Why does road construction in Uganda cost more than elsewhere in the great lakes region?
A study was done in six countries by the ministry of finance and other consultants on road construction in Ethiopia, Kenya, Tanzania, Rwanda, Zambia and some other country. They discovered that road maintenance costs in Uganda were the lowest. But we came highest in road construction and upgrading. There are several factors: Proximity to the sea, lack of local capacity – Ethiopia is the cheapest because they have a developed construction industry. All their roads were done by local companies. Thirdly, the cost of doing business in Uganda is still high. If it is going to take me long to register my company, get a licence, acquire a quarry etc, you will expect me to take that into account. If our index of cost of doing business is higher than Kenya, companies will bid higher. There are other invisible costs like insecurity – you hear of Kony. Then there is perception. If a contractor thinks the country is corrupt, he will factor it into his bid. But tendering has been transparent. evalua
