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Ministry of Works grapples with Shs. 414.5 Billion inherited debt

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🛣️ | Ministry of Works Grapples with UGX 414.5 Billion Inherited Debt, Threatening Key Road Projects

Kampala, Uganda — July 25, 2025

The Ministry of Works and Transport is currently grappling with a heavy financial load, weighed down by an inherited UGX 414.5 billion debt from the now-defunct Uganda National Roads Authority (UNRA) — a burden that now threatens to bring multiple road projects across Uganda to a halt.

This revelation was made by Permanent Secretary Waiswa Bageya during a recent appearance before COSASE (Committee on Commissions, Statutory Authorities and State Enterprises). According to Bageya, the Ministry has absorbed UNRA’s contract obligations following its disbandment — but was not adequately resourced to handle the debts.

“There was a communication breakdown between us and the Ministry of Finance,” Bageya told the committee, noting that the financial gap continues to widen as contractors demand payment.

The strain has begun to impact ongoing infrastructure development across the country — with stalled projects, delayed road maintenance, and contractor walkouts becoming increasingly common.

Earlier this year, in May 2025, the Ministry had already announced its intention to mobilize UGX 500 billion to settle outstanding arrears, as reported by Nexus Media. That effort appears to have fallen short — and now, the UGX 414.5 billion inherited debt has sparked fresh urgency.

With roads critical to Uganda’s economic movement, the situation raises serious questions about the Ministry's future capacity to deliver key infrastructure goals.

📌 Full source on Pulse Uganda

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