KAMPALA, UGANDA – Cabinet has approved UGX 18.9995 billion in compassionate ex-gratia assistance for 1,841 verified traders affected by the devastating flash floods that hit parts of Kampala on October 30 and 31, 2025.

The announcement was made by Justine Kasule Lumumba, who explained that the assistance is intended to support traders whose businesses and merchandise were affected by the flooding.

Ex-gratia assistance refers to a payment made out of goodwill, without an admission of legal liability or an obligation to compensate.

The heavy rainfall triggered flash floods that principally affected 13 arcades and St. Balikuddembe Market, popularly known as Owino Market. Shauriyako Building was also reported among the affected locations.

The affected establishments included Nana Arcade, Totala Building, Capital Centre, Pentagon Plaza, French Plaza, Premier Arcade, Qualicel Mall, Freedom Centre, Nabukeera Plaza, Ssekaziga Arcade, JesCo Centre, Jamboole Arcade, Tuba Plaza and Owino Market.

In a related decision, Cabinet approved an additional UGX 1.0005 billion to support the operations and activities of the Federation of Uganda Traders Associations (FUTA).

Of this amount, UGX 682.5 million will cater for FUTA's operational expenses, while UGX 318 million will constitute the Government's contribution to the association's Revolving Fund.

The two approvals bring the total financial package to UGX 20 billion, covering assistance to affected traders and support for FUTA.

Beyond the immediate financial assistance, Cabinet also approved strategic interventions aimed at addressing the underlying causes of flooding in Kampala's Central Business District (CBD) and preventing or reducing the impact of similar incidents in the future.

The interventions are intended to tackle the structural and drainage-related challenges that have repeatedly exposed businesses and commercial establishments in the city centre to flooding.

The Government's latest intervention follows the October 2025 floods, which disrupted commercial activities and caused losses to traders operating in some of Kampala's busiest shopping establishments and markets.

The verification of 1,841 affected traders forms the basis for the approved compassionate assistance package.