Uganda Railways pitches railway deals to European financiers

Uganda Railways Corporation (URC) has presented five railway and transport infrastructure projects to European companies, financiers and development partners as it seeks investment and technical partnerships, including for the electrification of Kampala’s commuter railway network and the modernisation of the Kampala–Kasese corridor.

URC Managing Director Benon Kajuna led the corporation’s engagements at the Smart City Expo World Congress (SCEWC) in Barcelona, Spain, which ran from November 3 to 5 and brought together governments, investors, technology providers and urban development specialists.

URC’s participation followed an invitation from the European Commission. The corporation submitted an expression of interest setting out priority railway projects it says are aligned with the European Union’s Global Gateway Strategy, an initiative to mobilise investment in infrastructure and connectivity.

According to URC, its proposal was among the top two submissions selected for publication on the congress website, and it has since received requests for further engagement from European entities.

“The corporation is seeking partnerships and financing in five areas: greening the Kampala–Kasese railway corridor; electrification and modernisation of the Greater Kampala Metropolitan Area commuter railway, including the acquisition of electric and hybrid trains; solar power generation along the Tororo–Gulu railway corridor; development of Port Bell into a green port; and technical support for Standard Gauge Railway (SGR) operations and maintenance,” Kajuna said.

URC said the proposals also cover technology transfer, institutional capacity building and support for Uganda’s Railway Training Institute to strengthen the country’s ability to operate and maintain modern railway infrastructure.

On Wednesday, November 4, Kajuna took part in a panel discussion titled “Smart City Markets in the Global South: Opportunities, Innovation and Partnerships for European Companies,” alongside representatives of the European Commission, the Philippines, the Republic of Congo and international urban development firms. The session examined opportunities for European businesses to invest in urban infrastructure and transport systems in emerging markets.

The investment drive comes as Uganda seeks to rehabilitate its ageing metre-gauge railway network while developing the SGR to improve freight movement and reduce reliance on road transport.

According to URC, its existing network spans about 1,266 kilometres, although substantial sections remain non-operational, including the 330-kilometre Nalukolongo–Kasese line. Rehabilitation works are underway on the northern corridor linking Tororo and Gulu.

URC says electrifying Kampala’s commuter railway could offer an alternative to road transport in the congested metropolitan area, while investment in Port Bell would strengthen rail-water connectivity across Lake Victoria.

The government has listed railway rehabilitation, commuter transport and SGR construction among its infrastructure priorities for 2026–2031.

URC has not disclosed the estimated cost of the five proposals, the amount of financing it is seeking, or whether any European investor has made a binding commitment. The Barcelona engagements therefore mark an initial effort to attract financing and partners rather than confirmed funding agreements.