promoter – Financial Intermediary

    Uganda National Road Authority (UNRA)



    Road improvements on three selected sections (58 km) of the Northern Road Corridor, including two bypasses for the cities of Kampala and M’barara, connecting the port of Mombasa in Kenya to Uganda, Rwanda, Burundi and Eastern DRC.


    The project alleviates transport bottlenecks and as such is expected to generate travel time savings, reduce accident levels and lower vehicle operating costs; the modernization of this transport infrastructure is crucial for economic growth in the area, trade expansion and investment, elements which are key to regional integration, the creation of wealth and poverty reduction.


    Proposed EIB finance (Approximate amount)

    Up to EUR 55 million

    Total cost (Approximate amount)

    Indicative amount EUR 130 million

    Environmental aspects

    The M’barara bypass is a green-field development which is expected to have minor environmental and social (resettlement) impacts. This has been confirmed by its ESIA, which is proposed to the competent Ugandan environmental Authority for approval to be expected shortly.

    The Kampala Northern bypass is operational as dual carriageway since 2009 and will be upgraded to a dual two-lane road. Almost all land has been acquired already by the Government of Uganda; apart from the impacts during construction, for which appropriate mitigating measures will be foreseen, environmental impacts are expected to be minor; some involuntary resettlement might be requested which is to be addressed in a Resettlement Action Plan (RAP) compliant with national and EU policy. The quantum of resettlement and measures to manage the process are to be reviewed.


    The promoter, the Ugandan Road Authority, is a public authority and, if operating as a contracting entity in the EU, would be subject to the provisions of the public procurement Directive 2004/18. The promoter will therefore be required to undertake procurement in accordance with the EIB Guide to Procurement which imposes the main mechanisms of the EC Directives. The promoter will adopt the EC General Regulations and Practical Guide (PRAG) applicable to EDF financed contracts. The PRAG is considered as being compliant with the Bank’s Guide to Procurement.


    Signed - 21/12/2012


    Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The data provided on this page is therefore indicative and cannot be considered to represent official EIB policy (see also the Explanatory notes).

    Related tags

    Uganda Transport