The Parliament of Uganda has approved a €31.98 million loan from the French Government to construct and equip the Mbarara Regional Oncology Centre. The loan, equivalent to approximately Shs151.4 billion, will be used to improve access to cancer treatment in western Uganda. According to the Committee on National Economy's report, presented by chairperson Jane Pacuto on November 4, 2026, the project will significantly enhance cancer care in the region.
However, the committee has raised concerns over certain conditions of the loan agreement, seeking renegotiation before signing. One of the disputed conditions limits purchases from Ugandan and other foreign suppliers to 30 per cent of the loan, meaning most project supplies would have to come from France. This has raised concerns that local businesses may be shut out, undermining the Buy Uganda Build Uganda policy. The committee has requested that the government address these concerns.
The committee has also recommended changes to the warranty and maintenance provisions for medical equipment. The draft agreement provides two years of cover for advanced imaging machines and one year for general medical equipment. However, parliament wants the warranty for CT and MRI scanners extended to three years. Additionally, the committee has asked that the contractor, Tyllium, provide free repairs or replacements for equipment damaged by manufacturing or contractor faults.
Furthermore, the committee has suggested that local biomedical engineers be trained to operate and maintain the equipment, with the Uganda Cancer Institute taking responsibility for procuring it. This will ensure that the facility is equipped with skilled personnel to manage the equipment and provide quality care to patients. The proposed facility will have 138 beds across two floors and cover 8,272 square metres.
The project has also raised concerns about the exclusion of radiotherapy services from the first phase. MPs noted that about 60 per cent of cancer patients require radiation treatment. State Minister for Primary Health Care Dr Charles Ayume explained that the loan could not cover the service and that the government would seek additional funding to provide it later.
During the debate, some MPs questioned the need for Uganda to take on more loans, citing previous projects such as the Lubowa Specialised Hospital and Kampala–Jinja Expressway. However, Finance Minister Henry Musasizi defended the borrowing, arguing that regional cancer centres would bring screening, diagnosis, and treatment closer to patients.
The project will cost €33.58 million, with the French loan covering €31.98 million and the government contributing €1.6 million. The Mbarara Regional Oncology Centre is expected to significantly improve cancer care in western Uganda, providing much-needed services to patients in the region.
Key points
- Parliament has approved a €31.98 million loan for the Mbarara Regional Oncology Centre, but seeks changes to the deal.
- The committee has raised concerns over procurement, equipment maintenance, and training.
- The project will cost €33.58 million, with the French loan covering €31.98 million and the government contributing €1.6 million.
