• Fri. Jun 9th, 2023

Uganda, Kampala | Real Muloodi News| Hon Amos Lugoloobi, Ntenjeru North Member of Parliament and Minister of State for Planning designate, read the FY2021/2022 budget on behalf of President Museveni on 10th June 2021, according to the Daily Monitor. This is how the government is going to spend the 44.8 trillion.

Under the category of Human Capital Development (HCD), education and health sectors were allocated USh 7.5 trillion. This equals 17% of the budget – the most significant share. The second-largest budgeted item is Governance and Security, with USh 6.9 trillion – 15.6% of the funding. Integrated Transport, Infrastructure and Services was allocated USh 5 trillion, which is 11.2% of the budget. 

HCD received a huge allocation because of the government plans of recruiting approximately 5695 primary and secondary teachers and school inspectors across the country. In addition, Mr Lugoloobi added that:

“In FY2021/2022 budget, the government will rehabilitate 74 primary and 13 traditional secondary schools and construct 36 partially completed schools and 7 skills development institutions, among others.”

Furthermore, COVID-19 vaccines are a priority of the government, with USh 560 billion allocated towards procurement of the vaccines.

“The immediate health need we are faced with is ensuring containment of the COVID-19 pandemic. Widespread vaccination and the enforcement of Standard Operating Procedures are the only preventative measures that guarantee protection against COVID-19,” Mr Lugoloobi explained. 

Mr Lugoloobi also shared that the government plans to construct 30,000 housing units for the military, and upgrade military equipment. Under this area, the government will also complete the construction of the Military Referral Hospital, among others. 

A whopping 16.9 trillion, over 38% of the budget, will go towards debt refinancing and interest payments. USh 28.8 trillion is to be shared by 20 government programs.

Other Allocations:

  • Agro-Industrialisation Ush 1.6 trillion 
  • Regional Development Ush 1.2 trillion 
  • Development Plan Implementation Ush 1.1 trillion 
  • Sustainable Energy Development Ush 1.1 trillion 
  • Legislature Ush 831 billion 
  • Climate Change, Natural Resources, Environment and Water Ush 668 billion 
  • Private Sector Development Ush 587 billion
  • Judiciary 376 billion
  • Innovation, Technology Development and Transfer Ush 358 billion
  • Public Sector Transformation Ush 325.8 billion
  • Sustainable Urbanisation and Housing Ush 312 billion
  • Tourism Development Ush 178 billion
  • Digital Transformation Ush 134 billion
  • Sustainable Development of Petroleum Resources gets Ush 106 billion
  • Community Mobilisation and Mindset Change Ush 56 billion
  • Manufacturing Ush 54 billion
  • Mineral Development Ush 49 billion

Non-discretionary allocations 

  • Domestic Refinancing allocated Ush 8.547 trillion
  • Interest and amortisation allocated Ush 5.03 1trillion
  • External Debt Repayment allocated Ush 1,786 trillion
  • Domestic Arrears allocated Ush 400 billion
  • Local Revenue for Local Government allocated Ush 212 billion

The 2020/2021 budget also highlighted new taxes on data, an increase in rental tax and the addition of USh 100 on fuel.

NTV’s report emphasised the mixed reactions the budget has received, documenting that some MPs felt that the government had its priorities wrong by not focusing on the health sector during the growing pandemic challenges.


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