Building Heaven On Earth?-Ugandans Raise Alarm As Busega–Mpigi Expressway Costs Shoot To UGX 1.7 Trillion

By Our Reporter

The cost of the Busega–Mpigi Expressway has skyrocketed by UGX 1.026 trillion, more than doubling since the project’s initial estimate. Originally budgeted at €174.73 million (UGX 721.857 billion) in 2016, the project’s cost now stands at €423.24 million (UGX 1.748 trillion).

According to a proposal tabled before Parliament in August 2025, Minister of State for Finance Henry Musasizi attributed the escalation to major design changes and a surge in land compensation costs.

The Ministry of Finance is now seeking additional financing of €188.18 million (UGX 781.04 billion) from the African Development Bank and €28.31 million (UGX 117.46 billion) from the African Development Fund to cover the project’s expanded scope.

A government report indicates that 28% of the cost increase stems from a realignment of the expressway corridor, while 72% covers new works such as toll plazas, interchanges, service roads, link roads, and drainage structures to “climate-proof” the highway. The redesign aims to make the road fully functional as a toll-based expressway.

Experts have sharply criticised the ballooning costs, blaming the government for weak planning and flawed feasibility studies.

Dr. Isaac Shinyekwa, Head of Trade and Regional Integration at the Economic Policy Research Centre (EPRC), said the doubling of costs reflects poor preparation:

“If the cost more than doubles due to design changes, it suggests poor planning and a lack of clarity from the start,” he said.
“Mid-project adjustments signal a failure to deploy adequate expertise early on.”

Shadow Finance Minister and Kira Municipality MP Ibrahim Ssemujju was even more blunt, describing the escalation as proof of “shabby planning”:

“Redesigning a road mid-construction to require an additional UGX 1 trillion essentially means you’re building a new road,” he argued.
“This level of cost overrun demands a thorough justification. What makes this new design so ‘spectacular’ to cost taxpayers this much?”

Policy analyst Timothy Chemonges, Executive Director of the Centre for Policy Analysis, warned that the overruns erode public trust:

“The doubling of costs reveals weaknesses in initial feasibility studies, risk assessments, and institutional preparedness,” Chemonges said.
“Such overruns undermine confidence, distort fiscal priorities, and divert funds from health and education.”

Auditor General Edward Akol has already flagged significant delays and poor planning as key drivers of the overruns. By March 31, 2023, the project’s cost had risen from UGX 547.5 billion to UGX 1.35 trillion — well before the latest adjustments.

Of the UGX 534.52 billion expected from financiers, only UGX 271.69 billion had been disbursed, leaving a shortfall of UGX 262.84 billion. The delays have also cost Uganda $1.55 million in commitment fees on undisbursed loans.

The government’s decision to bypass competitive bidding and opt for direct contracting has drawn scrutiny. The Finance Ministry defends the move as a way to avoid further delays and cost escalations amid rising market prices.

But critics say this sets a dangerous precedent.

“Direct procurement on a project of this scale risks favoritism and corruption,” Chemonges warned.
“Competitive bidding guarantees value for money and transparency.”

Shinyekwa questioned why Uganda frequently deviates from standard procurement rules, suggesting that such exceptions “often serve specific interests.”

The 27.3 km expressway — part of a multinational project with Rwanda — is designed as a dual carriageway featuring five traffic interchanges (Busega, Nabbingo, Maya, Lungala, and Mpigi), four link roads, 4.6 km of service roads, and four toll plazas.

Government insists the road will slash travel times, ease freight bottlenecks, boost trade, and create over 1,200 jobs (direct and indirect).

But as Parliament considers the additional financing proposal, stakeholders are demanding greater transparency and stricter oversight to ensure taxpayers get value for money.

“Uganda must learn from this experience,” Chemonges said.
“Without robust planning and risk assessments, we will continue paying for avoidable mistakes.”