Uganda approves the construction of a $3 billion railway line by a Turkish company

Uganda’s President Yoweri Museveni has launched the construction of the Standard Gauge Railway (SGR), which will be built by the Turkish company Yapı Merkezi.

Newstimehub

Newstimehub

22 Nov, 2024

Uganda’s President Yoweri Museveni has launched the construction of the Standard Gauge Railway (SGR), which will be built by the Turkish company Yapı Merkezi.

Uganda’s President Yoweri Museveni launched the construction of the Standard Gauge Railway (SGR), which will be built by the Turkish company Yapı Merkezi, on Thursday.

Once completed, the railway will have the capacity to transport 1,000 tons of cargo at once, making transportation, accessibility, and service delivery more efficient.

The president stated that the project would revitalize commercial relations between Uganda and its neighbors, as well as other economic sectors.

“It is estimated that infrastructure deficiencies in Africa have reduced trade volume by 40%. As a result, Africa’s share in global trade is under 5%, and intra-Africa trade is under 15%, while other continents range between 40% and 60%,” he said.

Regional Trade Boost

He noted that the gaps in Africa’s infrastructure, covering sea, rail, road, and air transport, have restricted trade and made countries overly dependent on external markets.

“We aim to connect Uganda to the entire region, boosting regional trade. This will allow us to engage in direct trade within Africa instead of exporting to distant markets,” he added.

The president also mentioned that the completion of the project would reduce the journey time between Mombasa and Kampala from 14 hours to less than 10 hours by rail.

Support for Development

Turkey’s Ambassador to Uganda, Fatih Ak, stated that Ankara would continue to support Uganda’s development agenda. He emphasized that the infrastructure would help unlock the country’s untapped potential and make its products more competitive on the global stage.

Encouraging Job Creation

The $3 billion, 273-kilometer railway project, which extends from Kampala to Malaba, Kenya, is being carried out in addition to other projects undertaken by Turkish companies, such as PolatYol Yapı, Gülsan, and Summa İnşaat.

Uganda’s Honorary Consul in Istanbul, Levent Serdar Dervişoğlu, said that the project is critical for creating jobs, improving Ugandans’ skills, and revitalizing the Ugandan economy.