President Yoweri Kaguta Museveni has directed the immediate release of Shs 102 billion to facilitate the upgrading of hotels in the Bunyoro sub-region ahead of the 2027 Africa Cup of Nations (AFCON).
The directive to the African Development Bank (AfDB)comes amid concerns from hoteliers that delays in accessing the financing could affect preparations for the continental tournament, which Uganda will co-host with Kenya and Tanzania.
The funding was announced earlier this year as part of government efforts to improve accommodation facilities in Bunyoro, particularly in Hoima, which is expected to host AFCON matches at the newly constructed Hoima City Stadium.
However, Dr Fred Kabagambe Kaliisa, chairperson of the Bunyoro Hotel Owners Association (BHOA), recently said the money had not been released, forcing several hotel owners to use their own resources to continue upgrading and constructing their facilities.
Kaliisa said hoteliers could not afford to wait because of the tight timelines for completing the works, testing the facilities and preparing them to accommodate visitors expected during the tournament.
He said some hotel owners had already started upgrading their facilities because the process involves both construction and commercial operations, requiring the works to be completed several months before AFCON.
Kaliisa said the target was to have major works completed by the end of March 2027, with testing expected to begin in April and the facilities ready for occupancy between May and June.
Prime Minister Robinah Nabbanja said the government was aware of the delay in releasing the funds and assured hotel owners that President Museveni had directed the AfDB to release the money immediately.
The hotel owners had initially asked the government for Shs 130 billion in October 2025 to upgrade their facilities and prepare the region’s hospitality industry for AFCON.
The government subsequently announced a Shs 102 billion financing package, structured primarily as a concessionary loan facility at an interest rate of five per cent through the Uganda Development Bank (UDB).
Under the proposed arrangement, Shs 52 billion is earmarked for the construction of a new 100-bed five-star hotel near Kabalega International Airport and Hoima City Stadium.
Another Shs 30 billion is intended to upgrade existing hotels under BHOA, including improvements to rooms, gyms and conference facilities, while Shs 20 billion is set aside for other qualifying hospitality and leisure facilities across the sub-region.
Hotels listed among those expected to benefit include Miika Eco Resort Hotel, Hoima Resort Hotel, Edmara Hotel, Presidential Hotel, Urban Hotel, Kabalega Resort Hotel Hoima and Kabalega Resort Hotel Masindi.
The hospitality upgrades are part of wider preparations for AFCON 2027, which Uganda will co-host with Kenya and Tanzania.
As part of the preparations, the government has constructed the 20,000-seater Hoima City Stadium in Kyarwiru Cell, Hoima East Division, one of the venues selected to host matches during the tournament.
The multi-purpose facility was constructed by SUMMA on 34 acres of land at a reported cost of US$129 million, financed through Uganda’s Petroleum Fund.
The stadium has VVIP sections, modern changing rooms and gyms, an indoor arena, a swimming pool, volleyball and basketball courts, media conference halls, hybrid turf, a VAR room, FIFA and CAF offices, referee rooms, training grounds, media facilities and parking space for nearly 1,000 vehicles.
The facility is expected to attract players, officials, media personnel and fans to the region during the tournament, increasing demand for accommodation and related hospitality services in Bunyoro.
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