Bank of Uganda

Bank of Uganda has refuted all claims that Shs143.6 billion (Euro 33, 541,980.60) is laying dormant in a German Bank, Deutsche and making payments from government accounts with insufficient funds leading to a deficit of Shs1.7 billion.

Last week, the Chairperson of the Parliamentary Committee on Commissions, Statutory Authorities and State Enterprises (COSASE) Mubarak Munyagwa revealed that they contacted Deutsche Bank in Frankfurt and confirmed that the money belongs to Central bank of Uganda.

While presenting committee report on the audited public accounts of selected statutory Agencies for financial year 2013/2014, Munyagwa said the account in question is not recorded to BoU’s general ledger.

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“There so many dormant accounts belonging to government of Uganda,” he said adding that BoU made payments from various government of Uganda Accounts with insufficient funds which was misleading an hence making a deficit of Shs1.7 billion during the audit of 2013/2014 financial year.

BoU acknowledged opening an account in German Bank noting that it was opened to receive payments after the sale of Deutsche Entwiklungs Gesellschaft (DEG’s) shares in DFCU in 2003.

“With Authority from the Accountant General, the account was closed in February 2015 and the funds were transferred to the country’s consolidated fund,” Charity Mugumya the head of communication at BoU said.

She said the payments from accounts with insufficient funds noted in June 2014 were swiftly reconciled in August 2014. “The Ministry of Finance Planning and Economic Development refunded the overdrawn amounts of money,” she said.