The Auditor General, Edward Akol, has raised concerns about the overpayment of pensioners in both pension and gratuity schemes. He issued this warning while presenting the 2023/24 Annual Auditor General’s Report to Parliament this morning, revealing that the government overpaid several pensioners by approximately Shs 31.2 billion in pension and gratuity.
“The pension system audit has uncovered significant issues that require immediate attention. I noted that 1,502 pensioners were overpaid gratuity benefits amounting to Shs 22.3 billion. These overpayments occurred in 19 Ministries, Departments, and Agencies (MDAs), as well as 115 Local Governments. Additionally, 2,193 pensioners were overpaid pension benefits by Shs 8.9 billion across 23 MDAs and 104 Local Governments,” Akol said.
The Auditor General also warned that without reforms in the government’s pension sector, Ugandan taxpayers could be burdened with a pension and gratuity bill of over Shs 4.5 trillion by 2034.
The report further revealed that the Ministry of Health destroyed COVID-19 vaccines, ARVs, and test kits worth Shs 316.65 billion in the 2023/24 financial year. This marked a significant increase from the Shs 33 billion worth of drugs destroyed in the previous financial year (2022/23).
“In the health sector, there are serious challenges related to the expiration of medical supplies. The government had to write off Shs 316.65 billion worth of COVID-19 vaccines, ARVs, and test kits, a sharp rise from the Shs 33 billion last year. This represents a substantial waste of resources that could have been better utilized to address other urgent healthcare needs,” Akol noted.
