By Cank Media
Uganda’s hospitality sector in the Bunyoro sub-region is set for a major upgrade after President Yoweri Museveni directed the release of Shs102 billion to support hotel improvements ahead of the 2027 Africa Cup of Nations (AFCON).
The financing is intended to strengthen accommodation capacity in Hoima and the wider Bunyoro region as Uganda prepares to co-host AFCON 2027 alongside Kenya and Tanzania.
The development comes as Hoima City positions itself as one of Uganda’s key tournament centres, with the newly completed Hoima City Stadium expected to host AFCON matches.
How the Shs102 billion will be allocated
Reports shows, the government financing package is primarily structured as a concessionary loan facility at an interest rate of five per cent through Uganda Development Bank (UDB).
The proposed allocation includes:
- Shs52 billion for construction of a new 100-bed five-star hotel near Kabalega International Airport and Hoima City Stadium.
- Shs30 billion for upgrading existing hotels under the Bunyoro Hotel Owners Association (BHOA), including rooms, gyms and conference facilities.
- Shs20 billion for other qualifying hospitality and leisure facilities across the Bunyoro sub-region.
Hotels listed among those expected to benefit include Miika Eco Resort Hotel, Hoima Resort Hotel, Edmara Hotel, Presidential Hotel, Urban Hotel, Kabalega Resort Hotel Hoima and Kabalega Resort Hotel Masindi.
Tight deadline for hotel upgrades
Hotel owners in the region have been working against a tight deadline as preparations for the continental tournament accelerate.
BHOA chairperson Dr Fred Kabagambe Kaliisa said some hotel owners had already started using their own resources because of delays in accessing the government financing.
The target is to have major construction and renovation works completed by March 2027, followed by testing in April. The facilities are expected to be ready for occupancy between May and June 2027, ahead of the tournament.
Hoima faces a major hospitality test
The demand for accommodation has already been demonstrated during recent football events in the city.
When Uganda hosted Libya in an AFCON 2027 qualifier at Hoima City Stadium on September 29, accommodation facilities in the city experienced significant demand. Report shows that several hotels were occupied by the visiting teams and delegations, while other accommodation facilities filled up ahead of the match.
The experience has provided an early indication of the pressure Hoima’s hospitality sector could face when thousands of visitors arrive for AFCON 2027.
Beyond football
The planned investment could have implications beyond the tournament itself.
Hoima is already experiencing increased economic activity associated with Uganda’s oil and gas developments, infrastructure projects and the expansion of the city’s commercial sector.
A recent real-estate assessment by Broll Uganda identified shortages in hospitality, housing and other property sectors as areas of opportunity in Hoima, with AFCON preparations, oil developments and airport infrastructure contributing to growing demand.
The Shs102 billion hotel financing therefore comes at a time when the city is undergoing wider economic and infrastructure transformation.
Hoima City Stadium adds to the opportunity
The 20,000-seater Hoima City Stadium is central to the city’s AFCON preparations.
Government’s FY2026/27 Budget Speech stated that Hoima Stadium had been completed as part of preparations for AFCON 2027, alongside ongoing upgrades to other tournament facilities.
The stadium is expected to bring players, officials, journalists, supporters and other visitors to Hoima, creating demand for accommodation, restaurants, transport, entertainment and other services.
For hotel owners and other businesses, the tournament represents both an immediate preparation deadline and an opportunity to establish Hoima as a stronger hospitality and tourism destination beyond AFCON 2027.
What this means for Hoima
The release of the Shs102 billion financing package comes at a critical stage in Uganda’s preparations for AFCON 2027.
With hotel upgrades, airport infrastructure, oil-sector developments and the new stadium happening around the same time, Hoima is entering a period of significant investment and increased visitor activity.
The immediate challenge will be ensuring that the planned hotel works are completed on time and that the facilities meet the standards required to accommodate international visitors.
If the upgrades are delivered as planned, the investment could leave Hoima with a larger and more modern hospitality sector after the tournament.
Cank Media will continue following developments around Hoima, AFCON 2027 and the opportunities emerging for businesses in Uganda’s growing cities.