The Ugandan government is working to revitalise the Uganda Telecommunications Corporation (UTel) after securing investment commitments from Rowad Capital Commercial (RCC), a company based in the United Arab Emirates (UAE). This partnership is aimed at strengthening UTel’s capacity to manage and commercialise Uganda’s ICT National Backbone Infrastructure (NBI).
The Minister of ICT and National Guidance, Hon. Chris Baryomunsi, revealed that RCC will take a 60% shareholding in UTel, with the Ugandan government retaining a 40% share. The Ministry of Finance, Planning and Economic Development will hold a 25% stake, while the ICT Ministry will hold the remaining 15%.
Hon. Baryomunsi made the announcement during the presentation of the Ministerial Policy Statement to the Parliament Committee on ICT and National Guidance on April 3, 2025. He confirmed that RCC will initially invest US$25 million, followed by an additional US$200 million over the next three years.
He further explained that the new partnership will involve the transfer of management and commercialisation of the NBI from Soliton Telmec to UTel. As a result, the contract with Soliton will be terminated, incurring financial implications due to compensation, as advised by the Auditor General. The NBI has mainly been utilised by government agencies with limited private sector involvement. By fully commercialising the infrastructure, the government hopes to attract more private sector clients and increase revenue.
