Investors who have failed to develop government land allocated to them risk losing their plots as the Uganda Investment Authority (UIA) moves to reclaim land from beneficiaries who have failed to fulfil their investment commitments.
UIA Director General Robert Mukiza told Parliament’s Committee on Finance, Planning and Economic Development that the authority had already issued withdrawal notices to defaulting investors, some of whom have appealed against the decision.
“We have instituted an aggressive withdrawal of land from non-performing investors. I know they will make noise, but we shall do it,” Mukiza said while leading UIA officials before the committee on Friday, November 13, 2026.
The move follows concerns raised by legislators over the growing number of investors who acquire government land without the financial or technical capacity to establish businesses, while others reportedly sublet the land to generate income instead of undertaking the intended investments.
MPs backed UIA’s efforts to repossess land from beneficiaries who have diverted it from its intended investment purposes.
“Some investors get land from government and because they cannot develop it, they sublet it and collect revenue. Some come to Uganda with only an idea, lacking financial and technical capacity,” said Hon. Faith Nakut (NRM, Napak District Woman Representative).
Nakut called on UIA to establish stricter standards for foreign investors, including clear timelines within which businesses should become operational and provisions for investors who fail to implement their proposed projects.
Hon. Joanne Okia (NRM, Madi-Okollo District Woman Representative) also questioned why land donated by communities for the establishment of industrial parks remains undeveloped, leaving residents waiting for investments and economic opportunities that have yet to materialise.
The committee further raised concerns over the security of land earmarked for industrial development, after learning that 89 square miles of land offered by district local governments had been surveyed but remained untitled.
Legislators warned that leaving such large tracts of government land without legal ownership documents exposes them to land grabbing and disputes.
“It is not good to have unsecured land in the current circumstances. Government has been supporting communities to acquire land titles, and local governments are doing the same. Land for industrial parks should be titled,” said Hon. Patrick Katabaazi (NRM, Rukiga County).
Hon. Gerald Nangoli (NRM, Elgon North County) pledged the committee’s support to ensure that funds are provided in the next financial year to facilitate the acquisition of titles for land reserved for industrial parks.
Despite the concerns, Mukiza reported progress in attracting foreign investment and generating employment, revealing that UIA registered investments worth US$1.161 billion during the 2025/2026 financial year, creating 34,633 jobs.
He also disclosed that the authority is supporting local traders to transition into manufacturing through an Shs8.1 billion initiative, which has so far generated 175 jobs.
Mukiza said UIA is targeting to increase foreign investment from US$3.2 billion to US$18.972 billion by 2030, as part of efforts to strengthen Uganda’s industrialisation drive and expand employment opportunities.
The proposed land recovery exercise is expected to make investment land available to more capable investors who can translate allocated plots into productive enterprises, jobs and economic growth.
The post Why UIA Is Reclaiming Government Land From Non-Performing Investors appeared first on Watchdog Uganda.

