Uganda’s Chief of Defence Forces, Gen Muhoozi Kainerugaba, has made a major U-turn on the Shs10.8 trillion Standard Gauge Railway (SGR) project, restoring Turkish construction company Yapi Merkezi after reportedly receiving direct instructions from President Yoweri Museveni.

In a statement posted on X on Friday, November 6, 2026, Muhoozi announced that he had approved the Turkish company to undertake the first phase of the railway, which will connect Malaba on the Kenyan border to Kampala. He also directed all government departments to move quickly and implement the decision.

“Under the direction and instructions of Mzee Museveni, I approve the Turkish company Yapi Merkezi to implement the 1st Phase of the SGR. From Malaba to Kampala. All departments of government are instructed to quickly implement this directive,” Muhoozi stated.

The announcement marks a dramatic reversal from June 16, 2026, when Muhoozi publicly declared that Uganda had cancelled Yapi Merkezi’s contract and would find another company to construct the railway. He went further and called upon supporters of the Patriotic League of Uganda (PLU), which he chairs, to demonstrate outside the Turkish Embassy in Kampala.

The latest development is particularly interesting because Muhoozi had previously hosted senior Yapi Merkezi officials at the Special Forces Command headquarters in Entebbe in December 2025. During the meeting, the Turkish delegation briefed him about the construction plans, including a proposed tunnel through military land in Mbuya, Kampala.

Uganda awarded Yapi Merkezi the contract in October 2024 after its earlier railway arrangement with China’s China Harbour Engineering Company ended in 2023 following financing challenges. President Museveni subsequently launched the Malaba-Kampala railway project in Tororo in November 2024, with construction expected to take four years.

The planned 272-kilometre electric railway will pass through several areas, including Tororo, Iganga, Jinja, Mukono and Wakiso before reaching Kampala. It is expected to connect Uganda to Kenya’s railway network and improve cargo transportation from the Port of Mombasa while reducing pressure on major highways.

The project has experienced delays caused by financing challenges, land acquisition and other preparations. The Islamic Development Bank approved financing worth €650.75 million in June 2026, while an October update indicated that land acquisition had reached approximately 70 per cent. Muhoozi’s latest announcement has now brought Yapi Merkezi back into the picture, although the government is yet to announce a new date for the start of full construction.