Uganda turns to Citibank to mobilise funding for SGR

Uganda has contracted Citibank to lead efforts to mobilise financing for its long-awaited Standard Gauge Railway (SGR), in a move aimed at accelerating implementation of the multibillion-dollar regional infrastructure project.

The development was confirmed during a high-level meeting of finance ministers from Kenya, Rwanda and Uganda held in Washington, D.C., on Wednesday on the sidelines of the 2026 Spring Meetings of the International Monetary Fund and the World Bank.

Uganda’s Permanent Secretary and Secretary to the Treasury, Dr Ramathan Ggoobi, said the government had already signed a contract for the construction of the 270-kilometre Malaba–Kampala SGR line and appointed Citibank as the lead arranger and coordinator of the required financing.

“We have made progress on the right of way and are now focused on mobilising the necessary funding. Citibank is supporting us in structuring and coordinating this financing,” Dr Ggoobi said.

The government is also engaging the World Bank for possible financial support, reflecting a broader strategy to combine private sector financing with multilateral funding to close the project’s financing gap.

The SGR is a key pillar of Uganda’s infrastructure development agenda, expected to lower the cost of transporting goods, improve trade competitiveness and strengthen regional connectivity. Once completed, the railway will link Uganda to Kenya’s SGR network at Malaba and eventually extend to Rwanda and the Democratic Republic of Congo.

Kenya’s Cabinet Secretary for the National Treasury and Economic Planning, Hon. John Mbadi, said Nairobi remains committed to completing its section of the railway up to the Malaba border, noting that regional coordination is critical to the project’s success.

“The viability of the SGR depends on close cooperation among partner states. We must move together to realise its full economic benefits,” Mbadi said.

Rwanda’s Minister of Finance and Economic Planning, Hon. Yusuf Murangwa, also reaffirmed Kigali’s commitment to the project, saying Rwanda is prepared to extend the railway from the Ugandan border when implementation begins.

“This is an opportunity to connect our region and the continent, and to unlock trade and investment through improved infrastructure,” Murangwa said.

On Uganda’s part, Minister of State for Finance (General Duties), Hon. Henry Musasizi, reiterated government’s commitment to the railway, noting that construction has already commenced on the Malaba–Kampala section.

“The viability of this SGR depends on all of us committing to do the project,” Musasizi said, adding that Uganda plans to extend the line to its borders with Rwanda and DR Congo.

Earlier, the Ugandan delegation also held talks with a World Bank team led by Division Director Qimiao Fan to explore financing options for the project. The Bank indicated readiness to consider opportunities to support Uganda’s railway ambitions.

Uganda’s decision to bring on board Citibank signals a shift towards tapping global financial markets to fund large-scale infrastructure projects, as traditional sources of concessional financing become increasingly constrained.

If successfully implemented, the SGR is expected to transform cargo transport across East Africa, cutting transit times and costs while boosting intra-regional trade.