Standard Chartered has arranged €641.1 million in financing for the Government of Uganda to support three major infrastructure projects across power transmission, road upgrades, and water supply and sanitation, according to an announcement in Kampala. The signing took place at the Ministry of Finance, Planning and Economic Development (Uganda).

The largest portion of the package is a €342.5 million loan to fund construction of the Karuma-Tororo Double Circuit 400 kV transmission line and associated substations. The project is intended to evacuate and distribute power from the 600 MW Karuma Hydropower Station on the Nile River, strengthening grid reliability and supporting Uganda’s broader economic development objectives. The financing was arranged with support from Swedish Export Credit Agency (EKN) and Swedish Export Credit Corporation (SEK), with additional reinsurance support from KUKE.

A second tranche totaling €115.8 million is supported by the Islamic Corporation for the Insurance of Investment and Export Credit and is structured as a Shari’ah-compliant commodity Murabaha facility. Proceeds are earmarked for upgrades to the Karugutu–Ntoroko Road (56.5 km), the Rwebisengo Link (8.2 km), and Ntoroko Town Roads (3.3 km). The road works target infrastructure development in Uganda’s Albertine region and are positioned as a trade corridor linking Uganda with the Democratic Republic of the Congo. The initiative is framed within the country’s long-term planning agenda, including Uganda Vision 2040 and Uganda National Development Plan IV, which emphasize growth in sectors such as agriculture, hydrocarbons, and tourism as catalysts for transformation and industrialization.

The final €182.8 million component will fund a water supply and sanitation systems project to reinforce drinking water provision across Uganda’s Northern, Central, and Eastern regions. The plan involves capturing water from Lake Victoria, the Victoria Nile, and Lake Kwania, pumping it to a water treatment plant, and distributing it via pipelines to multiple distribution centers. It also includes sanitation facilities and a sludge treatment station. This financing is supported by China Export & Credit Insurance Corporation.

Standard Chartered said the package builds on its recent €183 million involvement in the Uganda Strategic Towns Water Supply and Sanitation Project (STWSSP II), positioning the latest deal as a continuation of the bank’s development and agency finance activity in the region.

KEY QUOTES

“These projects will go a long way in supporting Uganda’s development trajectory by supporting evacuation of power from Karuma Hydro power plant to identified load centres like Tororo industrial park and facilitate regional power trade. This will help to avoid losses from unutilized power/deemed energy. The water project will definitely provide clean water to the project target areas and therefore improve people’s well-being.”

Hon. Matia Kasaija, Minister of Finance, Planning, and Economic Development

“We are thrilled to be at the forefront of this transformational financing in Uganda, injecting vital capital into key initiatives, driving sustainable energy access, building reliable water services, and unlocking long-term economic growth in one of East Africa’s most dynamic markets. This infrastructure pipeline is a cornerstone for regional prosperity and we’re proud to be working with our valued partners on this impactful endeavour.”

Sujithav Sarangi, Executive Director, Development & Agency Finance, Standard Chartered Bank