Summary:
- Minister Lugoloobi argued that Uganda is incurring significant costs in interest payments for idle loans due to prolonged court battles over land compensation values.
KAMPALA: Amos Lugoloobi, Minister of State for Planning, has urged Members of Parliament to support the government’s proposal for land reforms that would enable the acquisition of land in the public interest for development projects.
Minister Lugoloobi argued that Uganda is incurring significant costs in interest payments for idle loans due to prolonged court battles over land compensation values.
The Minister made his appeal on Monday while appearing before Parliament’s Budget Committee during the presentation of the fourth National Development Plan (NDP IV), which will guide Uganda’s development and planning agenda from 2025 to 2030.
“We need land reforms to facilitate the acquisition of the right of way in the public interest. This has become a major challenge. We have borrowed substantial sums of money, and although these loans are concessional, they have been delayed on our books. We have had to repeatedly revise maturity dates due to the problem of acquiring the right of way,” said Minister Lugoloobi. “Attempts to follow the constitutional requirement of paying prior compensation often result in court cases. It’s a very serious issue.”
He highlighted the delays in infrastructure projects, particularly road construction, as a consequence of these challenges.
“In constructing roads, we face significant delays in gaining the right of way, which hinders project implementation. This results in hefty commitment fees on loans simply because we cannot access the land,” he explained.
Minister Lugoloobi cited the East African Crude Oil Pipeline as an example, contrasting Uganda’s difficulties with Tanzania’s relatively smooth process.
“While it was straightforward to commence construction in Tanzania, the process on the Ugandan side was fraught with complications. These are the areas we aim to improve through the proposed land reforms. When we bring these reforms to Parliament, I urge you to support them,” he said.
The Minister also shared plans for transforming Kampala City over the next five years, addressing long-standing issues such as congestion, pollution, and petty crime.
According to Lugoloobi, these efforts will position Kampala as Uganda’s logistical hub and enhance its role in driving economic growth.
“The Kampala metropolitan area will be positioned as Uganda’s logistical hub, serving as a catalyst for productivity across various sectors, including Foreign Direct Investments (FDI), tourism, and public service efficiency. These plans aim to deliver a highly improved quality of life for residents. You may soon see a very different city,” remarked Lugoloobi.
