KAMPALA, UGANDA – Uganda’s Deputy Speaker, Thomas Tayebwa, has announced a significant investment of over 400 billion shillings ($100 million) to transform Mbale Industrial Park.
Speaking during a visit to the park, Tayebwa said the funds will be used to construct access roads, improve the drainage system, and upgrade other essential facilities. The investment aims to attract more investors and boost Uganda’s industrial sector.
“We have already signed the contract with China Railway Number Three, and they are performing,” Tayebwa said. “We might have challenges, but government is government. Government can never fail.”
The industrial park, located in eastern Uganda, is home to several factories, including UniSteel, which recently launched its second phase. Tayebwa praised the company’s efficiency, noting that the plant was built in just one and a half years.
Tayebwa also commended Paul Zhang, Chairman of Tian Tanga Group and Mbale Industrial Park, for his contributions to Uganda’s development. Zhang’s success story is inspiring, having arrived in Uganda with just $15,000 and now owning a conglomerate of companies.
To further support investors, Tayebwa plans to establish a one-stop center within the industrial park. “This will enable investors to access services from entities like URA, NSSF, and others without needing to travel to Kampala,” he said.
The investment is expected to create more opportunities for growth and development in Uganda’s economy. President Museveni is scheduled to visit the industrial park next week, marking an exciting milestone for Mbale Industrial Park and Uganda’s industrial sector.
Paul Zhang, Chairman of TianTang Group and Sino Uganda Mbale Industrial Park, praised the Ugandan government’s support, citing “policies and regulations that provide a reliable legal guarantee” for the park’s growth.
However, Mr. Zhang also highlighted the park’s struggles, including a devastating flood that destroyed millions of dollars’ worth of property and equipment, and the challenges posed by the COVID-19 pandemic.
“We borrowed money from family and friends, borrowed money from banks, and did our best to keep the operation of the industrial park going,” Mr. Zhang recalled.
Despite these setbacks, Mbale Industrial Park has made notable progress, with over 50 factories operational and more than 6,000 jobs created. The park aims to increase employment to 20,000 within two years.
Mr. Zhang cautioned that the park’s growth is threatened by two critical issues: insufficient electricity supply and inadequate infrastructure. “The development of industrial parks demands sufficient and stable power supply,” he emphasized, urging the government to fulfill its promise to build a 240MW substation.
Uganda’s investment in Mbale Industrial Park reflects the country’s efforts to diversify its economy and attract foreign investment. The industrial sector is crucial to Uganda’s economic growth, and this investment is expected to create jobs and stimulate economic activity.
The UniSteel Investment Uganda Limited factory, located in the Sino-Uganda Mbale Industrial Park, covers an area of 140,000 square meters and has an annual production capacity of 700,000 tons.
“We will adhere to the concept of ‘quality first, safety first, technological innovation, and green development’ and become the leading steel company in East Africa,” UniSteel Chairman Xu Shicun said during the launch.
Mr. Shicun praised President Museveni and the Ugandan Parliament for their support, saying: “I would like to express my sincere gratitude… for their attention and support to industrialization.”
The project is the first large-scale investment in East Africa since the 2024 Beijing Summit of the Forum on China-Africa Cooperation.
Mr. Shicun also praised the role of Mbale Industrial Park Chairman Paul Zhang, describing him as “my most important partner and good brother in this life.”
The project is the first large-scale investment in East Africa since the 2024 Beijing Summit of the Forum on China-Africa Cooperation.
President Museveni has previously hailed the Sino-Uganda Mbale Industrial Park as a model of “Belt and Road” cooperation between China and Uganda.
