KAMPALA — Uganda’s aviation sector is facing a funding squeeze, with the Uganda Civil Aviation Authority (UCAA) turning to Parliament for help to recover Shs166.32 billion owed to it by government institutions, warning that the unpaid money is constraining investment in critical airport infrastructure.
The debt, according to UCAA Director General Fred Bamwesigye, has become a major obstacle at a time when Uganda’s airports are under pressure to accommodate growing passenger numbers while meeting increasingly demanding international safety and security standards.
Bamwesigye made the appeal while appearing before Parliament’s Committee on Physical Infrastructure to respond to concerns raised in the Auditor General’s report for the 2024/25 financial year and brief MPs on ongoing developments at Entebbe International Airport and other airports across the country.
For UCAA, the outstanding debt is not simply an accounting problem. It represents money that the authority says could otherwise be invested in expanding airport capacity, maintaining critical infrastructure and improving aviation safety.
Bamwesigye told MPs that recovering the money would strengthen UCAA’s ability to undertake major projects, including plans for an additional modern terminal at Entebbe International Airport as passenger numbers continue to rise.
“Much of the money we get through Entebbe is for cost recovery. The passengers pay for the services we run, not anything extra for investment,” Bamwesigye said.
His remarks highlighted a structural challenge facing Uganda’s aviation sector. While UCAA collects revenue from airport operations, much of that income is consumed by the cost of providing and maintaining services. Large infrastructure projects, meanwhile, require investments far beyond what the authority can comfortably finance from its ordinary revenues.
Bamwesigye cited the construction of a 3.6 kilometre runway as an example, saying such a project could consume UCAA’s budget for several years if the authority were expected to finance it on its own.
He therefore urged the Government to take greater responsibility for major capital investments in aviation, particularly projects that are essential to national infrastructure but cannot be supported through passenger and service charges.
The pressure on Entebbe
The funding challenge comes as UCAA continues to upgrade Entebbe International Airport, Uganda’s main gateway for international air travel.
Bamwesigye told the committee that the ongoing upgrade and expansion programme at the airport is about 87 per cent complete.
The first phase, estimated at about US$200 million, included rehabilitation of the main runway and associated taxiways, construction of a new passenger terminal and rehabilitation of Apron One.
The improvements are intended to strengthen the airport’s ability to handle increasing passenger and aircraft traffic while improving safety and efficiency.
But Bamwesigye said the authority is already looking beyond the current expansion, with an additional modern terminal building needed to cope with future demand.
The pressure is not limited to passenger facilities. UCAA must also invest heavily in equipment needed to keep airports operational during emergencies.
The authority has acquired specialised aircraft recovery equipment valued at Shs3.2 billion, capable of removing large aircraft, including an Airbus A380, should one leave the runway and obstruct airport operations.
The equipment forms part of UCAA’s efforts to maintain high emergency response capabilities and comply with international aviation requirements.
The authority is also working to maintain Category 9 airport emergency standards, which require airports to have specialised firefighting and emergency response facilities capable of dealing with serious aircraft incidents.
Beyond Entebbe
While Entebbe remains the centre of Uganda’s aviation infrastructure, UCAA is also under pressure to develop and maintain regional airports.
Bamwesigye said the authority has used the resources available to support works at airports including Jinja and Kisoro, but acknowledged that financial limitations have slowed progress on some projects.
The situation has placed UCAA in a difficult position. The authority is expected to ensure that airports across the country meet safety and security standards, while at the same time dealing with the high cost of construction, maintenance and regulatory compliance.
MPs questioned UCAA over incomplete airport projects outside Entebbe, disputed land involving the authority, equipment that has been purchased but is not being fully utilised and the responsibilities shared between UCAA and other government agencies.
The concerns point to a wider question about how Uganda should finance its aviation ambitions.
As the country seeks to strengthen regional connectivity, tourism and trade, airports are increasingly being viewed not simply as transport facilities but as strategic economic infrastructure.
Yet the infrastructure required to support that ambition comes at a substantial cost.
Government intervention sought
Minister of State for Works and Transport Siraje Ali told the committee that the Government was aware of the challenges raised by UCAA and would present them to Cabinet for resolution.
He said the Government would pursue a solution to the outstanding debt owed to UCAA and address land disputes affecting the authority.
For UCAA, recovering the Shs166.32 billion could provide much-needed breathing space, but Bamwesigye’s presentation suggested that the sector’s funding problem goes beyond the current debt.
Aviation infrastructure requires long-term investment, while the sector is also facing new operational and regulatory pressures.
Bamwesigye told MPs that UCAA is dealing with rising operational costs, changing international regulatory requirements, cybersecurity threats, pandemics and disruptions arising from geopolitical conflicts.
The war-related disruptions in the Middle East have been particularly significant because the region serves as a major hub for international aviation. Changes to air routes, restrictions and instability in the region can have consequences far beyond the countries directly involved.
For Uganda, whose international aviation network depends heavily on connections through major global hubs, such disruptions can affect passenger flows, airline operations and revenues.
A sector under pressure but still growing
Despite the challenges, Bamwesigye said UCAA recorded an overall performance of 79.7 per cent in the 2025/26 financial year.
He said passenger traffic and revenue continued to grow, while the authority also made progress in aviation safety and security.
The performance suggests that demand for air travel in Uganda is continuing to expand even as the infrastructure supporting that growth faces financial constraints.
This creates a delicate balancing act for the Government.
On one hand, Uganda needs modern airports capable of supporting increasing passenger and cargo traffic and meeting international standards. On the other, the cost of building runways, terminals, emergency facilities and other infrastructure is rising.
For UCAA, the immediate priority is recovering the money owed to it by government institutions while securing Government support for projects that are too expensive to be financed through routine airport revenues.
The Shs166.32 billion debt has therefore emerged as more than a balance-sheet issue. It is now at the centre of a broader debate over who should finance Uganda’s aviation infrastructure and whether the country’s airports can keep pace with the growth in demand without sustained public investment.
Bamwesigye said UCAA would continue lobbying the Ministry of Works and Transport and the Government to clear the outstanding debt and support the expansion and modernisation of aviation infrastructure.
English 