Stanbic Bank
Stanbic Bank
Stanbic Bank
Stanbic Bank
23.5 C
Kampala
Stanbic Bank
Stanbic Bank
Stanbic Bank
Stanbic Bank

Gov’t releases Shs 19.79tn for last quarter of FY 2024/25

Must read

The government has released Shs 19.79 trillion for the fourth quarter (April-June 2025) of the 2024/25 financial year, which represents 25.64% of the revised budget.

The expenditure release includes Shs 8.903 trillion allocated for wage, non-wage recurrent, and development projects. In addition, Shs 2.677 trillion will be sourced from external financing, while Shs 8.126 trillion is dedicated to debt and treasury operations. A further Shs 83.85 billion is earmarked for local revenue.

According to the Permanent Secretary/Secretary to the Treasury, Ramathan Ggoobi, the government has earmarked Shs 1.993 trillion to cater to wages and salaries across government ministries and agencies. “This amount will ensure the smooth payment of salaries to public servants and facilitate the ongoing operations of various state institutions,” Ggoobi explained during a budget release update.

The budget also includes Shs 288.75 billion allocated for pensions and gratuities, with key institutions such as Parliament receiving Shs 172.64 billion, the Electoral Commission Shs 94.22 billion, and the Judiciary Shs 58.23 billion to support their activities.

Additionally, significant allocations have been made towards Uganda’s development priorities, including Shs 524.68 billion for agro-industrialization. “Of this, Shs 130.77 billion is dedicated to operations and research, while Shs 393.91 billion will support development projects,” Ggoobi noted. He further pointed out that agro-industrialization is essential to Uganda’s vision of enhancing agricultural productivity and industrial capacity.

Tourism development also received attention with Shs 41.12 billion earmarked for the Ministry of Tourism, Wildlife, and Antiquities. “This funding will support the development of key tourism infrastructure, such as the Source of the Nile project,” said Ggoobi, emphasizing the importance of sustainable tourism in driving Uganda’s economic growth.

The government has also invested in mineral-based industrial development with Shs 224 billion allocated to the Uganda National Oil Company (UNOC), and the Petroleum Authority of Uganda. This investment is geared towards strengthening the country’s oil and gas sector.

In line with the ongoing digital transformation, the Ministry of ICT and National Guidance will receive Shs 169.31 billion, with a focus on last-mile connectivity through the Uganda Digital Acceleration Project (UDAP) and the promotion of the science economy.

“Security remains a top priority, with Shs 1.05 trillion allocated to the Ministry of Defense and Veteran Affairs to fund both operations and development projects, including the construction of new military infrastructure,” Ggoobi confirmed. Other security agencies, such as the Uganda Police Force and Uganda Prisons Service, have also received significant funding to strengthen law enforcement and prison services.

Infrastructure development continues to be a cornerstone of Uganda’s growth strategy, with Shs 2.11 trillion allocated to the Ministry of Works and Transport. “This funding will support major projects such as the National Roads construction and the Standard Gauge Railway implementation,” Ggoobi explained.

The health sector has also benefited, with Shs 303.46 billion allocated to the Ministry of Health, supporting global vaccination efforts, healthcare infrastructure, and procurement of essential medical supplies. A further Shs 110.65 billion will go towards the National Medical Stores to secure necessary drugs and medicines for the population.

Education has been a significant focus, with Shs 290.28 billion released to the Ministry of Education and Sports, including funds for the Uganda Secondary School Expansion Project (USEEP) and rehabilitation of health training institutions.

Reflecting on the priorities for this financial year, Ggoobi said, “The budget is designed to support the implementation of the Ten-fold Growth Strategy. The main emphasis is on the Accelerated Transformation and Modernization Strategy (ATMS) and the corresponding enabler actions, including infrastructure, security, and human capital development.”

The Permanent Secretary further emphasized that all accounting officers in government are under instruction to adhere to strict timelines for the payment of salaries and pensions. “We are committed to ensuring that all payments are made by the 28th day of every month, as stipulated in the approved salary scales,” Ggoobi said.

The government has also taken steps to address domestic arrears by directing accounting officers to prioritize the payment of service providers. “We are keen on eliminating the accumulation of domestic arrears and penalties, and we urge all departments to comply with this directive to maintain efficiency,” he added.

In addition to these allocations, the government has made provisions for wealth creation initiatives, with Shs 529 billion allocated for the Parish Development Model (PDM), and other funds earmarked for the Uganda Development Corporation and Uganda Development Bank.

“We are focused on growth drivers and their enablers, ensuring that government services are delivered efficiently and at the lowest cost,” Ggoobi concluded.

More articles

Latest article