Government has put aside Shs20 billion to compensate traders in downtown Kampala who lost goods during the flooding of the Nakivubo Channel and surrounding areas on October 31, 2025.
The development follows a meeting between traders, officials from Office of the Prime Minister (OPM), Kampala Capital City Authority (KCCA), and trader representatives with President Museveni at his Kisozi farm, where the issue of compensation was discussed.
Addressing journalists in Kampala on Wednesday , State Minister for Disaster Preparedness Lillian Aber said the Shs20 billion will be provided as ex-gratia support to affected traders, with the process of disbursement already underway based on an assessed list of beneficiaries.
“A committee has been established by the Office of the Prime Minister to implement the presidential directive on paying the ex-gratia to the affected traders,” she said.
Ms Aber added that traders will be represented on the committee through their umbrella associations, which will help verify beneficiaries and guide them on how to access the funds.
She also highlighted long-term interventions aimed at preventing similar disasters, including stricter enforcement of building regulations, restoration of proper building use, drainage system upgrades, road improvements, and environmental rehabilitation.
In addition, government plans to enhance accountability by taking action against developers or institutions found responsible for contributing to the flooding.
The OPM Permanent Secretary, Alex Kakooza, said KCCA is intensifying public awareness on waste management and flood preparedness, while strengthening early warning systems as part of broader efforts to improve urban resilience.
“The flood incident underlined the importance of compliance with urban planning regulations and shared responsibility, as government remains committed to protecting lives and property,” he said.
Mr Kakooza further says OPM is currently harmonizing lists submitted by the Internal Security Organization, KCCA, and the Federation of Uganda Traders Association to establish a final list of beneficiaries.
However, some traders have expressed dissatisfaction with the compensation package. Theodore Musoke Nagenda, chairman of the National Entrepreneurial Traders Association, described the Shs20 billion as a drop in the ocean .
“The money government is giving is more like condolence support. The losses suffered by traders are far greater,” he said, urging authorities to expedite the compensation process.
KCCA spokesperson Daniel Nuweabine said the authority verified 450 traders, focusing on those with valid licenses and clear identification.
According to OPM, the Federation of Uganda Traders Association submitted a list of 2,005 traders, while KCCA submitted 450 names. All submissions are currently under scrutiny before funds are released.