UGANDA, Kampala | Real Muloodi News | Kampala City Council Authority (KCCA) was poised to take over management of all public markets within Kampala. However, the takeover process has since stalled.
President Museveni issued a directive in September 2020 to disband all market association committees from government markets and abattoirs, and to elect new leaders to manage the markets.
Following the directive, KCCA consequently took over 12 markets and one abattoir in Kampala. These included; Kiswa, Kinawataka, Nakasero, Bukoto, Coty Abatoir, Luzira, Namuwongo 1, Nateete, Wandegeya, Bugoloni, Namuwongo 2, Nakawa and Kamwokya.
The transition of some markets has gone smoothly. However, leaders of three large markets have vowed not to relinquish the facilities.
The three defiant markets are Kisekka, St Balikuddembe (Owino), and Nakasero, all in the heart of Kampala. Some vendor factions in these markets filed court cases blocking KCCA’s takeover.
The market association’s leadership claims they still have active leases and have demanded compensation before relinquishing power.
“KCCA cannot currently take over the three markets because of the ongoing court cases,” Henry Bukenya, KCCA Manager Commercial Services, confirms. He further added that they had deployed security to keep peace in the markets after threats of demonstrations.
The number of markets in Kampala City stands at eighty-four. Sixty-eight of these markets are privately owned, while sixteen are public.
Background – St Balikuddembe/Owino Market
- On February 3, 2010, members from St Balikuddembe Market Stalls, Space and Lock-ups Owners Association (SSLOA) acquired a lease offer at a premium of USh 4 billion and ground rent USh 200 million from Kampala City Council, the KCCA predecessor.
- Last year, following continuous disputes among rival groups in the facility over poor leadership, Cabinet decreed that the government should manage this and other markets.
- Last month, KCCA asked SSLOA leadership to step down as KCCA embarked on the takeover exercise.
- The SSLOA chairperson, Mr Godfrey Kayongo, told Daily Monitor that SSLOA had already secured financiers to bankroll the construction of a standard market. He claims the government is forcefully taking over the facility just as SSLOA is ready to redevelop it.
Background – Nakasero Market
- Vendors in Nakasero Market acquired a 49-year lease at two billion shillings and ground rent of 90 million shillings from KCCA.
- The traders argue they were not consulted on the management changes despite having a running lease on the land. They claim the abrupt takeover by the government will cause them losses.
- The traders are demanding Shs300b if government is to repossess both the land and the facility.
Background – Kisekka market
- On October 25, 2011, KCCA issued Kisekka market vendors a five-year initial sub-lease, ending August 20, 2016. This came after the vendors of Kisekka market traders formed the Nakivubo Road Old Kampala (Kisekka) Market Vendors Limited, comprising 1,888 members.
- KCCA gave the traders a condition to fulfil construction requirements within five years in order to extend the lease for 49 years.
- The construction works went on under the Kisekka Market Vendor’s leadership. However, a rival faction accused the Kisekka Market chairperson, Mr Robert Kasoro, of incompetence and misappropriation of funds. Geoffrey Kayita headed the faction to challenge Kasoro’s leadership in court. To date, the leadership struggle in Kisekka Market persists.
- “Government must also compensate with money equivalent to the resources we have spent on the project and the years of our lease,” Mr. Kasoro said.
Government’s Response
Benny Namugwanya Bugembe, the State Minister for KCCA, disclosed that the government has started a compensation process for all the registered and affected vendors.
“The instrument that will guide the compensation process is with the Solicitor General,” Namugwanya said.
She added the instrument would guide the Government Chief Valuer in determining the amount of money paid to associations with valid and running leases.
“We will compensate for the lease, ground rent, and money spent on structures.” The instruction we have from the President is that we should make these markets nurseries of trade in the country where traders can first get experience before they venture into bigger businesses,” the minister said.
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