Museveni Directs Turkish Company to Proceed with Uganda's Standard Gauge Railway Project

President Yoweri Museveni has directed Turkish construction company Yapi Merkezi to proceed with the first phase of Uganda's Standard Gauge Railway (SGR) project. The project covers the 272-kilometre stretch from Malaba to Kampala. This directive was communicated by Chief of Defence Forces Gen Muhoozi Kainerugaba, who stated that he was acting under instructions from President Museveni. The announcement was made on November 6, 2026, via a post on X.

The directive reverses Muhoozi's public declaration on June 16, 2026, that the government had cancelled Yapi Merkezi's contract and would seek another company to undertake the railway project. At the time, Muhoozi also called on supporters of the Patriotic League of Uganda (PLU) to demonstrate outside the Turkish Embassy in Kampala. However, the Ministry of Works and Transport did not publicly confirm the formal cancellation of the contract, leaving questions about the project's contractual status.

The €2.7 billion contract was signed on October 14, 2024, between the Ugandan government and Yapi Merkezi. The agreement was signed by the Ministry of Works and Transport Permanent Secretary, Waiswa Bageya, and the Turkish company's Vice Chairman, Erdem Arıoğlu. President Museveni officially launched the project in Tororo on November 21, 2024, with construction expected to take 48 months from commencement.

The railway is intended to connect Uganda to Kenya's Standard Gauge Railway network and eventually the Port of Mombasa. This will provide an alternative to road transport for cargo destined for Uganda and other landlocked countries in the region. The Malaba-Kampala section forms the first phase of a wider 1,724-kilometre railway network planned by the government.

Muhoozi's earlier announcement of the cancellation of Yapi Merkezi's contract came amid deteriorating relations between him and Turkey. In April 2026, he publicly criticised Turkey and threatened to sever military cooperation over demands concerning Ugandan opposition activist Fred Lumbuye. The announcement caused uncertainty over the future of the project, particularly because Yapi Merkezi had already undertaken preliminary construction activities.

The railway project has faced prolonged delays, largely due to difficulties in securing the financing required for full construction. Uganda initially awarded the Malaba-Kampala railway contract to China's China Harbour Engineering Company in 2015. However, the agreement collapsed after the company failed to secure the expected financing from the Chinese government.

Despite Museveni's latest directive, the government has yet to publicly explain the legal and contractual implications of the earlier cancellation announcement. The Ministry of Works and Transport is also yet to provide a revised implementation timetable following the latest directive. The railway project is expected to reduce the cost of transporting goods, improve the movement of cargo, create employment, and strengthen regional trade.

Key points

• President Museveni has directed Yapi Merkezi to proceed with the first phase of Uganda's Standard Gauge Railway project.
• The project has faced prolonged delays due to difficulties in securing financing.
• The railway is expected to connect Uganda to Kenya's Standard Gauge Railway network and reduce the cost of transporting goods.