The government of Uganda signed two contracts with the European Union (EU) for the rebuilding of 125km part of the Mbarara-Ntungamo-Kabale-Katuna road that joins south western Uganda to Rwanda.
Ambassador Vincent De Visscher told the Ministry of Finance in Kampala that the rebuilding of the road will be financed by the EU and other development associates and that it provided 335billion Uganda shillings for the project therefore making it the largest project funded by the EU and the Ugandan government provided 124billion Uganda shillings.
De Visscher also said that he was glad for the wonderful work of the Uganda National Roads Authority (UNRA) in constructing the roads of the country because they want to improve trade and warned that the large finances from the development associates and the government would be helpful only if the institutional structure and board of the road sector is strong therefore The government must make sure there is straight flow of the finances from Uganda Revenue Authority to the Road Fund to guarantee suitable and sufficient funding for road preservation.
The state minister of works and transport Eng.John Byabagambi said the main purpose of the funding would be to finally get rid of poverty and also contribute to sustainable development because the rural people are to be the official beneficiaries of the project.
The rebuilding of the road would start in April of this year to improve trade and to simplify transport to and from Uganda. This project would be completed after two years and the country received 500m dollars from the EU to support the sector because the road had led to long travel times and the accidents had increased.
