A report in New Vision notes that the Ugandan government has opted to self-finance its large-scale road construction project instead of relying on P3 private financing models, which it determined to be more expensive for the taxpayer:
The Government has underlined its growing stature as a key financier of roads development by taking over the construction of 500km of roads formerly meant to be worked on under the new Contractor Facilitated Financing (CFF) mechanism.
The decision to take over the financing of the roads is economical, said Eng. David Luyimbazi, the Uganda National Roads Authority’s (UNRA) director in charge of planning.
“It is cheaper for the Government to finance roads when it has the money,” he says. “This will save the tax-payer from paying interest on the borrowed funds and reduce Uganda’s debt burden.”
