Uganda needs to focus on improving theeffectiveness of its roads investment strategy for ruralUganda and improving the manner in it procures andimplements roads contracts at the national level. In recentyears the Government of Uganda has shifted the priorities inits national development strategy as there was accumulatingevidence that infrastructure deficiencies had become abinding constraint to economic growth and poverty reduction.Consequently the Government of Uganda increased inparticular the budget allocation for the road sectorsubstantially as a means to tackle this constraint to growthand poverty reduction: i) by investing in rural roads itaims to facilitate market access for farmers, which willallow them to increase their earnings capacity; and ii) byimproving the national roads network, transport cost will bereduced, competitiveness enhanced and additional incomegenerated. However, to ensure the highest economic returnfor its investment, it is advised to rebalance the wayallocations are set for rural roads and to increaseabsorptive capacity to efficiently utilize the augmentedbudgetary resources for the national roads sector.
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