Data Centers in Uganda

Uganda – Digital Growth via Sustainable Infrastructure

Uganda Infrastructure Overview

Uganda is rapidly positioning itself as a strategic interconnection point for East Africa, leveraging one of the continent's greenest power grids. This market serves as a vital gateway for enterprises targeting the Great Lakes region who require low-latency delivery and renewable energy profiles.

Uganda: At A Glance

Network & Connectivity Ecosystem

As a landlocked but digitally aggressive nation, Uganda focuses on terrestrial fiber redundancy to maintain uptime.

• Carrier Density & Carrier Neutrality: Carrier count: over 10. The market features a mix of regional telcos and specialized fiber providers, with roughly 10–15 active players as of September 2025.
• Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. While no direct on-ramps for AWS, Google Cloud (GCP), or Microsoft Azure are physically located in Kampala, local providers offer private peering and wave services to the Nairobi hub as of September 2025.
• Internet Exchange Points (IXPs): The Uganda Internet eXchange Point (UIXP) serves as the primary hub in Kampala, drastically reducing latency by keeping local traffic from leaving the country as of September 2025.
• Bare Metal: Bare metal services are available through regional providers and local integrators, with global options like Leaseweb providing adjacent reach as of September 2025.

Power Analysis

Uganda offers a unique advantage for sustainability-focused operations due to its heavy reliance on hydroelectric power.

• Average Cost Of Power: Industrial electricity: USD 0.06–0.10 / kWh, as of September 2025. These rates are competitive within the East African Community, providing a cost-effective base for high-density compute.
• Power Grid Reliability: The grid is well-engineered in major industrial corridors, supported by multi-substation feeds in the Kampala metropolitan area. Redundancy is typically managed through on-site generation to mitigate occasional distribution fluctuations.

Market Access, Business & Tax Climate

Strategic location and a young, tech-literate population make Uganda a key destination for regional expansion.

• Proximity To Key Business Districts: Data centers are concentrated near Kampala Central and the Namanve Industrial Park. This proximity allows for rapid physical access and low-latency connectivity for financial and government headquarters.
• Regional Market Reach: Uganda acts as a digital transit point for South Sudan, Rwanda, and the Eastern Democratic Republic of Congo, serving a combined population of over 100 million people.
• Tax Advantage For Data Centers: There are currently no dedicated tax breaks for the data center sector. Businesses operate under standard corporate tax frameworks, though long-term investments may qualify for broader capital expenditure deductions.

Natural Disaster Risk

Uganda faces a High risk profile with an overall score of 5.7/10 as of September 2025. While the country is landlocked and free from coastal threats, terrestrial and health-related hazards require specific mitigation.

• Risk Summary: High (5.7/10)
• Epidemic: 7.7
• Drought: 6.2
• River Flood: 3.9
• Earthquake: 3.7

All other natural hazards, including tsunami and coastal flooding, are considered minor or non-existent due to the geographical location of the market as of September 2025.