KCCA Trade Order Generates UGX 5.07 Billion in New Licenses
By our Reporter
Kampala Capital City Authority (KCCA) has registered a sharp rise in business formalization and local revenue collections following its ongoing trade order enforcement campaign, with new business licences generating UGX 5.07 billion in just over two months.
Speaking during a city status update, at the media centre, on Tuesday, Executive Director Sharifah Buzeki said between February 19 and April 27, 2026, the authority issued 22,909 new business licences worth UGX 5.07 billion, compared to 15,628 licences valued at UGX 3.9 billion during the same period in December 2025.
Buzeki described the 146 percent increase as evidence of growing business formalization and improved compliance among traders operating within Kampala.
The update comes amid an intensified citywide enforcement operation launched following a government directive issued on February 5, 2026, aimed at restoring order, decongesting the capital, and improving urban management.
“Kampala is undergoing a deliberate and sustained transformation. The reforms are intended to build a vibrant, attractive, livable, and sustainable city,” Buzeki said.
Under the operation, illegal street vending and unauthorized structures have been removed from major trading corridors, including Luwum Street, Namirembe Road, Ben Kiwanuka Street, Nakivubo Road and Allen Road in the Central Business District.
KCCA says similar progress has been recorded in Kalerwe and Bwaise in Kawempe Division; Kibuye, Kansanga, Kabalagala, Bunga and Munyonyo in Makindye Division; Busega, Natete, Kabuusu and Ndeeba in Lubaga Division; and Ntinda, Kiwatule and Luzira in Nakawa Division.
The authority said the enforcement has enabled faster infrastructure rehabilitation, including repainting road markings, restoring street lights, repairing and desilting drainage systems, resealing manholes and rehabilitating green spaces.
According to KCCA, the interventions are already improving mobility, easing congestion, and enhancing safety for road users.
The authority also warned defaulting property owners and businesses over unpaid dues, saying dedicated enforcement teams have been deployed to engage defaulters before legal action is taken.
“These resources are critical for sustaining service delivery and advancing city development,” Buzeki said, urging businesses to clear outstanding obligations to avoid penalties.
KCCA further revealed that Cabinet, during a sitting on April 27, reaffirmed that trade order enforcement would continue uninterrupted, insisting that all traders must operate only from gazetted markets, arcades and designated trading spaces.
The authority warned that any return to illegal street vending or encroachment on public spaces would attract firm enforcement measures.
To accommodate displaced vendors, KCCA said thousands of alternative workspaces have been created in public and private markets. Out of 2,520 spaces announced in November 2025, 1,663 have already been occupied, leaving 857 still available by April 30.
Unused stalls, including 107 spaces in Busega Market that have remained vacant for over 90 days, are now being reallocated under the Markets Act, 2023.
KCCA also announced stricter urban frontage compliance measures targeting property owners, developers, and business operators.
The authority directed all building owners to pave, paint, and green and maintain cleanliness around their premises while avoiding encroachment on road reserves and environmentally sensitive areas.
Buzeki cited Section 57 of the Physical Planning (Amendment) Act, 2020, which criminalizes failure to maintain buildings, provide litter bins, display street names, and comply with lawful planning directives.
Starting June 1, 2026, KCCA says it will begin closing non-compliant premises and enforcing penalties, including fines and imprisonment, where applicable.
In the transport sector, the authority announced ongoing reforms to formalize boda boda and taxi operations through designated stages, rider registration, and the elimination of roadside taxi stages.
KCCA also confirmed that the government has cleared Kiira Motors to begin operating electric buses within Kampala under a pilot public transport program expected to commence by the end of May.
The pilot will deploy eight electric buses along two circular routes connecting Constitutional Square, Lugogo, Nakawa, Ntinda, Bukoto, Kamwokya and Wandegeya.
Officials say the initiative is intended to improve connectivity, reduce traffic congestion, and promote cleaner urban transport.
The authority has since urged the Uganda Taxi Operators Federation and other transport operators to embrace mass transit reforms.
On environmental management, KCCA said it is strengthening enforcement against noise pollution in partnership with the National Environment Management Authority (NEMA), warning businesses, and entertainment venues against exceeding permitted noise levels.
The authority also disclosed that 365 street children — comprising 163 boys and 202 girls - have been rescued over the past three months and placed under rehabilitation and reintegration programs.
Some of the children were transferred to Napak District, where 183 have since been enrolled at Ladoi Primary School, while 12 parents have been arraigned in court over negligence.
KCCA appealed to the public to stop giving money to street children, warning that the practice perpetuates exploitation and unsafe street life.
Meanwhile, the authority announced the groundbreaking of a 9.1-kilometre road project linking Mpererwe, Kiteezi, and Kiti.
The road project, funded by the African Development Bank, will be constructed by China Communications Construction Company under the supervision of MBW Consulting Engineers and is expected to be completed within 18 months.
In her concluding remarks, Buzeki called on Kampala residents to support ongoing reforms aimed at transforming the capital into a modern and orderly city ahead of the May 12 presidential swearing-in ceremony at Kololo Ceremonial Grounds for Yoweri Kaguta Museveni.
