Uganda Economic Update 27th Edition : Building on Urban Transformation—Construction as a Jobs Engine

Overview & Synopsis

This report proposes a sequenced reform agenda built around three mutually reinforcing policy pillars. The first, and the prerequisite for the others, strengthens the institutional foundation through enacting the Construction Industry Development Bill (CIDB) (formally called Uganda Construction Industry Commission - UCICO Bill), endorsing the land governance legislative package, and streamlining permitting. The second activates demand through reforming the Physical Planning Act to mandate integrated planning, updating physical development plans with infrastructure servicing commitments, establishing serviced plot programs on verified public land, scaling labor-intensive public investment and affordable housing. The third reduces construction costs and strengthens market competition by expanding contractor finance, improving procurement and local content, lowering input costs, and strengthening construction skills. Together, these reforms can transform construction from a fast growing sector into a leading engine of more and better jobs, competitive cities, and structural transformation.