Uganda will benefit from a financing worth $25 million provided by the European Union (EU) to rehabilitate the national rail network, Bloomberg reported June 26.

This new investment mainly targets the 375 km railway linking the cities of Tororo (East) and Gulu (North). This railway line had been deteriorated over the years, following the abuses from the infamous LRA (Lord's Resistance Army) of Joseph Kony.

The plan should help cut transport cost and attract investments in this region marked by deep economic disparities compared to others. It is also expected to set a new transit corridor for goods to countries in the sub-region such as Southern Sudan and the DRC.

According to authorities, this railway line, out of service since the 1990s, is scheduled to resume service by 2020, according to government estimates. Project is estimated at $40 million.   

Moutiou Adjibi Nourou