The Ministry of Lands, Housing and Urban Development is implementing Uganda Support to Municipal Infrastructure Development (USMID) program, funded by the World Bank-IDA through a US$ 150 million loan for a period of five years (2013 – 2018).
The program is designed to enhance institutional performance of 14 Municipal Councils so as to improve urban service delivery.
The USMID program is being implemented in a context where Uganda since 1986 has experienced high economic growth, poverty reduction and an average annual GDP growth of 8.1 % over the last six years (2003/2004- 2009/2010). It has reduced donor assistance from 52 % of the annual budget in the early 1990s to the current level of 32%.
USMID is contributing to the Second National Development Plan (2010/2011-2014/2015) which has identified Infrastructure as one of the complementary sectors for growth.
USMID is building on the World Bank’s and GoU’s long history of engagement in the local government since 1990s. In addition, Cities Alliance has provided a grant of US4.2M to government to implement “A strategy for Transforming Settlement of the Urban Poor in Uganda- A secondary Cities support program that covers five Municipalities of Arua, Mbale, Jinja, Mbarara and Kabale. USMID works closely with the Cities Alliance to ensure complementarily and synergy on their support to the sector.
The Overall Program Objective is to enhance the institutional performance of the 14 Municipal Councils to improve urban service delivery. The participating Local Governments are; Arua, Lira, Gulu, Soroti, Entebbe, Mbale, Tororo, Jinja, Masaka, Hoima, Fort portal, Mbarara, Kabale and Moroto.