Uganda: Christmas Rush Brings Mixed Fortunes for Kampala Traders, Transport Operators

24 December 2025

With Christmas just a day away, business activity in downtown Kampala has surged, but the benefits of the festive rush are being felt unevenly across sectors.

While transport operators are enjoying brisk business and rising fares, many traders--especially those in established shops--are struggling with low sales and dwindling customer numbers.

Across the city's bus parks, transport fares have risen by at least Shs 10,000 due to heightened travel demand as people head to their villages.

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Operators have adjusted schedules and mobilized additional vehicles, yet demand continues to outstrip supply. Travelers expressed frustration over the rising costs, with some postponing their journeys.

"I wanted to travel today, but the fare is too high. I will wait and see if it reduces," said one stranded passenger at a downtown terminal. Boda boda riders are also charging higher fares, leading to overcrowded terminals and long waits.

In contrast, traders in Kampala's central business district are experiencing a slower festive season. In Kikuubo, a hub of wholesale trade, shops are stocked with Christmas merchandise, but customer footfall remains low. Many traders fear that goods may remain unsold, with some blaming the growing number of street hawkers for blocking access to established shops.

"We are many on the streets, but customers are still few. Most buyers are comparing prices before deciding," said Ismail Mubiru, Chairperson of the Hawkers, who welcomed the absence of harassment during the festive period.

Leaders from the Kampala City Traders Association (KACITA) faulted city leadership for poor regulation and planning, arguing that the imbalance between formal traders and street hawkers hurts business.

The contrast between booming transport services and struggling retail trade highlights the mixed economic realities of Kampala's Christmas season. As the city braces for last-minute shoppers, traders remain hopeful, while travelers continue to navigate rising transport costs.

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