FUTA leaders demand trader compensation and permanent market spaces

10 June 2026, 11:02 am

By Ronald Ssemagonja

The leadership of the Federation of Uganda Traders Associations (FUTA), led by its President, Mr. John Kabanda, today met regional coordinators from Busoga, Iganga, Bunyoro and other parts of the country in Kampala to discuss the implementation of the trade order policy and compensation for traders affected by floods.

During the meeting, members reviewed a letter from President Yoweri Museveni responding to concerns previously raised by FUTA regarding the trade order policy. In the letter, the President commended traders for their contribution to Uganda’s economy and urged them to support government programmes, including the trade order initiative.

Speaking at the meeting, Mr. Abasi Lugumba, a regional representative from Eastern Uganda, said their efforts as leaders had enabled the President to appreciate the need to compensate traders affected by government directives and other challenges.

Several representatives emphasized the need to first secure suitable working spaces for traders before implementing stricter trade order measures.

“Let us agree that the President no longer wants people operating on the streets. We suggest that priority be given to identifying and establishing market spaces for traders. We support the law, but there must be alternatives for those affected,” one representative said.

Ms. Rose Mayanja Nalongo, a trader from Owino Market, welcomed the government’s willingness to compensate traders affected by the floods that occurred in October 2025. She appealed to the government to channel the compensation funds through FUTA, arguing that the federation understands the affected traders better and is well-positioned to ensure accountability.

“We appeal to the President to allow the compensation funds to be managed through FUTA because it is the association we know and trust. We believe Mr. Kabanda and his team can account for the funds properly,” she said.

The Chairperson from Iganga District noted that the area lacks a properly gazetted market and appealed to the President to allow FUTA leaders to engage directly with traders affected by the trade order policy.

He argued that local leaders understand the affected traders better and can communicate government policies effectively in local languages. He added that such engagement would help ensure compliance and reduce street vending.

Mr. Herman Kavuma, a trader operating in Pentagon Building, expressed concern over delays in compensation. He claimed that traders had expected a compensation package of Shs20 billion but were instead informed that only Shs7 billion would be available.

In his closing remarks, FUTA President John Kabanda thanked the regional leaders for attending the meeting and assured them that the federation would continue advocating for traders’ interests.

“I am happy that you have attended this meeting. We are committed to resolving these pending issues. Regarding the floods, we urge those responsible to listen to the concerns of the affected traders and ensure that compensation is paid. As FUTA, we shall continue pushing for the compensation process to be completed,” Kabanda said.

He further directed regional leaders to compile and submit lists of individuals affected by the trade order policy within two days and identify possible relocation sites for traders.

Kabanda also expressed disappointment with some business groups and entrepreneurs whom he accused of distancing themselves from FUTA despite sharing common business interests.

He reiterated the federation’s commitment to working with government and stakeholders to find lasting solutions for traders affected by trade order enforcement and other economic challenges.