Shanghai Restaurant also known as Shangri-La Hotel announced that it had closed its unit in Kampala Club in Nakasero. Officials say the restaurant will close up shop today, August 31.
The restaurant had existed at the posh club for more than 30 years.
"We have provided high-quality Chinese food for close to 30 years and been an enthusiastic part of the community but due to the harsh effects of the Covid-19 pandemic on the business, the restaurant is closing down," officials said.
The restaurant employed around six workers but provided business to multiple suppliers.
Shanghai will now only operate the branch in Muyenga and look into growing its eCommerce presence.
"Our Muyenga branch will remain open for your reservations and orders for Chinese and continental cuisines, including space for any kind of functions but while observing the Covid-19 preventive guideline," officials said. "You can look out for Shanghai restaurant on the Jumia Food platform and for your daily take away straight from our restaurant to you."
The economic downturn from Covid19 prevention guidelines has heavily hit the hospitality industry, as most hotels, bars and other hang-outs can't operate at full capacity due to social distancing.