Graft alleged in allocation of lockups and stalls in Masaka City markets

MASAKA, March 3, 2025 – Authorities and market vendors in Masaka City have raised concerns about corruption in the allocation of lockups and stalls in the new markets constructed by the government for low-income earners under the Markets and Agricultural Trade Improvement Programme: Project II [MATIP II].

The markets, constructed by the Ministry of Local Government with financial support from the African Development Bank [AfDB], include Nyendo Market, built at a cost of Shs 12 billion, and Masaka Central Market, built at a cost of Shs18bln. These markets accommodate 850 vendors and 661 vendors, respectively.

Despite a market allocation committee duly constituted according to Section 21 of the Markets Act 2023, those irked say corruption played a central role in the allocation of spaces to the market vendors.

Majeran Luboyera, the Nyendo-Mukungwe Town Clerk, warned that any cases of abuse of office by city agents, staff, or leaders in the allocation process would be investigated.

“Masaka City is still facing challenges in managing its markets, especially in aligning these markets with the Market Act 2023. However, the City Council has duly approved its market fee structure, which has since been submitted to the Honourable Minister of Local Government for approval,” he said.

Luboyera also urged the Ministry of Local Government to expedite the process of approving the market fees for Masaka Central Market, saying it would help improve revenue collection and service delivery to vendors.

He highlighted that, from July to December 11, 2024, only Shs 79,471,500 was collected from the two markets, while Shs 44,737,000 was collected between December 12, 2024, and February 2025. “We remain committed to working with all stakeholders to eliminate any malpractice in our markets,” he said.

Meanwhile, market vendors who claim to be the legitimate beneficiaries of the project have accused city leaders of allocating stalls and lockups to the wealthy and their relatives. They allege that the process of allocating stalls and lockups was politicised.

Abdu Kigozi, a vendor selling second-hand clothes, said that the authorities responsible for allocating spaces in the markets disregarded the agreement signed by vendors from the old market. Instead, they allocated the stalls to wealthy businessmen and individuals who already owned large shops on Edward Avenue and Elgin Street in the city.

“I was in the old municipal market since 2000, and when it was demolished to make way for the new market, my name was among those who were duly registered and verified as the first beneficiaries of the new market. Yet, I was denied space,” he said.

The Chairperson of Masaka Central Market Vendors Association, Base Nakayiza, explained that she had identified the rightful vendors who should have been allocated the stalls. However, the Town Agents, who also act as Market Administrators, allegedly colluded with some city authority staff and political leaders to sell the stalls to wealthy businessmen.

“Section 18 of the Markets Act 2023, which was approved by President Museveni, stipulates that only low-income earners should benefit from the stalls and lockups in the markets. Unfortunately, more than 260 legitimate vendors have been evicted from their stalls in favour of wealthy individuals,” she said.

“We are calling on the Minister for Local Government, Raphael Magyezi, and the State House Anti-Corruption Unit to investigate this matter, as many of us were denied the opportunity to benefit from the market,” she added.

Nakayiza further stated that market vendors are being charged exorbitant fees, with some resorting to subletting their lockups. She explained that vendors are required to pay Shs 30,000 for a lockup and stall inside the market, the same amount being charged at Nyendo Market.

MATIP aims to improve markets in 21 municipalities and urban communities across Uganda. This initiative follows a feasibility study commissioned by the Government of Uganda in March 2008, which reviewed the infrastructure and functionality of local markets nationwide. The study found that markets across Uganda were poorly managed, in a state of disrepair, and overcrowded with traders, far exceeding their capacity.

MATIP-I enabled government to rebuild seven major modern markets in Kampala, Jinja, Mbale, Gulu, Lira, Hoima, and Fort Portal. MATIP-II, an extension of MATIP-I, involves the reconstruction of 11 additional markets. The second phase focuses on improving market infrastructure, adding value, and facilitating trade in nine municipalities and two urban communities in the four regions of the country, namely Entebbe [Kitoro], Masaka, Mbarara, Arua, Moroto [Lopedru], Soroti, and Tororo, as well as Kasese, Busia, Kitgum, and Lugazi.

https://thecooperator.news/mbarara-central-market-city-authorities-feud-over-revenue-collections/

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