Slow business at Katuna border due to reduced traffic to DRC

Local business owners and managers along the Katuna border have sounded the alarm over a significant decline in customers following a directive from the Uganda Revenue Authority (URA) that has temporarily halted the transit of trucks to the Democratic Republic of Congo (DRC).

The suspension, a response to escalating insurgency threats in the DRC, is having a devastating impact on businesses that rely heavily on cross-border trade.

"We no longer see a good number of customers, particularly because our main clientele was from Congo," said Niwomujuni BadenPaul, owner of Shine Star Restaurant located at the Katuna border. "The situation is dire, and we need the East African Community to intervene."

Mr Denis Beinamaryo, the manager of Elijah Hotel, shared similar concerns, noting a sharp decline in both local and accommodation bookings. "Our customers have decreased significantly, and those who used to come for overnight stays are no longer visiting," he reported.

This drop in business has forced local establishments to reconsider their operations, with some even contemplating layoffs. Mr Joram Macro Bwambale, owner of Macro Hardware, highlighted the struggle for businesses that catered to clients from the DRC.

"Many customers who used to frequent my hardware store have stopped coming," Bwambale said. "The ongoing conflict has created stringent measures at the border, making it incredibly challenging for businesspeople to operate."

The Katuna border has historically been a bustling trade route, with revenue collection growing by 42 per cent in 2024, following the lifting of travel restrictions on Rwandan nationals entering Uganda. However, the current suspension has brought trade to a grinding halt, leaving business owners anxious about their future.