Uganda approves $395.5m loan for Kampala-Malaba MGR project
Uganda’s Parliament has approved a $395.5 million loan for the refurbishment of the Kampala-Malaba Meter Gauge Railway (MGR).
The project is part of the bigger proposed Meter Gauge Railway project, which will entail the rehabilitation of the 8.3km Kampala-Port Bell section and the 12.3km Kampala-Nalukolongo-Kyengera section, the purchase and rehabilitation of coaches, wagons and locomotives, and the creation of a railway training school to equip Uganda Railways Corporation.
The 250km Kampala-Malaba MGR connects Uganda’s capital with Kenya at the Malaba border. Funds will be sourced from the African Development Fund, which will provide $100.7 million; the African Development Bank, which will provide $233.2 million; and the Corporate Internationalization Fund of Spain which will provide $31.3 million.
