The newly appointed Minister of Finance Amos Lugolobi is today expected to read a 44.7 trillion budget for the 2021 /2022 financial year.
This is a decrease of shs 714 billion for the first time compared to the approved resource envelope of 2020/2021.
The budget report of the Budget Committee was approved by the 10th parliament in May 2021 presided over by the former Speaker of Parliament.
76 percent of the resource envelope is expected will come from domestic revenue constituting 76.7 percent while 23.3 percent will be external revenue.
According to the report of the Budget Committee, the drop this financial year is largely attributed to the projected decrease of shs2.4 billion in external financing for project support.
Hon. Amos Lugoloobi, the Chairperson of the Budget Committee in the 10th parliament revealed to the 10th parliament that that the greatest share of resources is towards debt-related payments, inclusive of domestic arrears at 38 percent.
“Safeguarding debt sustainability should be prioritized. In this regard, there is a need for continued domestic revenue mobilization and sound project implementation especially to realize the envisaged growth dividend from infrastructure investment,” Lugoloobi reported.
In the approved budget for 2021/2022, sector allocations see Defence take Shs3.4 trillion, Uganda National Roads Authority shs3.1 trillion, Ministry of Health Shs1.4 trillion , Ministry of Gender Labour and Social Development shs1 trillion and Ministry of Agriculture Shs500 billion.
Hon. Amos Lugoloobi, the Chairperson of the Budget Committee in the 10th parliament revealed to the 10th parliament that that the greatest share of resources is towards debt-related payments, inclusive of domestic arrears at 38 percent.
“Safeguarding debt sustainability should be prioritized. In this regard, there is need for continued domestic revenue mobilization and sound project implementation especially to realise the envisaged growth dividend from infrastructure investment,” Lugoloobi reported.
