John Musinguzi, Commissioner General, Uganda Revenue Authority has defended the enforcement of Electronic Fiscal Receipting and Invoicing System (EFRIS), saying Uganda has been losing around Shs4Trn annually in uncollected Value Added Tax and the new system will ensure that all VAT taxpayers pay their fair share of tax.

Musinguzi made the remarks while appearing before the Committee of Commissions, Statutory Authorities and State Enterprises (COSASE), where URA had been summoned to respond to queries raised in the December 2023 Auditor General’s report.

Musinguzi’s remarks were in response to a question posed by Medard Sseggona (Busiro East) who tasked the Commissioner General why the tax body caused paralysis in the business community with the EFRIS to the extent of exposing President Museveni to a standoff with the traders at Kololo, a standoff he said caused embarrassment in Uganda.

Sseggona said, “I know you have been grappling with the issue of Electronic Fiscal Receipting and Invoicing System (EFRIS) and you know how far it has stretched us including attracting a major standoff between URA and our major collection points, the traders.”

“Would you like to use the platform of Parliament to tell us what EFRIS stands for and why it has become controversial lately and why such a matter couldn’t be resolved without escalating into strike and involving the Head of State who had to get into a standoff with the traders publically that embarrassed the nation? Is it work methods, is it misconception of it is sheer hate that people don’t want to pay taxes?” added Ssegona.

The Commissioner General attributed the standoff between traders and URA, on the tough penalties provided for in the law of enforcing EFRIS, which he said were high, but these penalties have since been waived and now URA has embarked on education and sensitization of traders across the country, adding that EFRIS is already being used by manufacturers, corporate companies and after the campaign with traders.

“The penalties for enforcement were quite high, so irrespective of what you are trying to sell without the E-receipt, the penalty was Shs6M. So, I think the toughness in the penalty and the toughness in the enforcement campaign caused this. However, following the meetings and guidance, we stopped issuing penalties and we went back to engagements and more sensitization. And this is what we have been doing for the last one month, we have stopped enforcement operations, we have educated and we have even waived the penalties that were issued to the new people who hadn’t easily understood EFRIS,” said Musinguzi.

According to URA, the standoff between Government and traders isn’t unique to Uganda, as the same opposition to EFRIS was witnessed in Tanzania and Rwanda and Musinguzi went on to reveal that after the traders adopt EFRIS, the system will be extended to all VAT taxpayers in Uganda.

“We have also checked the trends of all countries that have adopted this technology, especially within our environment-the East African Community. Tanzania has been using the same technology for more than 19years, Rwanda has been using the same system for more than 10years, even Kenya, when you are starting, there is always resistance, closure of businesses, there are standoffs, but as we explain and engage home, people understand that this system is good for them, it is good for the Government,” added Musinguzi.

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Centenary Bank has unveiled a new core banking system, Flexcube, in order to enhance system stability, operational efficiency, customer experience, and drive innovation in the banking sector. The 18-month project, worth $14 million, was driven by the need to stay ahead of the bank’s rapid growth and dynamic needs.

“Our decision to adopt the Flexi-cube Banking System was driven by the need to stay ahead of the rapid growth and dynamic needs of our business, and we needed a more robust solution to remain competitive,” said Fabian Kasi, Managing Director of Centenary Bank.

“Our strategy as a bank is to become a smart bank where our customers can operate seamlessly, either through their phones, agents, or internet banking, with instant loan origination and faster access to loans,” Kasi added.

The Flexcube Banking System brings numerous benefits, including automated archiving, reusable APIs, and an intuitive web-based interface, making banking more accessible and enjoyable for customers.

“This monumental achievement would not have been possible without the dedication and collaboration of our various stakeholders,” Kasi said. “We are setting a new standard in banking, and I am excited about the future we are building.”

The successful implementation of Flexcube is a testament to the bank’s commitment to innovation and customer satisfaction, setting a new standard in banking.

Centenary Bank is confident that this new system will enable it to deliver unparalleled services to its customers and remain competitive in the banking industry.

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The benchmark for world food commodity prices increased for the third consecutive month in May, as higher prices of cereals and dairy products outweighed decreases in quotations for sugar and vegetable oils, the Food and Agriculture Organization of the United Nations (FAO) reported Friday.

The FAO Food Price Index, which tracks monthly changes in the international prices of a set of globally-traded food commodities, averaged 120.4 points in May, up 0.9 percent from its revised April level, while it remained down 3.4 percent from its level a year ago and 24.9 percent below its March 2022 peak.

The FAO Cereal Price Index rose by 6.3 percent from April, powered higher by rising global wheat export prices, reflecting growing concerns about unfavourable crop conditions curbing yields for the 2024 harvests in major producing areas including parts of Northern America, Europe and the Black Sea region. Maize export prices also increased in May, pushed up by production concerns in both Argentina, due to the Spiroplasma disease (also known as corn stunt disease), and Brazil, due to unfavourable weather, as well as spillover effects from the wheat markets and limited selling activity in Ukraine. The FAO All-Rice Price Index rose by 1.3 percent in May.

The FAO Dairy Price Index increased by 1.8 percent from April, underpinned by increased demand from the retail and food services sectors ahead of the summer holidays as well as market expectations that milk production in Western Europe may fall below historical levels. Renewed import demand for spot supplies from some countries in the Near East and North Africa also lifted dairy prices.

The FAO Sugar Price Index, meanwhile, decreased by 7.5 percent from April, mainly driven by pressure from the good start of the new harvest season in Brazil. Lower international crude oil prices also exerted downward pressure on sugar prices, by lowering demand.

The FAO Vegetable Oil Price Index declined by 2.4 percent from April. Lower palm oil quotations due to seasonal output increases and ongoing weak global demand more than offset higher prices of soy oil, due to increasing demand from the biofuel sector, and firmer prices of rapeseed and sunflower oils due mainly to diminishing export availabilities in the Black Sea region.

The FAO Meat Price Index decreased marginally, by 0.2 percent, as international prices of poultry and bovine meats fell while those of pig and ovine meats increased.

First global cereal forecast for the 2024/25 season

FAO also released its first forecast for the 2024/25 (July/June) season, anticipating world cereal production to total 2 846 million tonnes, virtually on par with the record output realized in 2023/24.  Global maize and wheat outputs are forecast to decline, while those of barley, rice and sorghum are predicted to increase, according to the new Cereal Supply and Demand Brief, also released Friday. However, the recent adverse weather conditions in the Black Sea region will likely result in a downgrade in world wheat production, a possibility not yet reflected in the forecast.

World cereal total utilization in 2024/25 is expected to increase by 0.5 percent to a new record high of 2 851 million tonnes, led by increased food consumption, especially of rice.

World cereal stocks will likely increase by 1.5 percent above their opening levels to a record level of 897 million tonnes. Inventories of maize, barley, sorghum and rice are all expected to increase, while those of wheat could decline. The global stocks-to-use ratio will likely remain at 30.9 percent.

FAO predicts world trade in cereals to decline by 1.3 percent from the previous year to 481 million tonnes, led by lower trade prospects for maize. International rice trade is forecast to grow robustly.

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